07:00 Thu 28 Jan 2021
Belvoir Group PLC - Trading Update - Ahead of Expectations
This announcement contains inside information.
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BELVOIR!
BELVOIR GROUP PLC
(the "Company" or "Belvoir" or "Group")
Pre-Close Trading Update
Trading Ahead of Expectations
Belvoir Group PLC (AIM:BLV), the
The Board is delighted to report that trading in 2020 exceeded its pre-Covid-19 expectations with revenue up 12% to
The property division achieved revenue growth of 12% of which 10% related to the acquisition of the Lovelle network. The Lovelle network comprises of eleven franchise offices and six corporate-owned offices, which were franchised out between
Management service fees ("MSF"), the key underlying return from franchisees, was up 3% to
Revenue from the financial services division increased significantly by 13% to
The swift and decisive action taken by the Board to reduce its cost base at the start of the pandemic left overheads significantly below the original budget, with some of those savings continuing into 2021.
The Group's operating activities are highly cash generative and are underpinned by 60% of gross profit arising from the recurring lettings business. At the year end net debt had reduced significantly to
As a result of the strong trading performance in 2020, the Board decided to reimburse staff for the salary sacrifice made during the first lockdown and to fully repay the
"The Group has once again demonstrated the incredible resilience of the Belvoir franchise business model, having consistently reported profit growth for 24 consecutive years, including through the 2007 financial crash, the 2019 ban on tenant fees and now the 2020 Covid-19 pandemic.
"All parts of the business have performed exceptionally well despite the backdrop of the pandemic. This has been largely thanks to our employees, who have worked tirelessly to support our networks, and to our property franchisees and financial services advisers, who in turn have continued to deliver the best possible service to their clients.
"The Board is mindful that we are not yet through the pandemic and it is too early in 2021 to gauge the medium-term impact of Covid-19. We are conscious that the stamp duty holiday is due to end on
"The Board remains focused on its successful growth strategy that has ensured the expansion and the diversification of the Belvoir Group from a single brand lettings franchise with 162 offices in 2014 to a multi-brand property franchise supporting a network of over 400 individual businesses across five distinct brands, specialising in residential lettings, property sales and property-related financial services."
Notice of Full Year Results
The audited results for the financial year ended
*unaudited
For further details:
Belvoir Group PLC
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01476 584900 |
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finnCap
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+44 (0) 20 7220 0500 |
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Buchanan |
+44 (0) 20 7466 5000 |
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Notes for editors:
About Belvoir Group PLC
Founded in 1995 and listed on AIM in 2012 (BLV.L), Belvoir operates a nationwide property franchise group with 410 offices across five brands specialising in residential lettings, property management, residential sales and property-related financial services. With its Central Office in Grantham,
For further information, please visit: www.belvoirgroup.com
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