LONDON (Alliance News) - Belvoir Lettings PLC Wednesday posted an increase in profit for the recent full year, after it tapped into the estate agency space.
The lettings specialist, which launched an estate agency pilot last year, posted pretax profit of GBP1.6 million for 2013, up from GBP1.4 million in 2012, as revenue rose 44% to GBP5.8 million from GBP4.0 million a year earlier.
Belvoir attributed its strong performance to the acquisition of Claygold Property Ltd which enabled the group to enter the estate agency market. This business generated GBP604,000 of estate agency fees in 2013, a new source of revenue for the group.
However, the company's bread and butter, lettings, also played its part with strong income generated from new outlets acquired during the period. Franchise renewal revenue of GBP15,000 was achieved, up from GBP11,000 a year earlier. This was a result of 30 existing franchises taking on new agreements compared with 21 in 2012.
On the back of a strong performance the company increased its final dividend to 3.4 pence, compared with 2.9 pence, making a total dividend of 6.8 pence, up from 5.8 pence.
Post the year end, the company reshuffled its management board with Chief Executive Dorian Gonsalves stepping down to serve as director of Commercial and Franchising. Finance Director Carl Chadwick was appointed chief executive.
The stock was trading at 157.00 pence Wednesday morning, up 2.00 pence or 1.3%.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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