Foxtons Group reported its Q3 2024 trading update, confirming a third consecutive quarter of growth.
Q3 revenue increased by 8% to £47.4m, up from £43.9m in Q3 2023.
Year-to-date revenue as of 30th September 2024 reached £125.9m, a 10% rise compared to £114.8m the previous year.
The growth was driven by a 36% increase in sales revenue, which rose to £13.5m compared to £9.9m in Q3 2023.
Lettings revenue remained steady at £31.6m, consistent with a strong Q3 in 2023.
Foxtons remained on track to achieve its medium-term target of £25m to £30m adjusted operating profit.
For sales, Q3 revenue was the highest since 2015, supported by market share gains and signs of market recovery.
Transaction volumes increased by 34% compared to the previous year, significantly higher than the wider market, which saw a 13% increase.
The under-offer pipeline was 23% higher than last year, indicating growing sales velocity.
Financial services revenue for Q3 was relatively flat at £2.3m, but year-to-date revenue increased by 3% to £6.8m.
Increased activity in lower-value product transfers affected average commission levels, although productivity improvements in advisory services helped offset this.
Guy Gittins, chief executive officer, said: “We have delivered our third consecutive quarter of growth, with Q3 revenues up 8% to £47.4m, and year-to-date revenue up 10% to £125.9m, as the momentum we have built across the business has been maintained, and we continue to cement our position as London’s largest lettings and sales agency brand.
“Continued market share growth, enabled by a focus on improving training, negotiator tenure, culture and our data and technology capabilities, and supported by early signs of market recovery, drove Q3 sales revenue up 36%.
“This growth was supported by a resilient performance in lettings, which continues to provide a valuable stream of recurring and non-cyclical revenues.
“We enter the final quarter with optimism: our sales agreed pipeline is 23% higher than this time last year, sales volumes in our markets continue to recover, and we are well placed to continue to unlock the value within our business.
“Our balance sheet and cash flow remain strong which will continue to support our growth and value creation initiatives, including both organic investments and synergistic lettings acquisitions.
“We are on track to deliver increased profitability in 2024, in line with consensus, and we continue to make progress towards our medium-term target of £25 million to £30 million adjusted operating profit.”
