The Agency Group posts ‘robust’ financial and operational results for H1 FY2022
For H1 FY2022, The Agency Group achieved positive operational cash flow of $2.5 million.
Real estate company The Agency Group (ASX: AU1) has continued to post robust financial and operational results with positive operational cash flow of $2.5 million recorded for the half year ending December (H1 FY2022).
For the period, The Agency Group achieved $35.8 million in revenue, which was a 23% increase on H1 FY2021. Of the $35.8 million, $19.7 million was generated in the December quarter Q2 FY2022.
This resulted in positive operational cash flow of $2.5 million in H1 FY2022 and $1.2 million for Q2 FY2022.
Other financial highlights
Other financial highlights included gross commission income of $52.9 million for H1 FY2022 – up 39% on $38.1 million in the previous corresponding period.
The value of properties sold amounted to $3.1 billion in H1 FY2022 compared to $2.2 billion, which was a 41% rise.
Meanwhile, the number of agents with the company was 345 in the same period, a 16% increase on the previous corresponding period.
Listings were also up at 3,050 – compared to 2,449 in H1 FY2021.
Strong outlook in 2022
Commenting on The Agency Group’s results, outgoing managing director Paul Niardone said they continued to vindicate the company’s business model – especially amid ongoing volatility due to COVID-19.
“While it has been an extremely busy half year, we have remained focused on growth and quality results and have developed a strong pipeline into calendar year 2022.”
Mr Niardone added the company’s cash flow was continuing to grow with $6.9 million in the bank at the end of the period.
“This financial strength coupled with award-winning excellence in essential services and support to our agents and customers will enable us to deliver value to shareholders in the years ahead.”
New chief to steer ship
As The Agency Group advances in 2022, the company’s current chief executive officer Geoff Lucas is also taking on the role of managing director.
“With the vast industry experience of Geoff Lucas as managing director and chief executive officer, I am confident the company is in a safe pair of hands as we focus our efforts on rapidly accelerating our business and successfully driving growth on the east coast,” Mr Niardone said.
As Mr Lucas takes on the additional managing director role, Mr Niardone will remain on the board as an executive director.
Mr Lucas will focus on growing The Agency Group in Western Australia along with increasing the market presence of the emerging SLP business and expansion of the financial services division along with advancing a range of technology focused Proptech opportunities.