Spicerhaart is in a strong position to deliver growth across its across its business, despite the challenges facing the housing market, including a sharp fall in property transactions, according to the firm’s executive chairman and founder Paul Smith.
Smith who moved into his new role at the business last week, having previously been CEO of the firm, points to the fact that the estate agency group ploughed millions of pounds into growth plans last year, employing more people across its business and further developing its self-employed network of financial advisers, as a primary reason why the firm is set to grow.
The company revealed in its annual accounts for 2022 that it had generated a £139m turnover – the same as the previous year.
However, an £11m increase in operating costs, including investment in staffing to support future growth in the company’s estate agency, lettings and financial services businesses, has led to an overall £5m loss for the year.
Smith said “Last year was extremely challenging for most in our industry, with economic and political uncertainty, inflationary pressures, the cost-of-living crisis, conveyancing capacity issues and protracted mortgage completions.
“Despite all this, the Spicerhaart Group traded well relative to challenging market conditions, generating a 9% increase in turnover for Financial Services and a 4% increase in Residential Lettings. Estate agency outperformed the wider sales market decline and mitigated the turnover reduction to 5% and the income for our Surveying division declined, impacted heavily by the significant and unexpected market reduction in the last quarter of 2022.
“We are now focusing on building a more competitive and resilient business which will benefit as market conditions improve and is well placed to deliver growth in the medium term.”
The company has recently announced a restructuring of its property management division which has led to a number of new hires, aimed at further enhancing landlord retention and customer service.
Smith added: “Our team has been extremely resilient during these challenging times and, on behalf of the Board, I would like to convey my sincere thanks for all their hard work and continued commitment to delivering the best service possible to our customers across the UK.”
Mr. Smith set up and grew his business when the likes of the Pru,GA and Black Horse were facing the challenges of being geared up to a booming market when the market had gone quiet so he’s now facing the challenges his competition were facing back then, He’s the the pike in the pond and those that angry rant about him on here are the fry.
Mr. Smith and his team know what they need to do. None of us know when the confidence will return or what’s going to happen to interest rates but the affects of events in 1988 lasted till 1994 so its easily possible the SDLT winter could be equally as long.
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You should marry him xxxx
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What a good idea! Then you can post I only married him for his money
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Or to lick his bottom again 🙂
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There was another ” ” developer ” ” on here a while back Jan, you remind me of him
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Aren’t % letting fees influenced by record rental price growth, the National average is 5.1%
Oh dear still lost money…. Looks like the old CW guys destroyed through friends (who also did over) were doing better
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Another interesting article, so finally all the dots are connecting … £ 140milion turnover, – £ 5mil, in a market where rents tripled and so the % … Connels, Foxtons, Saviils, Kingh Frank, Chestertons are up, even Leaders Romans Group with all thee acquisition and money spent is still making profit, while faart managed to spend £ 140+5mil apparently in “Operating costs, including investment in staffing to support future growth in the company’s estate agency, ” … I am sure that by the time they will achieve the famous milestone of “500,000 managed proeprties” the losses would be tripled. don’t worry, now with the “new” CEO the music is changing for sure.
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