The Engel & Völkers Group has once again increased its total commission revenues in the first half-year 2017. It grew by 31 percent over the same period in the previous year to 300.6 million euros (first half-year 2016: 229.4 million euros). “Extremely successful franchise operations in our focus markets were just one of the factors that contributed to this strong growth. The residential property shops in North America alone are currently responsible for around a quarter of overall Group revenues,” said Christian Völkers, Founder and CEO of Engel & Völkers AG.
Positive international growth
Among the highest-revenue markets in the Residential division is the DACH region. Residential property shops saw a 6 percent growth in revenues to 89.7 million euros (first half-year 2016: 84.4 million euros). In Italy, residential property shops achieved the highest growth internationally, with a 92 percent rise to 8.7 million euros (first half-year 2016: 4.5 million euros). Spain also witnessed a continuation of its growth trend, with residential property shops increasing revenues by 19 percent to 24.5 million euros (first half-year 2016: 20.6 million euros). In North America too, Engel & Völkers pursued its course of expansion and grew revenues by 65.7 percent to 69.6 million euros (first half-year 2016: 42 million euros).
A significant revenue increase was also registered by the Commercial division – with its market segments Residential Investment, Office Services, Industrial as well as Retail Services, Investment and Hotel Investment. In the first six months of 2017, this division achieved a turnover growth of 29 percent to 43.8 million euros (first half-year 2016: 34 million euros).
The Market Center (MC) concept also proved extremely profitable. Altogether, the Spanish MCs in Barcelona, Madrid and Valencia managed to increase turnover in the first half of 2017 by 55 percent to 20.4 million euros (first half-year 2016: 13.1 million euros). Considerable growth was also registered by the MCs in Rome, New York City and Dubai. With the MC concept, Engel & Völkers is pursuing the strategy of rapid growth in selected property markets. An MC region presides over a transaction volume ten to 20 times larger than a traditional Engel & Völkers shop.
Course of growth to continue unabated
Engel & Völkers is anticipating further growth in all business divisions during the second half of the year. “We are confident that will have generated around 560 million euros by the end of the year,” said Sven Odia, CEO of Engel & Völkers AG.