Solid foundations for property franchiser following record year

A major property franchiser says it has managed an “outstanding financial performance” in a difficult market.

The Property Franchise Group, (TPFG) which acquired York-based estate agents Hunters in 2021, has published its final results for the year ended 31 December 2023.

Group revenue increased in this period to £27.3m (2022: £27.2m), with pre-tax profits rising to £9m (2022: £8.8m).

The business’s managed portfolio was up 3% to 78,000 rental properties (2022: 76,000).

And as previously reported, a merger with Belvoir Group plc completed on 7 March 2024, creating one of the UK’s largest multi-brand lettings and estate agency groups.

Gareth Samples, chief executive officer, said: “FY23 represents yet another year of record performance in which we have improved the quality of our revenue and adeptly executed our strategic roadmap, whilst continuing to navigate a challenging macroeconomic backdrop.

“This is testament to the quality and hard work of our team, with the progress made in the year leaving us with a solid foundation on which to grow further, bolstered by increasing revenue visibility for 2024 across a broader base.

“We are happy to have completed the post-period transformational merger with Belvoir, marking a significant milestone in our journey to become one of the leading players in the UK property market.

“We see a huge opportunity for the group, with increased scale, breadth of offering and diversity of brands, as well as enhanced geographic reach.”

TPFG also saw its Management Service Fees (MSF) increase to £16.1m (2022: £15.9m), with lettings MSF rising 11% to £9.9m, a new record for the group (2022: £8.9m).

Sales outperformed a 19% reduction in UK sales completions year-on-year, with the year-end sales agreed pipeline increasing 4% to £23.1m (2022: £22.2m).

Meanwhile, 22 acquisitions at the franchisee level (2022: 19), added 1,879 managed properties to the group (2022: 1,890).

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