The acquisition of 206 Halifax Estate Agencies branches in January this year helped to increase LSL’s revenue and, excluding the acquisition, like-for-like group revenue was still strong, up 22% to £90.2m from £74.1m in 2009.

Underlying group operating profit, also on a like-for-like basis, increased by 56% to £17m in H1 2010, despite the challenging market conditions.

Overall group underlying operating profit increased 24% to £13.4m.

LSL’s surveying division reported continued growth in revenue and profits during H1 2010, despite the market contracting with mortgage approvals down 5% from historically low levels.

The surveying arm revenue increased 17% to £42.3m, while the underlying profit increased by 20% to £15.2m.

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The estate agency division reported that, excluding the acquisition of Halifax Estate Agencies, revenue increased 26% and underlying profit rose to £2.9m compared to a loss of £0.8m in 2009.

However, the acquisition, which turned LSL into the second largest estate agency in the country, meant the division recorded a loss in H1 of £3.6m, in line with expectations.

LSL said the estate agency division was “well placed” to be profitable in H2 2010, with instruction volumes increasing month-on-month and pipeline business up 29% during the first six months of the year.

Roger Matthews, chairman of LSL Property Services, said: “The outlook for the market continues to be uncertain and we remain cautious in view of well documented broader economic challenges.

“However, against this backdrop we have continued to strengthen our counter-cyclical income businesses, in particular, asset management, and as a result the group is becoming increasingly robust through the cycle.

“We are well placed to grow the business both organically and through selective acquisitions and deliver significant increases in shareholder value when the market recovers.”