Savills Share News (SVS)

Real estate advisor Savills posted a 39% surge in half year profit and said it remains well positioned for long term growth across its core regions.Pre-tax profit rose to £20m for the six months ended 30 June 2011 from £14.4m in 2010. Group revenue advanced 10% to £335.8m.Savills said strong growth in its transaction advisory business was driven by demand for prime central London.It also saw strong residential property demand and continued strength of Asia Pacific markets, particularly greater China. The group reported further growth of property and facilities management activities with the total area under management up 17%, driven mostly by Asia Pacific. Fund management profits rose 20% during the period with fee income up 25%.Chief executive Jeremy Helsby said the good first half performance was a result of the continued strength of its businesses in key transactional markets in the UK and Asia Pacific."Looking to the second half, we currently see no material change in the outlook for our business, although the potential effects of the current economic and social volatility are likely to have some impact on both Commercial and Residential transaction markets across our regions," Helsby added.An interim dividend 3.15p per share has been recommended, up 5%.Net cash increased to £25.9m from £20.1m in 2010.---CJ