LSL Property Services, a provider of residential property services incorporating both estate agency and surveying businesses, made a profit before tax of GBP19.7m for the six months ended 30 June 2010, up from GBP4.3m in the first half of 2009.

Group revenue increased by 36 per cent to GBP101.1m from GBP74.1m the previous year.
 
Like-for-like group revenue increased by 22 per cent to GBP90.2m from GBP74.1m in 2009.

Group underlying operating profit increased by 24 per cent to GBP13.4m, while like-for-like group underlying operating profit increased 56 per cent to GBP17.0m.

Growth in profit was driven by strong market share growth in both estate agency and surveying.

LSL’s overall operating margin was 13.3 per cent, down from 14.6 per cent in 2009. The like-for-like operating profit margin increased from 14.6 per cent to 18.8 per cent

The basic earnings per share were 19.4p (2009: 2.6p) and adjusted basic earnings per share increased by 31 per cent to 8.8p (2009: 6.7p).

A half year dividend has been declared of 2.5p per share, compared with nil in the 2009 half year and 5.4p in the 2009 full year.

Net debt was reduced to GBP14.3m at 30 June 2010 from GBP43.1m at 30 June 2009.

Roger Matthews, chairman, says: “We are delighted with our progress during the first half year which underpins the board’s confidence in the expected full year outturn. Underlying group operating profit on a like-for-like basis has increased by 56 per cent to GBP17.0m in a challenging market where mortgage approvals for house purchase are at half historic norms.

“The outlook for the market continues to be uncertain and we remain cautious in view of well documented broader economic challenges. However against this backdrop we have continued to strengthen our counter-cyclical income businesses, in particular, asset management, and as a result the group is becoming increasingly robust through the cycle.

“We are well placed to grow the business both organically and through selective acquisitions and deliver significant increases in shareholder value when the market recovers.”