Belvoir Lettings PLC announced its Preliminary Results for the year ended 31 December 2015.
Group revenue was up 19% to £6.9m (2014: £5.9m); Growth in Management Service Fees (MSF) was 25% to £4.0m (2014: £3.2m), consisting of 12.5% (2014: 11%) from the organic growth of the Belvoir network and 12.5% from the mid-year network acquisitions and revenue from property sales up 60% to £1.4m (2014: £0.8m)
Mike Goddard (left), CEO, said, “2015 was a pivotal year for Belvoir. The Company commenced its strategic vision of a multi-brand operation with the acquisitions of Newton Fallowell and Goodchilds. As a result of these new networks and seven new Belvoir territories, our UK coverage has increased by 31% to 212 outlets and adjusted profit before tax is up 36% to £2.4m. The Board appreciated the support of our shareholders in funding the mid-year acquisitions and I am confident that the coming year will see the full impact of our successful multi-brand strategy as the new brands become further incorporated into the Group.”
Winkworth revenues rose 6.7% to £5.87 million on franchisee turnover of £49.0 million; Profit before taxation down 1% to £1.91 million; Ordinary dividends payable up 10.2% to 6.5p per ordinary share; Special dividend declared of 1.8p per ordinary share; Two new offices opened and 8 franchises resold to new management.
Dominic Agace (left), CEO, said, “Despite headwinds for much of 2015 we reported broadly flat profitability for the year, increased the total dividend payout by 41% and continued to invest in new, centralised initiatives to drive growth in the medium term.
“We continued to invest in the rentals side of our business and, in particular, our recently formed Corporate Relocation Department, which generated 4,000 searches for rental property for our landlords in 2015. This success helped to drive revenue growth, with rentals rising by 7% and increasing as a proportion of Winkworth’s total sales from 35% in 2014 to 38% in 2015, a further step towards our goal of rentals accounting for 50% of our business.
Martin & Co revenues rose by 38 per cent to £7.1m (2014: £5.2m; Growth in Management Service fees increased by 53% to £6.2m (2014: £4.1m); Operating Profit increased 42% to £2.9m (2014: £2.0m); Profit before tax increased 42% to £2.7m (2014: £1.9m); Net Assets increased 22% to £7.6m (2014: £6.3m).
Ian Wilson, Chief Executive Officer of MartinCo (left), commented, “2015 was our most successful year to date, demonstrating the power of our multi-brand franchise strategy. It was a year of consolidation and growth for the Group, we opened 13 new offices across our brand stable, leveraging our expertise in lettings and growing our estate agency services across our expanded network.”
Despite tax changes relating to buy-to-let investments, the fundamental drivers of the private rented sector remain in place.”