REG - Fletcher King PLC - Half-year Report
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RNS Number : 1833M Fletcher King PLC 19 December 2025
FLETCHER KING PLC
("Fletcher King" or the "Company")
Interim Results for the 6 months ended 31 October 2025
Financial Highlights
Unaudited six months to 31 October 25 Unaudited six months to 31 October 2024 Audited year to 30 April 2025
Turnover: £1,631,000 £1,603,000 £3,841,000
Earnings before tax: £1,000 £85,000 £274,000
Basic EPS per share: 0.01p 0.52p 1.48p
Dividend proposed per share: nil nil 2.25p
Operational Highlights
· Earnings before tax for the six months to 31 October 2025 was
roughly breakeven.
· A quiet period for property transactions has been compensated for
by an increase in non-transactional revenue
· Facilities management services were insourced during the period, which
the Company believes will add annualised revenues of approximately £270,000
per annum
· Client services were strengthened with a circa. £100,000 investment
in personnel, particularly in facilities management and property valuation
teams
Commenting on the results David Fletcher, Chairman of Fletcher King said:
"During the period, we have strengthened our service offering as we continue
to focus on growing non-transactional revenue.
Our strong balance sheet gives us the confidence to invest, even when property
markets remain subdued, and we will continue to look for opportunities to
grow.
We hope that property market conditions will improve in the second half of the
financial year and provide the right circumstances for some of the
transactions in the pipeline to complete."
This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.
ENQUIRIES:
Fletcher King Plc
David Fletcher / Peter Bailey
Tel: 020 7493 8400
Cairn Financial Advisers LLP (Nomad)
James Caithie / Liam Murray
Tel: 020 7213 0880
The interim results are available on the Company's website:
www.fletcherking.co.uk
CHAIRMAN'S STATEMENT
Results
Turnover for the period was £1,631,000 (2024: £1,603,000) with a profit
before tax of £1,000 (2024: £85,000).
Dividend
The Board is not declaring an interim dividend (2024: no interim dividend).
During the period, a dividend of 2.25p per share was paid (2024: 2.25p per
share).
The Commercial Property Market
Investor and occupier sentiment towards commercial property has continued to
be negative as the calendar year draws to a close with confidence dropping to
a two-year low with transaction volumes down and activity remaining sluggish.
The exception however, is London which is defying the trend.
According to MSCI published data, total returns for all property over the last
3 months were 1.5%, and 7.7% over 12 months of which nearly 6% was derived
from income and less than 2% from capital growth. The net initial yield for
all commercial property stands at 5.22% per annum.
Retail was the best performer (9.4% total annual return) with prime shopping
centres, retail warehousing and South East shops showing the strongest
returns although there are signs that this recovery is now slowing down. These
returns were closely followed by Industrial (8.9%) where rental values have
generally continued on an upward trajectory (particularly in London, Bristol
and Leeds) with growth of around 5% over 12 months. This is despite increases
in occupancy costs arising from the UBR re-valuation effective from April
2026. Offices again came a poor third with a total return of just 3.1%.
Capital values have continued to fall by 2.2% as yields slide across all sub
markets, with the exception of London and in particular the West End.
In London, office investment surpassed 2024 levels with volumes reaching
£6.4bn driven by rising investor confidence and growth in rental values. The
West End has led the way with 74% of volumes in the 3rd quarter with prime
yields remaining stable for grade A space and rental growth of around 7.25%
over the year, resulting in a total return of 8%. The supply/demand imbalance
in central London with only 6.28 million square feet under construction for
delivery between 2026 and 2028, is undoubtedly fuelling rental growth across
the Capital.
Finally it is interesting to note that of all the other sub sectors, student
housing continues to attract large amounts of institutional investment with
the third quarter producing particularly strong figures with £1.83bn
transacted and with the year to date investment standing at £3.4bn, up 3% on
the same period last year. An impressive £50bn has been invested over the
last decade into the sector.
Business Overview
The market for property transactions has remained subdued and it has also been
a lean period for concluding rating appeals. As a result, transactional
revenue is reduced compared to the same period last year. This has been
compensated by increased revenue in other areas of the business as the Company
continues to focus on growing non-transactional revenue.
In late August 2025, the Company brought facilities management services in
house which the Company believes will yield additional annualised revenues of
approximately £270,000 per annum, to be partially offset by an increase in
associated personnel costs.
In addition to recruitment into the facilities management team, the Company
has also significantly strengthened the valuation team with recruitment at all
levels.
