Foxtons revenue falls amid reduced activity in London market
Foxtons has pinned a fall in revenue on reduced activity in the London property market, months after the estate agent said it was reviewing its expansion plans in light of uncertainty surrounding the EU referendum.
Income from property sales fell 34% to £12.2 million in the three months to September 30, with total turnover at the London-focused firm falling 13.7% to £37.5 million. Foxtons said the numbers reflect a "continuation of reduced activity in the London property sales market".
Revenue from lettings came in broadly flat at £22.8 million.
In July, boss Nic Budden said uncertainty surrounding the EU referendum had led to slow residential property markets in London during the first half of the year.
But Mr Budden struck an optimistic tone on Wednesday.
He said: "The long-term fundamentals of the London property market remain very attractive and represent a huge opportunity for growth with nearly £3 billion in total sales and lettings commissions on 2015 volumes.
"We have built Foxtons to withstand sales market cycles with our lettings revenue comprising over half the business."
Foxtons said it was committed to opening two more branches in the first quarter of 2017 in outer London, having warned in the month following the Brexit vote that it "may slow the pace of expansion in response to market conditions".