Foxtons saw its share price fall sharply yesterday after it warned that subdued consumer confidence meant it was on track for flat annual profits, despite a recent boost in housing market activity.

The estate agency group, which yesterday announced that it has acquired Cauldwell Property Services for £6.5m to expand its presence in Milton Keynes, reported a rise in full-year revenue on Thursday but flat profits.

Shares in Foxtons closed 6.3% lower, at 53.4p, following an update for the year to the end of December 2025, in which the company said total revenue had risen 5% on the prior year to £172m, while adjusted operating profit was steady at around £22m.

Lettings revenue was up around 5%, driven by incremental revenue from acquisitions and broadly flat like-for-like revenues. Meanwhile, sales revenue also rose 5%, with incremental revenues from acquisitions offsetting a LFL revenue decline of 2%.

Revenue from the financial services segment grew about 10% during the year, driven by higher levels of refinance opportunities and growth in new purchase mortgages revenues.

The estate agent said the lettings segment is expected to remain resilient this year, supported by tenant demand and good stock levels, which underpin rental pricing and transaction volumes.

In sales, the year began with a lower under-offer pipeline than 2025, Foxtons said, “as a result of the significant sales market disruption around the Autumn Budget and a very strong comparative period in Q4 2024 (ahead of the March 2025 stamp duty deadline)”.

Due to the lower under-offer pipeline, Q1 sales revenues are set to be lower than those recorded in the first quarter of last year.

EYE NEWS UPDATE: Foxtons delivers revenue growth and announces new acquisition