REG - Savills PLC - AGM Statement

SavillsAnnouncement

14/05/2025 07:00

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RNS Number : 5368I  Savills PLC  14 May 2025

14 May 2025

SAVILLS PLC

 

("Savills" or "the Company")

 

Trading update

 

Ahead of its Annual General Meeting (AGM) to be held at 12 noon today at
Savills, 33 Margaret Street, London W1G 0JD, Savills plc, the international
real estate advisor issues the following trading update:

 

Savills has traded broadly in line with our expectations in the first quarter
and for the year to date, and comfortably ahead of the comparable period last
year.

 

Highlights:

 

·      Our global capital transaction revenue improved (+7% in Q1),
particularly in EMEA and, with some exceptions, values are largely
recalibrated in most prime markets.  There is renewed investor interest in
prime core office stock throughout Europe.

·      Leasing revenues grew over 20% in Q1 as markets have continued to
be more active across most sectors.

·      Most prime residential markets have remained resilient through Q1
with the UK performing better than last year in advance of the increase in
Stamp Duty.

·      Savills less transactional businesses (Property Management,
Investment Management and Consultancy) have performed as expected, with a
particularly strong performance in Consultancy.

·      The uncertainty created by recent macro-economic and geopolitical
events has resulted in a short term slow-down in global transaction activity,
which we expect to recover as sentiment becomes more certain.

·      The Group's underlying pipeline of potential transactions is
significantly improved compared with the same time last year.

 

Our less transactional businesses continue to provide a solid platform for the
Group with a resilient earnings stream. Meanwhile on the transactional side,
there remains significant investor interest in the secure income
characteristics of real estate, and in most major cities the office market is
seeing much greater investor demand.

 

Outlook

 

We continue to develop our business through selective recruitment and
acquisitions, supported by a strong balance sheet.

 

We expect that the impact of tariffs on the execution of transactions in Q2
means that Savills H1 performance may be largely similar to last year, however
we anticipate continued improvement in market conditions through the second
half of the year.

 

The Group's Half Year Results for the six months to 30 June will be announced
on 14 August 2025.

 

Mark Ridley, Chief Executive, commented:

 

"We have had a good start to the year with performance comfortably ahead of
the prior year, reflecting progressive recovery in most markets. The current
macro-level uncertainty is clearly having a near term impact on transactional
activity, as investors and corporates digest the potential effects of recent
events. However, I am confident that the underlying trajectories for our
transactional businesses are substantially improved year-on-year. I am
delighted with the performance of our teams worldwide in helping clients
navigate these circumstances and in seeking longer term business development
initiatives, which our strong balance sheet enables us to pursue."

 

 

 

 

For further information, contact:

 

Savills
 
020 7409 8934

Mark Ridley, Group Chief Executive

Simon Shaw, Group Chief Financial Officer

 

Teneo
 
020 7353 4200

Elizabeth Snow

Jo Blackshaw

 

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