Earnings release
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RNS Number : 2918P Property Franchise Group PLC ( The ) 05 August 2026 05 August 2026 THE PROPERTY FRANCHISE GROUP PLC ( " TPFG " , the " Company " or the " Group " ) Half Year Trading Update and Notice of Results Record first half performance , continued platform expansion , trading in line with market expectations The Property Franchise Group PLC , the UK's largest multi - brand property franchisor , announces its trading update for the six months ended 30 June 2026 ( the " Period " ) , ahead of publishing its interim results on Wednesday 9 September 2026 . The Group has delivered robust organic growth in the first half of the year , demonstrating the resilience of its diversified , franchised model in a subdued sales market , with full year trading anticipated to be in line with market expectations . Highlights 1 • Group revenue increased 7 % to £ 43.3m ( H1 2025 : £ 40.3m ) 1 § 4 % increase on a like for like basis Franchising revenue increased by 8 % to £ 24.0m ( H1 2025 : £ 22.2m ) § Lettings Management Service Fees ( " MSF " ) increased 2 % to £ 10.6m ( H1 2025 : £ 10.4m ) § Sales MSF increased 1 % to £ 5.0m ( H1 2025 : £ 5.0m ) § Privilege contributed £ 1.2m in its first full half year ( H1 2025 : £ 0.1m ) Financial Services revenue increased 10 % to £ 13.0m ( H1 2025 : £ 11.8m ) , down 3 % on a like for like basis¹ . Licensing revenue flat at £ 6.3m ( H1 2025 : £ 6.3m ) Net debt at 30 June 2026 of £ 8.2m ( H1 2025 : £ 10.9m ) . In Financial Services Like for Like performance excludes the acquisition of Smart Advice Financial Solutions ( " SAFS " ) Group Group revenue grew 7 % in the Period , and 4 % on a like for like basis . Franchising revenue increased 8 % , driven by the continued rollout of Privilege and growth in franchisee services income . Financial Services revenue increased 10 % , including the acquisition of Smart Advice Financial Solutions ( " SAFS " ) , whilst Licensing revenue was stable . During the Period , the Group continued to execute on its growth strategy , by broadening its platform through targeted acquisitions , strategic investment and product innovation . Since its acquisition in January 2026 , SAFS has integrated successfully into the Group , delivering a strong performance while further strengthening the scale and capabilities of the Financial Services division . The strategic investment in Meridian , the parent of Legal and General Surveying Services Limited , extends the Group's platform into the residential surveying market and creates further opportunities to support franchisees and customers across the property transaction lifecycle . Alongside this , the continued rollout of Privilege and the launch of the Group's first Al - enabled products further underpins the platform and expands future growth opportunities . Franchising Franchising revenue increased 8 % to £ 24.0m ( H1 2025 : £ 22.2m ) , reflecting continued growth across the division . Lettings MSF increased 2 % to £ 10.6m ( H1 2025 : £ 10.4m ) , with the Group's managed portfolio remaining resilient at 149,000 properties . This recurring revenue base underpins the continued rollout of the Rent Guarantee element of the Privilege programme , which now protects over 72,000 managed properties . The Group also successfully supported its franchise network through the implementation of the Renters ' Rights Act , ensuring franchisees were well prepared for the new regulatory environment . Overall UK housing transaction volumes in the six months to 30 June 2026 were 4 % lower than H1 20252 , reflecting the impact last year of purchases brought forward ahead of the March 2025 Stamp Duty changes . Against this backdrop the network completed over 15,500 property sales during the Period , down 4 % in line with the market . Sales MSF increased 1 % to £ 5.0m , reflecting higher average transaction fees which demonstrates the resilience of the franchise model and the strength of the Group's brands in a subdued market , supported by the Group's predominantly regional footprint and limited exposure to London .
