Winkworth has told its shareholders that the weak figures posted for 2022 are actually in line with management expectations.

The franchise giant opened only two offices in 2022 compared to six in 2021 and says other openings scheduled for the second half of last year had been delayed. 

Meanwhile total office network revenue was down from £64.8m in 2021 to £63.1m last year. Sales showed a particular slump contributing 54 per cent to total revenues compared with 60 per cent in 2021. 

Chief executive Dominic Agace says that after an exceptionally strong performance in sales in 2021, the company last year made “good progress” especially in lettings and management.

The company statement to shareholders says: “In lettings and management, we continue to build the number of landlords and tenants with whom the company has a close relationship. We have always found that proprietor-led management and lettings brings tenants and landlords closer to decision-taking and guidance on their property. Our experience is that landlords like to connect with a local individual rather than a centralised, often remote team, so our relationship between landlords and the manager of the office is, in our opinion, a long-term win.”

Specifically, Agace noted: “The rental market remained incredibly strong across all regions, with price increases of over 10 per cent in many areas due to a shortage of supply following the sell-off of many buy to let properties by landlords facing the higher tax and regulatory changes that have reduced the viability of this activity in recent years. 

“This, combined with a significant movement of people to and from the country driven by pandemic-related factors, led to notable price movements. Increased market share and higher rents resulted in our network revenue growing by 11 per cent, led by central London where the additional factor of the return of international travel boosted growth to 16 per cent.”