Shares digital

LSL Property Services (LSL) – Finals PTP: £22.3m (£19.2m) Divi: 3.86p (n/a)

Despite challenging market conditions, the residential property services group posted taxable profits of £22.3 million against £19.2 million a year earlier. Key to the company’s business is the surveying division, which expanded significantly last year, having gained contracts from both Cheltenham & Gloucester and Barclays (BARC), and represented 72% of the group’s profits. However, its estate agency arm faced tougher conditions, with housing transaction volumes for its two main brands (Your Move and Reeds Rains) falling by around a third in the second half. Meanwhile, the financial services division increased the value of its mortgage applications by 10% during 2007 to £3.3 billion. Going forward, chief executive, Simon Embley, says he is cautious about the short-term outlook for the housing market, but remains bullish about its surveying business which has more defensive qualities. The shares ticked up to 104.5p.

Shares says: Should benefit from its bias towards surveying division, but estate agency arm likely to continue to suffer.

by: Rachel Robson