LSL Property Services Reports Steady Profit and Growth Outlook for 2026

LSL Property Services Reports FY25 Results#

LSL Property Services has announced its underlying operating profit for the fiscal year 2025 at £32.6 million, which aligns closely with analyst predictions of £32.2 million. The company remains optimistic about continued profit growth in fiscal 2026.

Financial Highlights#

For the year ending in 2025, LSL achieved a return on capital employed of 35% and reported net cash of £27.8 million. The company declared a total dividend of 11.4 pence per share. Earlier this year, LSL also initiated a £12 million share buyback program, which is a strategy to repurchase its own shares to enhance shareholder value.

Business Performance#

Management indicated that trading conditions in 2026 have met expectations thus far, with the market for mortgages showing some short-term strength due to changes in mortgage pricing. In the Surveying and Valuation division, underlying operating profit rose, supported by an 8% increase in revenue. Conversely, the Financial Services division experienced flat revenue, although corporate costs decreased compared to the previous year.

Strategic Developments#

LSL's Pivotal joint venture contributed £1.7 million in profit, surpassing the initial estimate of £1 million. The company has also made significant moves in expanding its operations, completing 10 lettings book acquisitions and opening 6 new estate agency branches during 2025. Since the end of the fiscal year, LSL has acquired NSS, a property search company, along with 3 additional lettings books. The company aims to target 50 lettings book acquisitions over the next three years.

In the Financial Services sector, LSL is actively rolling out its broker operating platform to enhance productivity and improve product offerings. Additionally, the Surveying division secured its first Automated Valuation Model contract with one of the UK’s largest lenders, indicating strong interest from partners for future developments. The Pivotal Growth joint venture reported revenue nearing £100 million for fiscal 2025 and has completed 2 more acquisitions since year-end, bringing the total to 24, with a robust pipeline for future growth.