Savills lifts profits, flags signs of housing market recovery

8th Aug 2013 07:38

Savills said it appeared UK households were starting to consider moves that they had put off for years as it reported a 25 per cent leap in half year profits.The international real estate company said in recent weeks it had seen a significant increase in new registered applicants and viewings in both London and the country. It follows a strong first half for its UK residential business with fee income rising 15% to £52.5m but that was mainly driven by the prime London market where volumes exchanged in the period rose by 5.0% compared with an 8.0% decline in volumes outside of London. It said its average London agency transaction value increased by 18% to £3.2m while the average country transaction value declined by 9.0% to £1.0m. Savills reported group profits rose to £21.4m from £17.1m thanks to strength in the UK and Asia Pacific and after it reduced its losses in Continental Europe. It has lifted its dividend by 6.0% to 3.5p. Chief Executive Jeremy Helsby said: "Looking to the second half we currently see no change in the overall outlook for our business."But he added: "In Asia as previously indicated we anticipate a reduction in activity levels in Hong Kong and Singapore as the latest Government measures affect the transaction pipeline for the second half."TB