Savills lifts revenue and profits despite market vagaries

Its net cash warchest is also 12 per cent higher at £176.3m: UK commercial transactional revenue grew by 10 per cent to £111m – predominantly driven by higher leasing revenues (up 21 per cent).

Core growth areas were the 'beds-based' sectors (multi-family/care/hospitality) and retail, with hotel volumes increasing more than 200 per cent year-on-year, and retail volumes up 35 per cent.

2024 was a notable year for shopping centre investment activity, with the volume of assets traded hitting £2bn for the first time since 2016, of which Savills had the leading market share. Office and logistics investment volumes were down on 2023, by five per cent and 11 per cent, respectively, with the latter stable in terms of take-up.

UK Commercial underlying profits increased by 19 per cent to £16.7m with an improved margin of 15 per cent.

Mark Ridley, Group Chief Executive, said: “Savills’ improved performance in 2024 reflects the robust earnings provided by our less transactional businesses together with the effect of our inherent operating leverage in the early recovery of transactional markets.

“Most markets were in recovery as we entered 2025 and, whilst uncertainty continues, there remains the expectation of reductions in the cost of capital during the year.

“We expect re-financing driven activity and the trend towards corporates requiring greater office attendance for staff to continue to be positive for transaction volumes.

“Savills remains well positioned to deliver against the Group's strategic objectives of broadening our offering to clients across geographies and service lines, supported by a strong balance sheet and thus driving profitability as market recovery continues.”