**Summary of Savills PLC Half-Year Report (H1 2025)**
**Overview**
Savills PLC, an international real estate advisor, reported improved performance for the first half of 2025, with revenue up 6% to £1,127.8 million and underlying profit before tax rising 10% to £23.3 million compared to H1 2024. Reported profit before tax increased significantly by 78% to £15.8 million, driven by growth in underlying profit and reduced exceptional costs. The interim dividend was raised by 4% to 7.4p per share.
**Key Highlights**
**Revenue Growth**Group revenue increased by 6% (8% in constant currency), with EMEA up 9%, APAC up 5%, and North America down 6%.
**Profitability**Underlying profit before tax grew by 10%, while reported profit before tax surged by 78% due to lower exceptional costs.
**Segment Performance**
Transaction Advisory revenue rose 2%, with strong Q1 performance tempered by a subdued Q2 due to economic and trade policy uncertainty.
Less transactional businesses performed well, with Consultancy revenue up 20%, Property and Facilities Management up 5%, and Investment Management down 6% (AUM remained stable).
**Geographic Performance**EMEA and APAC drove revenue growth, while North America declined due to lower transactional activity.
**Business Development**Acquired Osborne King in Northern Ireland and disposed of 51% of Cureoscity Technologies Limited for a £3.8 million profit.
**Balance Sheet**Net debt stood at £16.5 million, reflecting seasonal cash outflows and deferred consideration payments.
**Market Conditions**
**Q1 2025**Global capital markets improved, but Q2 saw heightened volatility due to geopolitical events, tariffs, and shifting monetary/fiscal policies.
**EMEA**Mixed economic conditions, with weak manufacturing in France and stronger performance in Germany and Spain. UK investment volumes declined by 13% due to fiscal uncertainty.
**Asia Pacific**Investment sentiment weakened, particularly in China, leading to a 13% reduction in regional investment volumes.
**North America**Early signs of recovery in the office market, but trade policy uncertainty delayed some decisions.
**Outlook**
Savills expects the slowdown in core markets to be temporary, supported by strong transactional pipelines. The Group remains focused on business development and anticipates market improvement. Full-year expectations remain unchanged, though final results depend on pipeline conversions in H2.
**Financial Position**
Cash and cash equivalents stood at £248.1 million, with net debt of £16.5 million.
The UK defined benefit pension scheme surplus increased to £12.5 million.
The Group maintains a strong balance sheet with £283.2 million in undrawn borrowing facilities.
**Conclusion**
Savills delivered resilient performance in H1 2025 despite market challenges, supported by diversified service lines and geographic presence. The Group remains optimistic about its pipelines and market recovery, with a focus on sustainable growth and strategic investments.