Property group remains bullish after ‘substantial’ revenue growth

Property group Belvoir is expecting a strong second half of the year after profits in the first six months were “considerably ahead” of its forecasts.

Pre-tax profits increased to £4.8m at the Grantham-based group, up 51% on last year’s figure which had been an improvement on 2019 despite the impact of the pandemic.

It attributed 42% of the growth to its underlying business and 9% to the Nicholas Humphreys network which it acquired in April.

It bought the Leicestershire-based chain of estate and lettings agencies in a £4m deal.

Dorian Gonsalves, chief executive of Belvoir Group, said: “The group achieved substantial revenue growth across the three markets in which it operates with lettings up 21%, property sales up 78% and financial services up 51%.

“Having demonstrated the resilience of the group’s business model throughout 2020, in H1 2021 the group capitalised on the opportunities arising from the buoyant housing market, and demonstrated that the success of Belvoir’s growth strategy has been unaffected by the pandemic.”

In June, Belvoir bought the mortgage services business from The Nottingham and agreed a 10-year deal to provide mortgage advice to the building society’s customers.

“We believe that our relationship with The Nottingham has the prospect of generating significant opportunities in the coming years,” added Gonsalves.

Belvoir’s revenues in the six months to June were up 41%, to £13.8m. It is “confident of achieving a strong trading performance for the full year”, with its forecasts underpinned by high activity levels within all areas of the group.

This confidence is reflected in Belvoir’s share price, which has performed strongly in the last year, increasing 150% between November 2020 and August. Friday’s closing price of 280p values the group at £100m.

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