London's real estate firm Foxtons has reported its third successive quarter of growth, with an 8% rise in revenue over the past three months. The company's earnings climbed to £47.4 million for the quarter ending on 30 September, culminating in a nine-month revenue totaling £125.9 million, which is a 10% increase from the equivalent period in 2023.
While lettings income remained stable, sales revenue saw a spike, surging by more than one-third to £13.5 million, the highest for a quarter since 2015, as reported by .
The surge was fuelled by a higher volume of property transactions. Transaction volumes at Foxtons were up by 34% in comparison to last year, outperforming the broader market which experienced a 13% growth compared to the historic lows of 2023.
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In the year to date, revenue gleaned from property sales hit £35.1 million, marking a notable increase from just under £27 million the previous year.
Foxtons' CEO Guy Gittins attributed this growth to a robust lettings performance, which he acknowledged as a significant source of steady and non-cyclical revenue.
Gittins confidently remarked, "This growth was supported by a resilient performance in Lettings, which continues to provide a valuable stream of recurring and non-cyclical revenues."
He expressed optimism for the closing quarter, noting that, "We enter the final quarter with optimism: our sales agreed pipeline is 23 per cent higher than this time last year, sales volumes in our markets continue to recover, and we are well placed to continue to unlock the value within our business."
"Our balance sheet and cash flow remain strong which will continue to support our growth and value creation initiatives, including both organic investments and synergistic lettings acquisitions," Gittins stated.
"We are on-track to deliver increased profitability in 2024, in line with consensus, and we continue to make progress towards our medium-term target of £25m to £30m adjusted operating profit."