Property Franchise Group Plc · LSE:TPFG
Property Franchise — The Property Franchise Group — H1 2024 Earnings Presentation
23 slides from Property Franchise's earnings presentation, September 2024
Slide 1: Interim Results 2024
Interim Results 2024 The UK’s largest property franchisor Record results following a transformational period THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 1
Slide 2: The UK's largest property franchisor
The UK’s largest property franchisor Franchising | Lettings & property management | Estate agency | Financial services | Licensing LSEG Established in 1986, 8 AIM 100 Company with a £301m mkt cap (9 Sept 24) grown both organically and through acquisition acquisitions since 2013 £74.7m Combined Reven
Slide 3: National footprint with Local expertise
National footprint with Local expertise 18 property brands National property franchise brands New for March 2024 157 Territories 90 Territories 39 Territories 143 Territories 178 Territories 189 Territories Regional property franchise brands 20 Territories 15 Territories 10 Territories New for June
Slide 4: Acquisition of the Guild and Fine & Country
Acquisition of the Guild and Fine & Country Increased market share of locations by 10% • The Guild and F&C provide services to a total of 1,036 outlets, of which 65 are international. Network expansion and • Strengthens reach and marketing and delivers an international footprint. geographic reach •
Slide 5: H1 2024 Operational Highlights
H1 2024 Operational Highlights Franchising | Lettings & property management | Estate agency | Financial services | Licensing Significantly increased scale Merger with Belvoir in March 2024 Senior leadership team restructured and objectives agreed as Acquisition of GPEA in May 2024 part of the integr
Slide 6: Financials
Financials THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 6
Slide 7: H1 2024 Financial Highlights
H1 2024 Financial Highlights Franchising | Lettings & property management | Estate agency | Financial services | Licensing Trading remains at least in line with market expectations for FY24 £26.9m Group revenue £12.3m Management Service Fees (‘MSF’) 60% (H1 2023: £13.2m) 3% like for like increase to
Slide 8: Group revenue more than doubled in H1
Group revenue more than doubled in H1 Group revenue increased 104% to £26.9m (H1 2023: £13.2m) Property Franchising Financial Services Licensing 20 18.2 9 1.2 18 7.7 1 8 16 1 7 14 12.3 6 0.8 12 5 10 0.6 4 8 6 3 0.4 4 2 0.9 0.2 2 1 0 0 0 0 H1 23 H1 24 H1 23 H1 24 H1 23 H1 24 Revenue of £18.2m account
Slide 9: Revenue mix (relative contribution)
Revenue mix (relative contribution) Revenue : £26.9m Revenue June 24: 4% £6.1m 18% 29% Six months ended 30 June June 2024 53% 2024 67% 29% Property franchising Financial services Financial Services Property franchising Financial services Financial Services Licensing Licensing THE PROPERTY FRANCHISE
Slide 10: Property franchising revenue mix
Property franchising revenue mix Revenue : £18.2m Revenue : £12.3m 13% 17% 2% 2% Six months Six months 17% ended 30 June ended 30 June 2024 18% 2023 63% 68% Management Owned offices Financial Services Management Owned offices service fees service fees Franchisee support and similar services Franchis
Slide 11: Group MSF split
Group MSF split MSF : £12.3m MSF : £7.7m 1% 38% 38% Six months Six months ended 30 June ended 30 June 2024 2023 62% 61% Lettings MSF Sales MSF Lettings MSF Sales MSF Financial Services MSF THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 11
Slide 12: Profit before tax
Profit before tax Property Franchising Financial Services Licensing Adjusted PBT (Group) 8 7.4 1.2 1.1 0.25 12 11.2 7 0.2 1 0.2 10 9.1 6 5.3 0.8 8 5 0.15 4 0.6 6 5.3 0.4 0.1 3 0.4 4 2 0.2 0.05 2 1 0 0 0 0 0 H1 23 H1 24 H1 23 H1 24 H1 23 H1 24 HY 23 FY 23 HY 24 Up 38% to £7.4m Up 175% to £1.1m In its
Slide 13: Dividend
Dividend The Board has pursued a progressive dividend policy since the IPO H1 24 interim dividend up 30% to 6.0p following significant progress with the Group’s strategic objectives and following the continued delivery of strong cash generation. 7 6.0 6 5 4.6 4.2 4pence 3.8 3 2.1 2 1 0 FY 20 FY 21 F
Slide 14: Market update & growth initiatives
Market update & growth initiatives THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 14
Slide 15: Market drivers and overview
Market drivers and overview Proven ability to take advantage of market conditions Demand for housing outstrips supply Benefit from continued strong demand in Lettings demand to continue at similar and residential property remains a key the lettings market levels, with the rate of rental inflation in
Slide 16: Focused on delivering growth
Focused on delivering growth Franchising | Lettings & property management | Estate agency | Financial services | Licensing Growing through increased data, scale and market share Manage the largest residential property portfolio in the Additional recurring revenue stream 153,000 tenanted UK 1,030 Bui
Slide 17: Summary & outlook
Summary & outlook THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 17
Slide 18: Summary
Summary Significantly Transformational increased scale, Another record set of period, following the Invested in bolstered Financial results, with Group merger with Belvoir technology as a key Services business, revenue more than and acquisition of growth driver and new licensing doubling GPEA revenu
Slide 19: Outlook
Outlook Integration of Further Financial Services acquisitions to Strong lettings improvement in revenues are growing release the benefit demand to continue sales revenue as the sales market of the synergies in into the second half expected during H2 improves 2025 We remain confident that trading re
Slide 20: Q&A
Q&A THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 20
Slide 21: Appendix
Appendix THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 21
Slide 22: Income statement summary
Income statement summary THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 22
Slide 23: Balance sheet summary
Balance sheet summary THE PROPERTY FRANCHISE GROUP PLC – Interim Results 2024 23
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