LSL Property Services said growth in its mortgage business helped lift underlying operating profit by 17% in 2025, as the group posted a record operating margin and pointed to further profit growth this year.
The group, which owns the PRIMIS mortgage network and other residential property services businesses, reported revenue of £182.9m for the year to 31 December 2025, up 6% on 2024, while underlying operating profit rose to £32.6m from £27.8m.
Underlying operating margin reached 18%, up from 16% a year earlier, which LSL said was a record high. Operating profit increased 3% to £22.6m after exceptional costs of £5.1m.
For mortgage professionals, the clearest contribution came from the Financial Services division, where LSL said market share increased and its share of the UK purchase and remortgage market rose to 12.0% from 11.8% in 2024.
The group said the continued roll-out of its new broker operating platform, including CRM capability, remained a priority within the division and was intended to improve productivity. It also pointed to scope for stronger product penetration as the platform is rolled out further.
That mortgage progress formed part of a broader improvement across all three divisions, with the business also maintaining what it described as strong market share across the group.
Adam Castleton, group chief executive of LSL, said: “2025 has been a year of strong delivery and building momentum for LSL. We improved profitability across each Division, achieved record margins and generated strong cash, while continuing to invest for future growth.
“Markets are evolving, and so are we. 2025 has been a year of significant activity for the Group. We are focused on disciplined execution and converting the scale and capability of the Group into sustained profit growth and continued high returns on capital.
“Trading in 2026 has been in line with our expectations.”
LSL generated adjusted operating cash flow of £29.8m, compared with £31.1m in 2024, with cash conversion of 91%. Net cash stood at £27.8m at the year end.
The board maintained the full-year dividend at 11.4p a share, with the final dividend held at 7.4p. A £7m share buyback programme has now been completed, and a new £12m programme was launched in January 2026.
Although the results covered the whole group, LSL made clear that mortgage distribution remains central to its growth plans. Alongside the broker platform rollout, it said cross-divisional working had been strengthened with lenders and partners, with an emphasis on commercial alignment and cross-sell opportunities.
The group also said PRIMIS won Mortgage Network of the Year at the 2025 Moneyfacts Awards, while employee engagement reached a record 77%.
Looking ahead, LSL said trading at the start of 2026 had been in line with expectations. In financial services, it said the broker platform rollout was continuing as planned and would support improved productivity and product penetration.
The company added that it had seen some short-term strength in mortgage activity driven by changes to product pricing, although it said the wider macroeconomic and geopolitical backdrop remained uncertain.
Even so, the board said its expectation of delivering a further increase in profits in 2026 was unchanged.
