Dividend payout at Winkworth suffers as business prepares for profit fall
Winkworth profits are expected to fall for 2020, with market upheaval cited as the primary reason for the loss.
In a market update this morning the estate agent said revenues for 2020 were relatively flat on 2019, and profit was likely to fall by 15 per cent.
As a result of the loss the total dividend pay-out for the year has been reduced by some 15 per cent. Winkworth expects to announce its final results for the year near the beginning of April.
Winkworth will pay investors a dividend of 1.8p per share for the fourth quarter of 2020, down from 2.1p in 2019, bringing total dividend payments declared for the year to 6.68p, down from 7.8p in 2019.
Despite the difficulties presented by the pandemic the estate agency increased its market share of sales subject to contract. Most notably the business grew in London, where it ranked second with a market share of 4.6 per cent, up for 4.2 per cent in 2019.
Winkworth enjoyed a good Q4, with sales applications up 44 per cent and lettings applications up 12 per cent year-on-year.
Chief executive officer Dominic Agace said 2020 would be remembered primarily for the Covid crisis, adding: “We are pleased to have once again increased our market share and, notwithstanding the latest lockdown, look forward to our company’s future with great confidence.”
The business opened two new offices last year and is in advanced stages of negotiation with four more offices.