REAL estate services firm DTZ, which has a major operation in the North-East, has revealed a £600,000 loss.

But the group stayed defiantly optimistic, and underlined a strong second half performance, with profit before tax and exceptional items of £5.4 million.

Varying trading conditions across the Group’s operations resulted in reduced revenue of £341.3 million (2010 was £356.0 million)

Continued strong performance from the market-leading Asia Pacific business saw revenue up eight per cent to £106.3 million but in the UK, lower levels of activity and decision to maintain investment led to a decline in revenue to £128.3 million.

But the UK business maintained its top five market position.

Tony Hordon, head of DTZ’s office in Newcastle, said: “While the group’s full year results report a small loss before tax and exceptional items of £0.6 million, the 2010/2011 financial year has been one of significant progress for DTZ.

“The regions outside London have endured mixed trading conditions especially with the weakness in the public sector, yet all offices made a strong contribution to the group. DTZ maintains the view that its broad regional footprint provides a long-term competitive advantage and matches many of our clients’ property portfolios.

“Significant wins in the North-east include DTZ’s appointment by Delancey to manage the Blade portfolio, which includes The Gate in Newcastle, the city’s flagship leisure complex; the appointment by Newcastle City Council to be included on their Framework Agreement to provide specialist property advice; and an extended and broadened Framework Agreement with North Tees and Hartlepool NHS Trust to run until 2014.”

Paul Idzik, Group Chief Executive, said: “Reversing the trend of revenue decline and achieving profitable organic growth now have to happen for DTZ to deliver improved financial performance. While the prevailing mood remains one of caution, I believe the group is on the right path.”