Purplebricks profits from ‘commisery’ fight

Property sellers desperate to avoid the pain of “commisery” have helped online estate agent Purplebricks to its maiden UK profit, figures showed on Thursday.

The agent, which combines its website with a network of local property experts to sell homes for a fixed fee, is engaged in a fierce marketing push with recent adverts showing frustrated sellers pouring milk over their heads and smashing up pottery on finding out how much they could have saved.

Marketing spend across the group, whose biggest shareholder is funds guru Neil Woodford, will top £20 million this year.

The latest results showed a maiden UK operating profit of £1.7 million although the business overall — which has launched in Australia and just raised £50 million to move into the US — made pre-tax losses of £6.1 million in the year to April 30.

Chief executive and co-founder Michael Bruce is aiming to grow market share and shrugged off signs of a slowdown in the housing market.

“The way we approach it uncertainty is something to be concerned about but for us there is an enormous amount of market share available to us. I think we can ride out the storm when it arises,” he said.

Shares in the firm jumped 15.75p, or 4%, to 414.75p.