M Winkworth (WINK) investor relations material

Executive summary

• Network revenues increased 15% to £32m, driven by a 27% rise in sales and a 3–4% increase in lettings, with sales now accounting for 53% of network revenue.

• Opened three new offices and refranchised two, with continued investment in Prime Central London, digital platforms, and talent to support network expansion.

• Net cash from operating activities doubled to £0.96m, supporting franchisee expansion and platform evolution.

• Ordinary dividend per share increased by 10% to 6.6p, reflecting a progressive dividend policy.

• Focus remains on maintaining a top-three market position and backing talented individuals in key regions.

Financial highlights

• Network revenue rose to £32m (+15% YoY), with sales revenue up 27% to £16.9m and lettings revenue up 3–4% to £15.1m.

• Group revenue increased 1% to £5.2m, with owned offices up 11% to £1.67m.

• Profit before tax fell 19% to £0.83m due to higher admin expenses and one-off costs such as marketing and office relocation.

• Cash at period end was £3.86m–£3.90m, down from £4.12m YoY, with no debt.

• Basic earnings per share at 4.77p, down from 5.88p year-over-year.

Outlook and guidance

• Continued focus on expanding the franchise network, especially in London, with up to five new offices expected for the year and further expansion likely to exceed the annual target.

• Ongoing investment in digital capabilities, talent acquisition, and platform enhancements to support growth and operational efficiency.

• Renewed sales interest and a potential boost in transactions expected due to lower mortgage rates and increased affordability.

• UK house prices expected to grow up to 4% in 2025, with London likely to outperform.

• Plans to recycle capital and evaluate owned office performance as opportunities arise.