Douglas & Gordon has returned to profit after making a loss last year and revealed details of its recently-launched ‘hybrid’ model.
The 19-branch and high-profile London agency made an operating loss of £678,000 during 2017/2018 but has reported a profit of £438,000 for its latest 12 months of reported trading.
This has helped Douglas & Gordon extend its geographic reach without having to open more branches.
This improvement in its financial performance comes despite another tough year for its sales division and significant disruption of the lettings market by the fees ban and lower landlord activity as mortgage interest tax relief has been phased out.
“Although results are not yet at the desired level, the focus on customer service, revenue generation and cost management [have] continued to yield results,” says the firm’s Chairman Michael Hodgson (left).
Hodgson has also pinned the company’s return to profit on its branches’ longer opening hours compared to ‘most of its competition’ and its superior customer service offering.
Overall revenue increased to £16.7 million helped by a 4% uplift in lettings revenue but a much smaller increase in sales revenue.