Acorn Group reveals profits slump before LRG takeover
The parent group of John Payne and Langford Russell saw profits fall prior to the LRG buyout, its own figures show.
Acorn Group, which was one of the largest independent agencies before being sold, has reported a slump in profit.
The company, which was bought by Leaders Romans Group (LRG) in September last year, revealed a proportionate drop from £5.4 million (for 12 months) to just under £1.5 million (for eight months).
Turnover was down from £35.5 million for the year in 2021 to £22.8 million for the eight months up to the end of August 2022, a relative fall in figures.
Acorn’s brands include John Payne, Langford Russell, MAP and Start Financial Services. All of Acorn’s 425 employees transferred to LRG following the completion of the acquisition, which saw all the agency names remaining on the high street.
Strong trading
Hector Stavrinidis, director at Acorn, says: “The eight months ended 31 August 2022 saw a strong trading performance across all divisions.
“As well as continued investment in our most recent branch openings, property management generated strong revenue growth in a supply restricted market.
“We are optimistic about trading volumes and performance in 2023″
“Sales activity remained buoyant although sales transaction spikes in March and June 2021 (caused by historically low interest rates and stamp duty changes) were not repeated in 2022,” he says.
“We are optimistic about trading volumes and performance in 2023 as we return to a more normalised market, although the economic impact of the Ukraine war, inflation and interest rate rises will provide market headwinds that will need to be managed.“
Acorn opened its 40th branch in the Kentish town of Sevenoaks last year. The group said it will be its flagship branch in the county under one of the three brands its operates under, Langford Russell.