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Other franchising income increased 44% to £4.0m (H1 2025: £2.8m), driven by continued growth in platform initiatives such as Privilege and MarketMore3. 2 Gov.uk statistics using Monthly property transactions completed in the UK with value of £40,000 or above 3 MarketMore is TPFG's in-house marketing agency, enabling franchisees to access scalable, data-driven marketing services that complement national brand activity and drive local business growth. Financial Services Financial Services revenue increased 10% to £13.0m (H1 2025: £11.8m), reflecting the contribution from SAFS,which has performed in line with the Board's expectations since its acquisition in January 2026. On a like-for-like basis, revenue reduced 3%, principally reflecting the managed departure of three businesspartner hubs at the end of 2025. Excluding the revenue attributable to these partner hubs from the prior year base,underlying trading across the division has increased 6% versus the prior year. The division continues to make good progress against its strategic objectives, increasing the proportion of revenuegenerated through employed and self-employed advisers, improving the quality and sustainability of earnings andstrengthening its position as an increasingly important part of the Group's diversified platform. Licensing Licensing revenue remained stable at £6.3m (H1 2025: £6.3m). Growth in print and agency services income offset lower licence fee income during the Period. The Groupcontinues to invest in products and services to enhance the member proposition and support the recruitment ofnew Guild members. Current Trading and Outlook The Group continues to execute against its strategy of broadening its platform and increasing recurring revenuesalongside solid cash generation. The successful integration of SAFS, the investment in Meridian, continued expansion of the Privilege programmeand the commercial rollout of AI-enabled products further strengthen the Group's proposition across the propertytransaction lifecycle. The lettings market continues to benefit from structural demand and an increasingly supportive regulatoryenvironment for professional agents. The sales market remains challenging, influenced by subdued consumerconfidence and the outlook for interest rates. More broadly, ongoing geopolitical tensions and domestic politicaluncertainty continue to weigh on consumer confidence and the wider economic outlook. Against this backdrop, theGroup's diversified business model and growing recurring revenue base provide resilience and have enabled theGroup to increase revenue despite lower sales transaction volumes. Accordingly, the Board continues to expect trading for the full year to be in line with market expectations. Chief Executive Officer, Gareth Samples, commented: "I'm pleased we have delivered another robust performance, achieving a record first half despite a more subdued sales market. We maintained our managedlettings portfolio at 149,000 properties whilst supporting our network through the implementation of the Renters'Rights Act, and successfully delivered a number of important initiatives across the Group. The additions of SAFSand Meridian, together with the rollout of our first AI-enabled products, further strengthen our platform. Whilst theexternal environment remains uncertain, our diversified income streams and growing recurring revenue base giveus confidence in delivering our plans for the full year." Ben Dodds, CFO discusses the update in the following video: For further information, please contact: The Property Franchise Group PLC Gareth Samples, Chief Executive OfficerBen Dodds, Chief Financial Officer 01202 405 549company.secretary@propertyfranchise.co.uk Canaccord Genuity Limited (Nominated Adviserand Joint Broker) 020 7523 8000 0:00
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Max HartleyHarry Rees Berenberg (Joint Broker) Harry Nicholas Michael Burke James Thompson 020 7496 3000 Alma Strategic Communications Justine JamesEmma Thompson 020 3405 0209propertyfranchise@almastrategic.com About The Property Franchise Group PLC: The Property Franchise Group PLC (AIM: TPFG) is the UK's largest multi-brand property franchisor, with anetwork of over 1,900 outlets delivering high quality services to residential clients, combined with an establishedFinancial Services business. The Company was founded in 1986 and has since strategically grown to a diverse portfolio of 18 brands operatingthroughout the UK, comprising longstanding high-street focused brands and two hybrid brands. The PropertyFranchise Group is also a member of two leading mortgage networks through its mortgage brokers, BrookFinancial (MAB) and The Mortgage Genie (Primis). TPFG's brands are: Belvoir, CJ Hole, Clarke & Partners, Country Properties, Ellis & Co, EweMove, Fine & Country,Hunters, Lovelle, Martin & Co, Mullucks, Newton Fallowell, Nicholas Humphreys, Northwood, Parkers, The Guildof Property Professionals and Whitegates. Headquartered in Bournemouth, the Company was listed on AIM on the London Stock Exchange in 2013 andentered the AIM 100 in July 2024. More information is available at www.propertyfranchise.co.uk This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authorityto act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this informationmay apply. For further information, please contact rns@lseg.com or visit www.rns.com. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the informationcontained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. Forfurther information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy. END