View more on these topics

Savills FS results hit by property doldrums

Savills financial services arm was hit by the property market downturn and made a loss of £2.1m for the first half of this year.

It posted profits of £1m at the end of 2008. The financial services arm comprises brokerage Savills Private Finance and Savills Capital Advisers.

Savills’ fund management operations made a profit of £1.6m, down by 27 per cent from £2.2m six months ago.

Property and facilities management made a profit of £2.5m, down by 87 per cent from £19.2m at the end of 2008. The division now represents almost half the group’s revenues.

Chief executive Jeremy Helsby says: “These results demonstrate Savills’ resilience in some of the toughest trading conditions in decades. To generate a profit is testament to the diversification of our business and the quality and determination of our teams around the world.”

The group is on track to make at least £50m annualised cost savings by the end of the year.

He says: “Although there have been recent signs of improvement in some areas of UK residential and Asia-Pacific regions, property markets generally are still suffering from a lack of debt finance, shortage of quality product and concerns over the impact of recession upon occupiers. We will continue to adopt a cautious outlook as predicting the timing of sustainable improvement in our markets remains difficult.”


Flipping the figures

This has been really rather a remarkable summer, markets-wise. By the middle of last week, the FTSE 100 index was flirting with 5,000 – a level not seen since the dark days of last autumn. The recovery from lows of less than six months ago has been a staggering 40 per cent. In the US, it has been even greater. If this truly has been only a bear market rally, then you still would have been very wrong to ignore it.

Remove MPs’ long stop

I was interested in the decision by the Conservative Shadow Cabinet not to support a long stop on financial services business.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm