Trading statement from Purplebricks says it has retained market share and reversed ‘significant losses’

Purplebricks said this morning that trading had been “resilient” in the face of subdued market conditions and that as a group it has been profitable.

This morning’s trading update relates to the six months to the end of October. The period is the first half of the online agent’s financial year.

It said that there has been an overall weakening in the UK property market, particularly in the south east.

However, it said it has maintained a 4% overall market share and expects to report an improvement in “marketing-to-revenue” ratio as planned efficiencies are now taking place.

In its short trading update, Purplebricks says its Canadian business has “modestly outperformed” expectations.

At group level, it expects revenue to be flat while “significant losses” have been reversed and that as a group it enjoyed “profitable trading” in the first half.

No figures were given but Purplebricks expects to say more next month when it announces its interim results.

Today’s update contains no reference to the US and Australian businesses, which it is wrapping up after disastrous expansion to those markets, or to the £100 increases in fees for sellers  in the UK which were introduced at the end of October.

Separately, Belvoir has also this morning released an update to the stock exchange.

In it, it announces an exclusive eight-year agreement with Yorkshire based agent Dacre, Son & Hartley by which Belvoir will provide financial services to Dacres’ 20-office network.

This will expand Belvoir’s financial services offering and is set to add around £100,000 to Belvoir’s operating profit in the first year of operation. It will also expand Dacres’ current team of four financial advisers to ten.

 

 

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12 Comments

  1. GPL

     
    Drum Roll Pleeeeeeeze….
     
    Notable today that Disney release the Childrens Fantasy Film Frozen 2
     
    …..whilst we are poised for the latest Fantasy/Fiction Release from Purplebricks …..or will it actually feature reality?
     
    You, The Audience… decide!
     
     

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  2. Bless You

    Peak oil for bricks? 4% . If it goes down to below that, share sharks will move on.

     

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    1. Bless You

      Where do bricks and companies print this news/ trading statements.? 

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      1. Hillofwad71

        They are regulatory news statements .They normally appear at 7.00am on the Stock Exchange website for the market to digest the info before trading starts at 8.00am
        Bricks SP is currently up today -so far !
        Most listed companies allow you to sign up  on their investors website where you will receive an email alert

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        1. Bless You

          Bkess u hillo

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  3. Hillofwad71

    Well Vic that must go on record as the thinnest update ever . I guess the devil is in the detail
     
    So for “maintaining 4% share ” Read instruction  levels down 10%  which is in a polar opposite direction than anticipated in the  Hardmans report which informed investors to expect  100k this financial year so about 33% below target  
     
    Significant losses being reversed  
     
    Let’s face it  having achieved an operating loss for the whole year of £52m that shouldn’t have been too difficult  now the overseas expansion has  been halted   The Group enjoyed  profitable trading but need to increase fees by a £100 to do so to amkeup for the shortfall in instructions  
     
     
    How profitable Vic .give us a clue  UK better or worse than last year?
     
      EYE readers will be pleased to know however  that there was 1 winner yesterday .Sporting Ken Bruces’s  Colonel Frank came with a late rattle  got his head up to win on the line at Nottingham at a very tasty 10-1
    Cant compare with the result Sporting Ken enjoyed with his exit  flogging the last chunk of his shares earlier this year  though .Giddy up Meanwhile in Oz former  agents  are babysitting their former instructions at Bricks whilst employed elsewhere .
     
    I guess it makes sense ! I wonder what  the vendors think ?    

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  4. The Future Is Tech

    Saving money left right and centre at the bricks HQ.  How many staff and LPEs have left now? How many more departments have you closed? How many more customers haven’t had any customer service due to your greed of saving money?

    It’s all about the money under Darveys watch, not about the people.

    No Christmas party this year? £25 per head budget for the agents to do their own! If that’s not a slap in the face thank you for the ones on the front like bringing in the business in the first place I don’t know what is.

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    1. PeeBee

      Debbie – the faceless ‘face’ of Customer services – went a while ago.

      She had the job from Hell as far as I’m concerned but was a dedicated professional and rode the punches like the best of ’em.

      The current bunch couldn’t handle a hamster, never mind the deluge of customers suffering #CONmisery…

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  5. AgencyInsider

    4% of what? Instructions? SSTC? Solds?

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    1. Chris Wood

      F’ all 😉

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  6. Woodentop

    So had a reasonable first half year but flat lined the second half normally reads ….. just keeping afloat, to oh no we have sprung a leak. I’m confident the colour purple will be disclosing another massive loss as 6 months of poor market is just the thing that kills these companies off, incoming revenue does not match the operating costs. I think we are seeing the last throw of the dice and once that investigation into their operations is announced, the axe will drop. We are coming into the quietest quarter of the year … it can only get worse for them. The propaganda spin hasn’t changed for years and everyone can now see the real PB for what it is.

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  7. Property Pundit

    So, basically, still only serving the historic FSBO element of the market.
     
    Can’t wait to read Housesimple’s next trading update.

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