Belvoir has announced its 18th consecutive year of growth in profits – meaning that the franchise chain has grown every single year since inception.
The company has reported an 11% rise in revenue to £6.5m, with pre-tax profits up 10% to £1.8m, for the year to December 31.
The firm currently has 162 outlets with plans to increase its network to 200 within the next three years. Last year, there were 15 new franchise owners and eight new territories created.
CEO Mike Goddard said: “There is a lot of consolidation in our industry at the moment, with some big players buying up agencies. We are one of those big players and have a three-pronged strategy for growth.
“First, we will continue to bring new franchisees on board. Second, we will make small-scale acquisitions and rebrand them. And third, we will make large acquisitions of brands which could be stand-alone in our business.”
Goddard, who founded Belvoir, said that the remarkable track record of 18 consecutive years of success was down to “our steadfast intent” as a lettings specialist.
However, he said of Belvoir’s recent expansion into sales that it had proved “much more successful that we had thought”.
Goddard stepped back into the role of CEO after some time away from it – first appointing Dorian Gonsalves in the role and then Carl Chadwick. Chadwick quit after just two months last year.
Goddard, who describes himself as “a young 65”, said he had put his retirement on hold, and felt reinvigorated in the CEO role.
Gonsalves remains in the business as commercial and franchising director.
He reported that last year rents in the Belvoir network rose 3%, to average £706 per month.
Belvoir floated on AIM in February 2012.
What a great achievement – 18 consecutive years of profitable growth in just about every market condition – well done Belvoir!
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11K profit per branch. It will be zero if tenant fees are banned!
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Belvoir’s ‘profit’ is generated out of royalties received from its franchisees. A 10% reduction in a franchisee’s income in the event of tenant fees being banned would only mean a 10% reduction in Belvoir’s profit – not wipe-out.
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I know I sound like I’m pooh-poohing all this ‘growth’ malarkey – but can I just ask someone who’s ‘in the know’ to confirm what % increase in the number of “outlets” there was in the 12 month period this 11% in revenue and 10.8% increase in profit relates to?
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