6th Sep 2021 09:38
(Alliance News) - Belvoir Group PLC on Monday reported an increase in its interim dividend on the back of a widening profit for the first half.
Pretax profit for the six months ended June 30 was GBP4.8 million, up 51% from GBP3.2 million a year previously. The increase was due to the stronger sales market in the period compared to last year, Belvoir said.
The estate agent franchise firm declared an interim dividend of 4.0 pence per share, up from 3.4p a year earlier.
Shares in Belvoir were down 2.7% at 272.44 pence on Monday in London.
First half results were "significantly ahead" of management expectations as at the start of the year, the company noted. Interim revenue increased 41% to GBP13.8 million from GBP9.8 million in the previous year's first half. Basic earnings per share rose 36% to 9.9p.
"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%," commented Chief Executive Dorian Gonsalves.
"Having demonstrated the resilience of the group's business model throughout 2020, in the first half of 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."
Gonsalves added that he was "confident of achieving a strong trading performance for the full year" following the positive interim results and "high activity levels within all areas" of the business at the start of the second half.
A gradual return to a more normal trading level is anticipated by Belvoir in the fourth quarter, following the end of the stamp duty holiday on September 30.
The company noted that the lettings market remains active with strong demand from tenants, while the mortgage market still has a strong pipeline of written business.
By Will Paige; [email protected]
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