Whilst turnover is similar to the same period last year, the investment in new
personnel (both within facilities management and the valuation team), with
associated recruitment costs and induction time totalling approximately
£100,000, has impacted earnings before tax for the first half of the year,
which is roughly break-even.
Outlook
The outlook for the remainder of the financial year to 30 April 2026 is more
encouraging and it is hoped that there will be better progress in closing some
of the transactions in the pipeline.
As always, our balance sheet is strong and provides optionality for investment
activity whilst giving comfort to new and existing clients and staff.
DAVID FLETCHER
CHAIRMAN
19 December 2025
Fletcher King Plc
Consolidated Interim Statement of Profit or Loss and Comprehensive Income
for the 6 months ended 31 October 2025
6 months ended 6 months ended Year ended
31 October 31 October 30 April
2025 2024 2025 (Audited)
(Unaudited) (Unaudited)
£000 £000 £000
Revenue 1,631 1,603 3,841
Employee benefits expense (1,061) (967) (2,313)
Depreciation and amortisation expense (99) (98) (196)
Other operating expenses (533) (514) (1,122)
Other operating income 22 22 44
Share based payment expense (10) (26) (99)
(1,681) (1,583) (3,686)
Finance income 53 70 128
Finance expense (2) (5) (9)
1 85 274
Profit before taxation
Taxation - (32) (121)
Profit for the period 1 53 153
Earnings per share (note 4)
- Basic 0.01p 0.52p 1.48p
- Diluted 0.01p 0.52p 1.48p
Dividends per share
Interim dividend proposed - - -
Dividends paid 2.25p 2.25p 2.25p
Fletcher King Plc
Consolidated Interim Statement of Financial Position
as at 31 October 2025
31 October 31 October 30 April
2025 2024 2025
(Unaudited) (Unaudited) (Audited)
£000 £000 £000
Assets
Non-current assets
Software 31 49 39
Property, plant and equipment 61 111 84
Right-of-use asset 91 206 148
183 366 271
Current Assets
Trade and other receivables 1,498 1,220 1,652
Cash and cash equivalents 3,478 824 4,210
Fixed term deposits - 2,950 -
4,976 4,994 5,862
Total assets 5,159 5,360 6,133
Liabilities
Current liabilities
Trade and other payables 666 716 1,319
Corporation tax 123 129 123
Lease liabilities 130 120 211
Total current liabilities 919 965 1,653
Non current liabilities
Lease liabilities - 107 20
Shareholders' equity
Share capital 1,025 1,025 1,025
Share premium 522 522 522
Share based payment reserve 194 111 184
Reserves 2,499 2,630 2,729
Total shareholders' equity 4,240 4,288 4,460
Total equity and liabilities 5,159 5,360 6,133
Fletcher King Plc
Consolidated Interim Statement of Changes in Equity
for the 6 months ended 31 October 2025
Share
Share Share Option Retained TOTAL
capital premium Reserve earnings EQUITY
£000 £000 £000 £000 £000
Balance at 1 May 2025 1,025 522 2,729 4,460
184
Profit for the period - - - 1 1
Equity dividends paid - - - (231) (231)
Share based payment expense - - 10 - 10
Balance at 31 October 2025 (Unaudited) 1,025 522 194 2,499 4,240
Balance at 1 May 2024 1,025 522 2,807 4,439
85
Profit for the period - - 53 53
-
Equity dividends paid - - - (230) (230)
Share based payment expense - - 26 - 26
Balance at 31 October 2024 (Unaudited) 1,025 522 111 2,630 4,288
Balance at 1 May 2024 1,025 522 2,807 4,439
85
Profit for the year - - 153 153
-
Equity dividends paid - - - (231) (231)
Share based payment expense - - 99 - 99
Balance at 30 April 2025 (Audited) 1,025 522 2,729 4,460
184
Fletcher King Plc
Consolidated Interim Statement of Cash Flows
for the 6 months ended 31 October 2025
6 months ended 6 months ended Year ended
31 October 31 October 30 April
2025 (Unaudited) 2024 (Unaudited) 2025
(Audited)
£000 £000 £000
Cash flows from operating activities
Profit before taxation from continuing operations 1 85 274
Adjustments for:
Depreciation and amortisation expense 99 98 196
Finance income (53) (70) (128)
Finance expense 2 5 9
Share based payment expense 10 26 99
Cash flows from operating activities
before movement in working capital 59 144 450
Decrease in trade and other receivables 154 748 316
(Decrease) in trade and other payables (653) (694) (91)
Cash (absorbed by) / generated from operations (440) 198 675
Taxation paid - - (95)
Net cash flows (used in) / from operating activities (440) 198 580
Cash flows from investing activities
Purchase of fixed assets (11) - (4)
Increase in fixed term deposits - (450) 2,500
Finance income 53 70 128
Net cash flows from / (used in) investing activities 42 (380) 2,624
Cash flows from financing activities
Lease payments (103) (91) (90)
Dividends paid to shareholders (231) (230) (231)
Net cash flows used in financing activities (334) (321) (321)
Net (decrease)/increase in cash and cash equivalents (732) (503) 2,883
Cash and cash equivalents at start of period 4,210 1,327 1,327
Cash and cash equivalents at end of period 3,478 824 4,210
Fletcher King Plc
Explanatory Notes
1. General information
The Company is a public limited company incorporated and domiciled in England
and Wales. The address of its registered office is 19-20 Great Pulteney
Street, London W1F 9NF.
