Real-estate agent M Winkworth anticipates meeting profit expectations despite a drop in completed sales
- M Winkworth expects pretax profit to meet market expectations
- Completed sales in its network have fallen
- Prices in the U.K. property market ended the year 5% below their peak
- Network completed sales fell by around 19%
- Already agreed and contracted sales will be reported in 2024
- The company has a stronger pipeline for 2024
- Rental property shortages led to a 5% increase in network revenue
- Lower growth and slowing rent increases are forecasted for 2024
- A dividend of 3.0 pence per share was declared for the fourth quarter
M Winkworth, a real-estate agent, expects its pretax profit to meet market expectations, despite a decline in completed sales within its network. The company forecasts a profit of 2.1 million pounds ($2.7 million) for 2023, in line with the current market forecast. However, completed sales in the network have fallen by approximately 19% due to buyer hesitancy and legal delays in conveyancing. Despite this, prices in the U.K. property market ended the year just 5% below their peak in summer 2022. The company has a stronger pipeline for 2024, as a number of already agreed and contracted sales will be reported in that year. Additionally, rental property shortages have led to a 5% increase in network revenue, offsetting slower sales completions. Looking ahead, M Winkworth forecasts lower growth and slowing rent increases for 2024. The board has declared a dividend of 3.0 pence per share for the fourth quarter, bringing the full-year total to 11.7 pence.
Public Companies: M Winkworth (N/A)
Private Companies:
Key People:
Factuality Level: 7
Justification: The article provides specific information about M Winkworth’s expected pretax profit, the reasons for the fall in completed sales, the impact of rising interest rates on the property market, and the company’s forecast for future growth. The information is presented in a straightforward manner without any obvious bias or opinion masquerading as fact. However, the article lacks additional context or analysis, such as comparisons to industry trends or expert opinions, which could provide a more comprehensive understanding of the situation.
Noise Level: 3
Justification: The article provides information on Winkworth’s expected pretax profit, the impact of rising interest rates on the UK property market, the reasons for the fall in completed sales, and the company’s forecast for future growth. However, the article lacks in-depth analysis, evidence, and actionable insights. It mainly focuses on financial figures and does not explore the consequences of decisions or hold powerful people accountable.
Financial Relevance: Yes
Financial Markets Impacted: Real estate market
Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article discusses the financial performance of M Winkworth, a real-estate agent. It mentions a fall in completed sales due to rising interest rates and buyer hesitancy. However, the company expects its pretax profit to meet market expectations. There is no mention of any extreme events or their impact.
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