Winkworth has reported good results for last year “against a testing background”.

The franchise company brought in revenues of £5.42m, slightly down from 2016’s income of £5.57m, with pre-tax profits at £1.38m, again slightly down from £1.42m the year before.

Rental income increased to 46% of total revenues.

Average turnover per office was almost £500,000 which chairman Simon Agace said was “well above the average turnover of our franchise competitors”.

Total gross revenues of the Winkworth offices were £46.2m, little changed from the year before.

Agace, who founded the business, made it clear that Winkworth will continue to be the only brand – unlike, for example, the Property Franchise Company and Belvoir.

He said: “We do not believe in developing competing brands, not do we see any value in acquisitions at present.

“We expect to see some market consolidation as like-minded, non-competing companies consider merging as a way of achieving cost savings and growth.

“We will ourselves be alert to such opportunities but without burdening our shareholders with debt, which we consider as inappropriate at this point of the cycle.”

Winkworth added seven new offices last year and has so far opened two more this year. It said that new franchising applicant numbers are 25% up on this time a year ago.

CEO Dominic Agace said: “Our combination of local expertise, history and knowledge, combined with an evolving platform which drives leads to our office network under the umbrella of an established national brand, is a formula for success.

“We remain debt free, with a strong cash position and an increasing number of opportunities to grow in 2018.”

Shareholders are to be paid a 7.25p dividend.