LSL Property Services Plc

LSL Property Services reported higher first-half revenue, profit and margins, with revenue up 3% to £92.3 million and underlying operating profit up 11% to £15.9 million, as underlying operating margin rose 130 basis points to just over 17%, the group's highest first-half margin in more than 15 years. Adjusted diluted earnings per share increased 14% to £0.117, return on capital employed rose to a record 36% from 31%, and operating cash conversion over the past 12 months was 91%. Performance was led by surveying and valuation, where revenue grew 6% and underlying operating profit grew 11% at margins of approximately 23%, and by asset management, where revenue rose about 44% to £3.7 million at an operating margin above 50%, while financial-services revenue declined 3% and underlying operating profit fell £0.9 million on investment in a new customer relationship management platform and lower adviser numbers. Estate agency franchising revenue rose 2% to £13.2 million and underlying operating profit rose 24%, lifting the division's margin about six percentage points to a record first-half level of 30%. Management maintained its 2026 outlook for higher revenue and another year of profit growth, supported by a groupwide transformation program expected to deliver at least £5 million in annualized benefits progressively through 2027, and the company maintained its interim dividend at £0.04 per share while beginning a new share buyback of up to £12 million, expected to complete by January 2027, after ending the period with net cash of £22 million.