Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

M Winkworth: Growth As Expected

Published 04/19/2015, 05:15 AM
Updated 07/09/2023, 06:31 AM

Growth as expected
M Winkwrth (LONDON:WINKM) delivered strong growth in 2015 (revenue up 11%, pre-tax profits up 14%). Central London saw 15% lower transactions, but still generated revenue growth. Non-London offices grew revenue by 21%. The group continues to expand its footprint and 35% of revenue comes from lettings/property management. It cannot be immune to election-related uncertainty, but we still expect steady progress in 2015.

M Winkworth

2014 results
Revenue was 11.3% to £5.5m, marginally ahead of expectations. Costs were well controlled with statutory profit before tax up by 14% to £1.93m (Edison estimate £1.89m). Basic statutory EPS was up 18% to 11.8p (Edison estimate 11.7p, 2013: 10.1p) and the dividend increased by 11.3% to 5.9p. The group continues to be heavily weighted to London (just over 80% of sales) despite a 21% increase in revenues from country offices. In central London sales transactions fell 15%, but revenues grew 2% with 14% growth in lettings and a 13% increase in average fee per sale. Country office transactions rose 15% and revenues by 21%. Groupwide, lettings and management accounted for 35% of sales. Portfolio management continued with six new offices (Reading, Salisbury, Enfield, Rambsury, London Colney and Spain) and four closures (Walthamstow, Sheffield, South Woodford and India). Loans to franchisees have now exceeded £1m, generating good interest income.

2015 Outlook
Election uncertainty has been flagged by the company (and other estate agent managements) as a key uncertainty for H115. The full year outlook is clearly dependent on the election result and consensus estimates remain that house prices over the full year will show modest appreciation, with non-London prices rising faster than London. Revenue growth is likely to be more muted, although we note the lettings/management business is likely to remain robust (target contribution 50% of revenue). Additionally, two new offices have been opened so far this year (Nottingham, New Forest) with plans to open a further six.

To Read the Entire Report Please Click on the pdf File Below

Latest comments

this article is from 2015, don't wáste your time, unless you want to 😁
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.