11th March 2014
Foxtons is offering a special dividend of 3.74p a share on top of a 1.7p payout a total of £15.4m as it announces its first results since the IPO last year.
Profit before tax jumped 57% to £39m from revenue up 16% to £139m in the year to 31 December.
Chief Executive Michael Brown said: “We have a clear strategy and a great team dedicated to our overriding objective of delivering profitable growth by expanding our business model throughout the higher value, higher volume London property market.
“Our organic expansion strategy, together with improving market share within the more mature branches, helped drive this strong performance.”
He says sales increased by 22.5% while lettings increased 6.7% to make up nearly half of the estate agent’s turnover.
Brown added: “We expect the availability of housing stock for sale to be a key determinant of the level of growth in property sales transactions during the remainder of the year. However, we remain confident that our organic expansion strategy together with our strong lettings business will enable us to continue to grow revenue even in a flat sales market.
“Our new branches are maturing well and we are on track to open a further seven branches by the end of this year, with five of them scheduled to open in the first half of 2014.”
Although not many brokers follow the stock two have rated it a buy or strong buy on digital look while a third is neutral.