StockMarketWire.com - Real estate agency Foxtons said Monday it swung to a first-half pre-tax loss as a slowdown in London's housing market weighed on performance.

In the six months to 30 June, the company reported a pre-tax loss of £2.5m compared with a profit of £3.8m a year earlier, revenue fell to £53.0m from £58.5m and adjusted earnings (EBITDA) fell to £0.1m from £7.1m a year earlier.

Average revenue per unit increased marginally to £14,450 from £14,412 in the period.

Foxtons blamed the poor performance on weakness in the London sales market which had offset 'resilient' lettings performance.

Lettings revenues fell to 1% to £31.7m driven by 2% lower year on year rents in the first quarter of the year -- a trend which had flattened by the end of the second quarter, the company said.

Alexander Hall mortgage revenue fell 3% to £4.1m as a 6% increase in deal volumes was offset by a greater proportion of lower margin re-mortgage business.

After suffering a loss, the company decided against declaring an interim dividend, in line with its dividend policy. 'As expected the weak sales market impacted our performance in the first half of 2018. After a slow start to the year, performance in our lettings business improved throughout the period delivering another consistent result for the first six months,' said Nic Budden, CEO. 'The property sales market in London is undergoing a sustained period of very low activity levels with longer and less visible transaction outcomes, which clearly impacts our business'.

At 8:27am: [LON:FOXT] Foxtons Group PLC share price was +0.9p at 48.5p



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