Agency AGMs: Lettings market helps TPFG and Winkworth remain confident 

Two major agency brands used their annual general meetings (AGM) yesterday to outline a positive view of the property market, with a strong reliance on lettings over sales.

Paul Latham, non-executive chairman of The Property Franchise Group (TPFG), insisted the company remains in a strong position despite the challenging market.

He said “The board is pleased to announce that in a challenging environment, the resilience of TPFG's franchise model and of its recurring income streams, most notably lettings, continue to stand the group in a strong position despite the wider market challenges.

Latham said  group revenue for the first four months to 30 April 2023 was unchanged over the prior year as were management service fees, adding: "Whilst the broader market remains uncertain, the board expects this to present opportunities that the group's robust balance sheet will allow it to explore. 

“Overall, the board continues to remain confident in achieving expectations for the full financial year."

Agency franchise brand Winkworth put forward a similar outlook at its AGM yesterday.

Dominic Agace, chief executive of Winkworth, said: "The first quarter of 2023 was in line with management expectations, with a greater weighting towards letting income as the much commented on rentals market continued to power ahead. 

“While interest rates are likely to peak at a higher level than previously anticipated, we believe that we are now nearing the top of the tightening cycle and would expect the sales market to perform satisfactorily for the year as a whole. With four new franchises scheduled to open in the second half, as well as some resales of franchises to new operators, we are well positioned for when confidence returns and transactions improve."