Savills’ improved performance in 2024 has been mostly driven by its less transactional businesses such as consultancy and property management services according to Group CEO Mark Ridley (pictured), although the UK business, which represents 42% of the Group, posted revenue of over £1bn for the first time.

Overall revenue increased by 7% to £2.4bn (£2.2bn in 2023) and there was a 38% increase in the Group’s underlying profit to £130.4m (2023: £94.8m), with an underlying profit margin of 5.4% (4.2% in 2023).

UK Residential Transactional revenue also increased by 7% to £183.3m (2023: £171.0m) with mainstream residential markets benefitting from two base rate cuts and greater clarity around their future direction.

Political uncertainty

Savills’ prime housing markets, however, were affected by political uncertainty surrounding the general election and the Autumn Budget. Prices in Prime Central London fell by an average of 1.9% during the year and regional prime markets gave up some of their post-COVID price gains, falling by an average of 1%.

‘Second-hand’ sales revenue rose 13% with the number of exchanges up 8% to 5,099 (2023: 4,735).

But revenue from the sale of new homes reduced 13% year-on-year, reflecting a decrease of 20% in the number of exchanges.

The Group’s residential lettings business delivered a robust performance with revenues increasing 2%, driven by the Prime London market, which represents circa 70% of the business.

Savills improved performance in 2024 reflects the robust earnings provided by our less transactional businesses.”

Savills also reports strong performances from its digital offerings, including its online auctions, its hybrid agent YOPA, its Cureoscity platform for landlords and managing agents and VU.CITY, its 3D digital platform.

Ridley said: “Savills improved performance in 2024 reflects the robust earnings provided by our less transactional businesses together with the effect of our inherent operating leverage in the early recovery of transactional markets.

“Most markets were in recovery as we entered 2025 and, whilst uncertainty continues, there remains the expectation of reductions in the cost of capital during the year.

“We expect re-financing driven activity and the trend towards corporates requiring greater office attendance for staff to continue to be positive for transaction volumes. Savills remains well positioned to deliver against the Group’s strategic objectives of broadening our offering to clients across geographies and service lines, supported by a strong balance sheet and thus driving profitability as market recovery continues.”

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