Foxtons drives into a shares and profits crash post-Brexit vote

Estate agent Foxtons’ fleet of liveried Minis will be harder to spot on the streets of London in the months ahead after it warned that the capital’s post-Brexit property doldrums will last until the end of the year.

Foxtons’ shares crashed 7.5p, or 6%, to 116.5p on the gloom from the agent.

It is also slowing the pace of its expansion plans in response to the more sluggish conditions.

The agent scrapped its special dividend, worth £8.5 million last year.

Chief executive Nic Budden said: “The result of the referendum to leave Europe is likely to lead to a prolonged period of further uncertainty and we do not expect London residential property sales markets to show signs of recovery before the end of the year.”

Pre-tax profits in the first half of the year slumped by 42% to £10.5 million.

Foxtons enjoyed a stellar debut in the City but the shares are now just half the 230p a share it floated at in September 2013 and the agent has dropped out of the FTSE 250.

Peel Hunt analyst Gavin Jago said: “Cash reserves have reduced significantly, there will be no special dividend and the branch rollout programme has been curtailed.

“When the London market does recover, we continue to believe Foxtons is not best placed to capture the upside.”