REG - M Winkworth Plc - Dividend Announcement and Trading Update

M WinkworthAnnouncement

12/07/2023 07:00

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RNS Number : 6980F  M Winkworth Plc  12 July 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("MAR"). UPON PUBLICATION OF THIS
ANNOUNCEMENT THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC.

12 July 2023

M Winkworth plc

Dividend Announcement and Trading Update

 

The Directors of M Winkworth plc ("Winkworth" or the "Company") are pleased to
announce that the Company will pay a dividend of 2.9p per ordinary share for
the second quarter of 2023 to shareholders.

After a first quarter that was in line with management expectations, the sales
market proved to be more challenging in the second quarter of 2023 as interest
rates rose higher and faster than anticipated. Mortgage approvals, which in Q1
recovered from the low levels seen in Q4 2022, were reported below the levels
seen in the first half of last year. Property prices have held up reasonably
well but transactions have slowed, leading to a high number of agreed sales
being delayed to the second half of the year.

Demand for lettings continues to be strong and, representing approximately
half of group revenues, this activity will make a good contribution to group
income in 2023.

Preliminary gross network income figures for H1 2023 indicate an overall fall
of 6%, with lettings revenue approximately 11% higher and sales revenues down
by 20% compared with H1 2022.

As a result, the Directors expect H1 2023 pre-tax profits to be below last
year's level. While the Directors believe that confidence will return once
buyers can access a broader choice of mortgage finance, the outlook for sales
in the second half of the year remains uncertain and the shortfall in H1 2023
means that full year pre-tax profits are likely to fall below market
expectations.

The Company's balance sheet remains strong and debt free, with cash in line
with the level reported at 30 June 2022 despite continued investment in the
business.

 

The timetable for the dividend is as follows:

 Ex-Dividend Date *       20/07/2023
 Record Date **           21/07/2023
 Expected Payment Date    16/08/2023

 

*  Shares bought on or after the ex-dividend date will not qualify for the
dividend

** Shareholders must be on the Winkworth share register on this date to
receive this dividend

The person responsible for the release of this announcement on behalf of the
Company for the purposes of MAR is Andrew Nicol, Chief Financial Officer.

 

For further information please contact:

M Winkworth
Plc
Tel : 020 7355 0206

Dominic Agace (Chief Executive Officer)

Andrew Nicol (Chief Financial Officer)

Milbourne (Public
Relations)
            Tel : 07903 802545

Tim Draper

Shore Capital (NOMAD and
Broker)
            Tel : 020 7408 4090

Robert Finlay

David Coaten

Henry Willcocks

About Winkworth

Winkworth is the leading London franchisor of residential real estate agencies
with a pre-eminent position in the mid to upper segments of the sales and
lettings markets. The franchise model allows entrepreneurial real estate
professionals to provide the highest standards of service under the banner of
a long-established brand name and to benefit from the support and promotion
that Winkworth offers.

 

Winkworth is admitted to trading on the AIM Market of the London Stock
Exchange.

 

For further information please visit: www.winkworthplc.com
(https://url.avanan.click/v2/___http:/www.winkworthplc.com___.YXAxZTpzaG9yZWNhcDphOm86YTUxMjk4YWVmZmM0MTFlODM3NTllNzQ3MjZjZTExYWY6NjplYWI4OjBmY2ZhMTdiYTQ2MWJhZDA3MDI4NjI5M2NmNWI1MzAzNTNkMTExNDY0N2M5MDhhN2YzYzAzMzI0MWM1OGVkODM6cDpU)

 

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