ukcitymedia news feed

Redrow delivers record results for first half, plans a cash return

Redrow delivers record results for first half, plans a cash return

Wed 6 Feb 2019 07:19 by about : operational news, trading updates - 0 Comments - 2686 words


Financial Results



H1 2019

H1 2018

% Change

Legal Completions








Operating Profit




Profit Before Tax












Interim Dividend per share




Additional cash return per share




Total Order Book





Financial Highlights


·      Group revenue rose 9% to a first half record of £970m

·       Record first half pre-tax profit of £185m, up 5%

·      Earnings per share (EPS) up 5% to 41.5p

·      Return on capital employed of 28% (2018: 25%)

·      Net cash of £101m (June 2018: £63m)

·      Interim dividend of 10p per share (2018: 9p)

·      Proposed additional cash return of 30p per share through a B Share Scheme representing £111m


Operational Highlights


·      Legal completions rose 12% to 2,970 (2018: 2,646)

·       Redrow completed its 100,000th home

·      Average number of outlets increased to 129 (2018: 127)

·      Total order book up 11% to a record £1.162bn (Dec 2017: £1.047bn)

·      Current land holdings in line with June 2018 at 27,500 plots


Steve Morgan, Chairman of Redrow, said


"In this, my final report as Chairman, it gives me great pleasure to announce that Redrow has once again delivered record results for the first half of the financial year. During the period legal completions increased by 12% to 2,970, whilst pre-tax profits were up 5% to £185m.


As a result of our continuing strong earnings and cash performance, we are proposing a 30p per share cash return to shareholders through a B Share Scheme, in addition to a 10p per share interim dividend. This Scheme enables all shareholders to participate equally in proportion to their holdings and should be treated as capital for most UK tax resident shareholders.


The market during the run up to the festive period and the first two weeks of 2019 was subdued by macroeconomic and political uncertainty. However, sales over the last three weeks have bounced-back with reservations running at similar levels to last year's strong market activity. Overall, private sales for the first 5 weeks of 2019 were £156m (2018: £166m). Nevertheless given our record £1.2 billion order book, our strategy remains on track giving me every confidence that this will be another year of significant progress for Redrow.

It is nearly 45 years since I founded Redrow and when I step down as Chairman next month it will be exactly 10 years since I returned to the business. I am proud of the legacy I leave behind having completed over 6,000 homes for the first time in 2018 and handed over our 100,000th Redrow home last October.

Redrow has a very strong team, an excellent balance sheet and the Heritage Collection product which I believe is the best in the industry. Most importantly, Redrow has a great future under John Tutte's leadership who will take over from me as Chairman."


These articles are summaries / highlights and dont always include all financial news updates. Check at company website INVESTORS INFORMATION for full published results.

Add a comment



Security key:



ukcitymedia news feed

Please take our RSS Feed and news to your Network and message boards. With thanks


ukcitymedia moderates but does not authenicate postings. Users are reminded that shares and all trading instruments by nature do not always prove to be good investments. Readers are reminded to do your own research. delivers UK stock market news, latest shares news, uk financial news, rns news articles, latest business news, latest uk financial news, stockmarket investment news, business news round-ups. director dealings bulletins, stock market reports, share trading articles, latest finance news, broker recommendations, uk city news, latest financial information. does not offer financial advice.