Foxtons Group PLC hires more sales staff after strong start to 2022

Foxtons Group PLC (LSE: FOXT) reported a strong start to 2022 with first quarter revenue 8% higher than a year earlier at £30m.

Publishing a brief business update ahead of its annual shareholder meeting, the estate agent said the supply of stock with its rental business remained tight, with upward pressure on rents as people return to town centers.

Benefiting from a full three months of contribution from the D&G acquisition compared to one month last year, Lettings saw the fastest rate of growth, with sales up 21% to £17.9m with organic growth of 10%.

In sales, the under-deal pipeline is currently 8% higher than last year, but another tougher quarter is ahead compared to last year, when there was a strong increase in activity before the June 30, 2021 deadline for the Stamp Duty Holiday.

“Our sales activity continued to drive market share growth and entered the second quarter with a strong under-deal pipeline,” said boss Nic Budden.

As part of its growth strategy, Foxtons (LSE: FOXT) is increasing the number of trade dealers in its branches “to maximize disposable income and profit opportunities”.

Mortgage brokerage revenue rose 5% to £2.4m as mortgage business saw a good level of growth as homeowners sought to lock in rates ahead of further rate hikes.