Savills announces £1bn group revenue

Friday 12 August 2022

Savills plc, which has offices in Guernsey and Jersey, has announced a global group venue of over £1bn.

The real estate company released its unaudited accounts for the six months to 30 June 2022, which showed an underlying group profit before tax of nearly £60m.

The group’s transaction advisory and commercial transaction revenues both increased. However, the residential transaction advisory revenue was down by more than 10%. 

Pictured: Savills' Head of Office in Guernsey, Tony Rowbotham. 

Group Chief Executive, Mark Ridley, said that 2022 had presented “a number of heightened macro-economic, geopolitical, and, in some locations, continued Covid- related risks to investors, corporates and to many people's personal lives”.

“I am delighted with the responses of our people and our clients to doing business in challenging circumstances and specifically in respect of their support for Ukraine,” he said. 

“Despite staff cost inflation and the anticipated increase in discretionary costs, we have performed well so far this year, in line with the Board’s expectations. With our strong balance sheet, we are continuing to undertake a variety of business development activities across the Group to enhance our service to clients worldwide.

“With inflation driving interest rates up globally, a new experience for many market participants, real estate markets began to adjust in the second quarter. We expect that process to continue through the second half of the year."

Pictured: Head of Office in Jersey, Geri O'Brien. 

Mr Ridley continued: “However, there remains significant investor interest in the secure income characteristics of real estate and occupiers are progressively focusing on improving the sustainability characteristics of their portfolios as well as creating environments in which staff can thrive.

“At this stage it is too early to predict with any accuracy the potential impact of the political and economic environment on real estate transaction volumes globally, although clearly the risk is towards a short-term reduction in activity as markets adjust to, inter alia, rising debt cost. 

“Notwithstanding this risk, given our performance to date and having previously taken a cautious view of likely transactional performance in 2022, at this stage the Board’s expectations for the year as a whole remain unchanged.”