Estate and letting agent M Winkworth has revealed its profit after tax dropped 23% to £2.47m during the full-year period ended 30 December 2022.

The group also reported revenues of £9.31m which it said was “in line” with FY21 revenues of £9.45m, with sales revenues marking 54% of total revenues. It also confirmed its franchised office network revenues fell 3% to £63.1m (2021: £64.8m).

Meanwhile, its sales income was down by 12% at £34.3m (2021 £39m) while lettings and management income increased 11% to £28.7m.

Winkworth said the performance comes upon an “exceptionally strong” comparative year and a “challenging” environment.

The group also revealed its cash position at year end increased to £5.25m and announced an ordinary dividend of 11p per share compared with 9.3p per share the previous year.

Dominic Agace, M Winkworth CEO, said: “After an exceptionally strong performance in sales in 2021, we continued to make good progress across the business in 2022, in lettings and management in particular, and have delivered a set of results which we consider to be very satisfactory against a background that was at times challenging. Many of our key metrics for 2022 are up by some 50% on 2019, the pre-pandemic year.

“While the outcome for the current year is shrouded, now that mortgage rates have fallen from their peak and are settling at more historic norms of around 4%, we see a rebased market emerging. Rental prices are showing greater stability and we expect a further healthy contribution from our lettings and management business in 2023.”