Foxtons Group PLC has released its full-year results for the year ended 31 December 2023, showcasing a significant operational turnaround and strengthened operating platform that drove market outperformance and adjusted operating profit growth. The company is on track to deliver its medium-term growth target. In 2023, the London-based estate agency saw a 5% increase in revenue to £147.1 million and a 2% rise in adjusted operating profit to £14.3 million, despite a weaker sales market and necessary headcount investment.

The company's lettings revenue, representing approximately 70% of total revenue, experienced a notable 16% increase to £101.2 million, driven by organic and acquisitive growth strategies, including two acquisitions completed in 2023, adding over 2,800 tenancies. However, sales revenue saw a 14% decline to £37.2 million due to challenging market conditions, partially mitigated by market share-driven outperformance of the wider London market. Financial services revenue also decreased by 14% to £8.8 million.

Foxtons' operational upgrades, including rebuilding fee earner levels, core technology, and data capabilities, were delivered ahead of expectations. The company's strengthened operating platform, supported by unmatched technology and data capabilities, facilitated significant year-on-year market share growth across all three businesses in 2023. This led to Foxtons reclaiming the number one estate agency position in London and becoming the largest lettings estate agency brand in the UK.

The company's platform is powered by five areas of competitive advantage, which were significantly strengthened in 2023: technology platform, data platform, brand, hub and spoke model, and people, culture, and training. These enhancements, including the development of the UK's first fully digital end-to-end lettings platform, have positioned Foxtons for long-term growth, both organically and through the consolidation of the highly fragmented sector.

Looking ahead, Foxtons reported that trading in January and February 2024 is in line with expectations, and the lettings business is expected to remain resilient. The company continues to display strong recurring revenue, and it is focused on driving customer consideration through its new "Get it done with London's number one" campaign.

In summary, Foxtons Group PLC's full-year results for 2023 demonstrate a robust operational turnaround, marked by revenue growth, strengthened market position, and a focus on long-term growth through enhanced technology, data capabilities, and a re-energized brand.