London estate agent Foxtons Group Plc reported a rise in full-year revenue on Thursday but flat profits, as it announced the acquisition of Milton Keynes estate agent Cauldwell.
In an update for the year to the end of December 2025, the company said total revenue rose 5% on the prior year to £172m, while adjusted operating profit was steady at around £22m.
Lettings revenue was up around 5%, driven by incremental revenue from acquisitions and broadly flat like-for-like revenues. Meanwhile, sales revenue also rose 5%, with incremental revenues from acquisitions offsetting a LFL revenue decline of 2%.
Foxtons hailed "particularly strong" first-quarter revenues ahead of the March stamp duty holiday, after which activity slowed. The second half was dented by a slowdown in the market in the run-up to the Autumn Budget, alongside broader economic uncertainty.
Revenue from the financial services segment grew about 10% during the year, driven by higher levels of refinance opportunities and growth in new purchase mortgages revenues.
The estate agent said the lettings segment is expected to remain resilient this year, supported by tenant demand and good stock levels, which underpin rental pricing and transaction volumes.
In sales, the year began with a lower under-offer pipeline than 2025, Foxtons said, "as a result of the significant sales market disruption around the Autumn Budget and a very strong comparative period in Q4 2024 (ahead of the March 2025 stamp duty deadline)".
Due to the lower under-offer pipeline, Q1 sales revenues are set to be lower than those recorded in the first quarter of last year. "When the sales market normalises, we expect a more stable market backdrop, with transaction volumes to benefit from recent mortgage rate reductions and the release of pent-up demand," the company said.
"With ongoing uncertainty around the economic outlook and buyer confidence in 2026, the group expects to deliver revenue and profit growth in the year, underpinned by non‑cyclical and recurring lettings revenue."
Foxtons also said on Thursday that it has bought Milton Keynes estate agent Cauldwell for £6.5m.
"The acquisition delivers progress against the group's strategy to acquire high-quality, non-cyclical and earnings-accretive lettings businesses to enhance the group's portfolio of recurring revenues," it said. "The acquisition also delivers progress against the group's strategy to expand into London's commuter towns to unlock growth opportunities in new regions."
At 0910 GMT, the shares were down 3.3% at 55.10p.