Savills (LON:SVS) Posts Quarterly Earnings Results

Savills (LON:SVSGet Free Report) announced its earnings results on Thursday. The company reported GBX 17.90 earnings per share (EPS) for the quarter, Digital Look Earnings reports. Savills had a net margin of 2.78% and a return on equity of 9.70%.

Here are the key takeaways from Savills’ conference call:

  • Strong first-half performance: Revenue rose 8.7% to more than £1.2 billion, underlying EBITDA increased 32% to nearly £74 million, and underlying PBT climbed 47% to £34.3 million, supported by market-share gains, improving transaction volumes and cost savings.
  • Transactional revenues increased 14%, led by 22% growth in capital transactions and 23% growth in occupier advisory, particularly in North America. Savills said its U.K. capital transactions revenue rose 17% despite a 12% market decline, indicating significant market-share gains.
  • The completed Eastdil Secured acquisition is expected to be earnings-enhancing and materially improve Savills’ exposure to the U.S. market. On a pro forma basis, combining first-half results would have increased underlying PBT by £21 million, or 60%, before synergies.
  • U.K. residential remained challenging, with revenue down 9% and profits falling to £2.1 million, primarily because of the one-time revenue-recognition impact of the Renters’ Rights Act. Management expects the market to remain needs-based until greater policy clarity emerges.
  • Management maintained its full-year 2026 expectations, citing strong pipelines and resilient less-transactional businesses, while cautioning that the timing of transaction completions remains difficult to predict. Restructuring and Eastdil-related integration costs are expected to remain elevated in the second half, while net debt to EBITDA is targeted at 1.5x or less by year-end.

Savills Trading Up 4.6%

Shares of LON:SVS opened at GBX 1,138 on Friday. The firm has a market cap of £1.58 billion, a price-to-earnings ratio of 23.08, a PEG ratio of 2.09 and a beta of 1.24. The company’s fifty day simple moving average is GBX 900.09 and its 200 day simple moving average is GBX 904.73. Savills has a 12 month low of GBX 791.46 and a 12 month high of GBX 1,142. The company has a quick ratio of 1.22, a current ratio of 1.17 and a debt-to-equity ratio of 80.81.

Savills News Roundup

Here are the key news stories impacting Savills this week:

  • Positive Sentiment: Improved first-half performance: Savills reported a substantial increase in adjusted profit and higher revenue, driven particularly by strength in North America. The company also reaffirmed its full-year 2026 expectations, reducing concern that the stronger results were temporary. Savills shares rise as adjusted profit jumps; 2026 outlook unchanged
  • Positive Sentiment: Eastdil Secured acquisition expands global platform: Management highlighted the contribution of the Eastdil Secured acquisition, which strengthens Savills’ global capital-markets and advisory operations and broadens its exposure to improving international property activity. Savills lifts first-half earnings as Eastdil Secured acquisition expands global platform
  • Positive Sentiment: Analyst confidence remains strong: Berenberg reaffirmed its “buy” rating with a GBX 1,375 price target, while Deutsche Bank also maintained “buy” and set a GBX 1,343 target. Both targets are above the current share price, providing additional support for the stock. Savills broker rating updates
  • Neutral Sentiment: Quarterly profitability was positive but margins remain modest: Savills reported quarterly EPS of GBX 17.90, with a 9.70% return on equity and a 2.78% net margin. The results support earnings momentum, although the relatively low margin leaves performance sensitive to transaction volumes and market conditions. Savills quarterly earnings report
  • Negative Sentiment: Uncertainty remains a risk: Savills cautioned that economic and property-market uncertainty could affect transaction activity, despite maintaining its full-year outlook. This may limit near-term upside after the recent rally.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the stock. Berenberg Bank reaffirmed a “buy” rating and set a GBX 1,375 price objective on shares of Savills in a report on Friday. Shore Capital Group restated a “buy” rating and issued a GBX 1,210 price objective on shares of Savills in a research report on Friday, May 8th. Finally, Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a GBX 1,343 price objective on shares of Savills in a research report on Friday. Three investment analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company has an average rating of “Buy” and an average price target of GBX 1,309.33.

Check Out Our Latest Report on SVS

About Savills

(Get Free Report)

Founded in the UK in 1855, Savills is one of the world’s leading property agents. Our experience and expertise spans the globe, with 600 offices across the Americas, Europe, Asia Pacific, Africa and the Middle East.

Our scale gives us wide-ranging specialist and local knowledge, and we take pride in providing best-in-class advice as we help individuals, businesses and institutions make better property decisions.

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