Franchise group MartinCo has announced strong interim results for the first six months of this year, with revenue and profits both up.
It has also confirmed it now operates in the hybrid estate agency sector and will build the number of Local Property Experts.
In the first half of this year, earnings before interest, tax, depreciation and amortisation (EBITDA) were up 31% through its 289 offices nationwide.
MartinCo, which encompasses estate agency and lettings brands Martin & Co, CJ Hole, Parkers, Ellis & Co and Whitegates, last week acquired EweMove Sales and Lettings – describing it as an “online franchise organisation”.
Ian Wilson, chief executive, said: “I am delighted to announce this very strong performance in the first half of the year which reflects the significant strategic growth achieved over the period.
“The company is in its strongest position since its admission to trading on AIM in 2014, and considering the current momentum, the board remains confident of future progress for the benefit of shareholders and other stakeholders.
“Market conditions became challenging as the Brexit vote approached and, whilst uncertainty remains, there are now signs of recovery in lettings transactions.
“Estate agency activity is mildly depressed in London and the south compared to the same period in 2015 but activity in the midlands and north remains in line with our budgetary expectations.”
Revenue in the six months to the end of June rose 12% to £3.7m and operating profit increased by 22% to £1.6m.
Out of 289 offices, 271 are now offering sales as well as lettings – Martin & Co’s traditional specialism.
Wilson also said that the company is now a player in the hybrid space following its acquisition of EweMove.
He said: “A hybrid agent operates a scalable central technology platform and operational hub to support local property experts/franchisees.
“The directors believe that there is capacity in the UK market for substantial growth in the number of local property experts.
“We will exploit our existing infrastructure and experience to support and accelerate this growth, whilst leveraging the acquired marketing and technology know-how across the rest of the group.”
The group, which was Martin & Co, uses MartinCo for stock market purposes. It is otherwise now known as the Property Franchise Group.
Comments (13)
It is a mis-conception that on-line agents have lower selling costs than the high street agent or indeed the small independent local agent. Who usually have a excellent local knowledge and you are treated as a “client” rather than a number especially when the owner works the business.
Martin & Co seem to be trying to eat up all small agents by offering to buy their portfolios. Also by forcing the current franchises to become sales agent or “selling” that sales area to somebody else.
Not everybody wants to be with a multi national chain who often are not flexible and you are just a number.
I believe, and have long said, that estate agency must evolve but do so in a way that is legal and puts the customer first. There is nothing wrong with working from home (I’ve done so very successfully for a number of years in addition to my main office). I believe what concerns most good genuine local expert agents, is the flagrant, cynical and blatant lawbreaking and deceit of customers by certain agents, and the apparent freedom from penalty they enjoy.
Having a high street office is not essential in every town. Having genuine local knowledge and the skills to effectively market, sell and complete on transactions to a promised service level is.
Are high street agents not local property experts?
Local estate agents are. An LPE covering both Manchester and Liverpool isn’t.
Your lack of research is alarming…
Like it or not hybrid agents aren’t changing the industry rapidly
Like the man said !!
Seems to me that in a few years time it will be like in America – where every other person you meet is a realtor. Except that over here we shall call them Local Property Experts. Gawd help us.
With our faces on the boards – bright white teeth and all!
Are*
you were right first time TheHybridAgent. Freudian slip!?
Every estate agent in the country is watching the rise of the hybrid agent… It’s happening.
Either sit sit back and watch the industry torn apart or adapt to the changes.
Its very simple.
Like it or not hybrid agents aren’t changing the industry rapidly
Like the man said !
This is great news,
More agents recognising the significant change in consumer habits and tailoring their business models to suit.
Like it or not hybrid agents aren’t changing the industry rapidly. Hitting market shares hard across the country.