These interim financial statements were approved by the Board of Directors on
19 December 2025.
2. Basis of preparation
The interim financial information in this report has been prepared using
accounting policies consistent with international accounting standards or IFRS
Accounting Standards ("IFRS") as endorsed by the UK. IFRS is subject to
amendment and interpretation by the International Accounting Standards Board
(IASB) and the International Financial Reporting Standards Interpretations
Committee (IFRIC) and there is an ongoing process of review and endorsement by
the UK Endorsement Board. The financial information has been prepared on the
basis of IFRS that the Directors expect to apply for the year ended 30 April
2026.
The accounting policies applied by the Group in this interim report are the
same as those applied by the Group in the consolidated financial statements
for the year ended 30 April 2025. There are no new standards, interpretations
and amendments, effective for the first time from 1 May 2025, that have had a
material effect on the financial statements of the Group.
2.1 Going concern
The Directors have carried out an analysis to support their view that the
Group is a going concern and under which basis these interim financial
statements have been prepared. Underlying their conclusion is the Group's cash
balance as at 31 October 2025 of £3.5m. The Board believes it is well placed
to navigate a prolonged period of uncertainly if necessary.
Analysis and scenario testing has been carried out on the Group's main income
streams. Based on the results of this analysis, the Board believes that the
Group has the ability to continue its business for at least 12 months from the
date of approval of the interim financial statements and therefore has adopted
the going concern basis in the preparation of this financial information.
3. Non Statutory Accounts
The financial information for the periods ended 31 October 2025 and 31 October
2024 and the year ended 30 April 2025 set out in this interim report does not
constitute the Group's statutory accounts for that period. Whilst the
financial figures included in this interim report have been computed in
accordance with IFRS, this interim report does not contain sufficient
information to constitute an interim financial report as that term is defined
in IAS34. The statutory accounts for the year ended 30 April 2025 have been
delivered to the Registrar of Companies. The auditors reported on those
accounts; their report was unqualified, did not contain a statement under
either Section 498(2) or Section 498(3) of the Companies Act 2006 and did not
include references to any matters to which the auditor drew attention by way
of emphasis.
The financial information for the 6 months ended 31 October 2025 and 31
October 2024 is unaudited.
Fletcher King Plc
Explanatory Notes
4. Earnings per share
6 months to 31 October 2025 6 months to 31 October 2024 Year ended 30 April 2025
Number Number Number
Weighted average number of shares for basic earnings per share 10,252,209 10,252,209 10,252,209
Share options (dilution at prevailing average share price) - 27,545 -
Weighted average number of shares for diluted earnings per share 10,252,209 10,279,754 10,252,209
£000 £000 £000
1
Earnings for basic and diluted earnings per share: 53 153
Basic earnings per share 0.01p 0.52p 1.48p
Diluted earnings per share 0.01p 0.52p 1.48p
Forward Looking Statements
Certain statements in this announcement are forward-looking statements
relating to the Company's operations, performance and financial position based
on current expectations of, and assumptions and forecasts made by, management.
They are subject to a number of risks, uncertainties and other factors which
could cause actual results, performance or achievements of the Company to
differ materially from any outcomes or results expressed or implied by such
forward-looking statements. Undue reliance should not be placed on such
forward looking statements. They are made only as of the date of this
announcement and no representation, assurance, guarantee or warranty is given
in relation to them including as to their accuracy, completeness, or the basis
on which they are made.
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