Upmarket agency Winkworth says sales is king over lettings as it reveals its full year results.

“Sales are now dominating,” according to Winkworth Non-Executive Chair Simon Agace, as he warns the rental market will shrink as landlords quit the PRS.

While lettings have made up 50% of the business in the past, this no longer the case, Agace says, and it is not likely in the future either.

“In our opinion, sales agency has always offered greater profitability and better reflects selling skills, and the public is attracted to the best operators.

Sales agency has always offered greater profitability and better reflects selling skills.”

“Our rentals and management business has in the past grown to up to 50% of Group turnover, but sales are now dominating, and I am sure that over the long-term there will be some shrinkage in rentals as the trend of landlords exiting the business continues.”

And his son, Dominic Agace, CEO of the company, adds: “While our lettings and management made further good progress in 2024, the strong performance of the sales market played to Winkworth’s skills and advantage.”

Turnaround

The company’s results have turned around after two years of slumping profits, and the latest results highlights include:

• Revenues of £10.79 million up by 17% on 2023 (£9.27 million).
• Profit before taxation up 10% to £2.36 million (2023: £2.15 million).
• Three new offices opened in the year, and five franchises resold to new operators.

Beefed up

In February last year, the company announced it was beefing up its franchise proposition, and  now it says its franchised office network revenue is up 12% at £64.7 million (2023: £57.8 million).

“Almost half of our franchises and the vast majority of our London offices are now in the top three slot by market share in their local area and our performance figures continue to improve,” Dominic Agace says.