ukcitymedia news feed

Barrett Plc achieves 4% completions growth in 2018

Barrett Plc achieves 4% completions growth in 2018

Wed 6 Feb 2019 07:30 by ukcitymedia.co.uk about : operational news, trading updates - 0 Comments - 3593 words


Half year results for the six month period ended 31 December 2018

 

 Strong first half delivery, good progress against medium term targets

 

£m unless otherwise stated1,2

Half year ended 31 December 2018

Half year ended 31 December 2017

 

Change

Total completions (units)3

7,622

7,324

4.1%

Revenue

2,132.0

1,988.0

7.2%

Gross margin (%)4

22.6

20.6

200 bps

Profit from operations

409.7

355.2

15.3%

Operating margin (%)4

19.2

17.9

130 bps

Profit before tax

408.0

342.7

19.1%

Basic earnings per share (pence)

32.7

27.1

20.7%

Interim dividend per share (pence)

9.6

8.6

11.6%

ROCE (%)4

29.5

28.3

120 bps

Tangible net assets per share (pence)4

 360.8

333.4

8.2%

Net cash4

387.7

165.9

133.7%

 

Highlights 

·      Britain's largest housebuilder with total completions3 for the first half at 7,622 homes, up 4.1%

·      First half net private reservations of 0.64 (2017: 0.68) per active outlet per week

·      Good progress on medium term targets including 200 bps improvement in gross margin to 22.6%

·      Continued industry-leading customer satisfaction and build quality

·      Our largest single charitable donation, £750,000, to RBLI to support the construction of a Centenary Village to provide crucial housing support to ex-servicemen and women

Current trading

·      Net private reservations of 0.74 (2018: 0.78) per active outlet per average week

·      Total forward sales3 up 7.3% to £3,021.0m as at 3 February 2019 (4 February 2018: £2,816.2m)

·      Outlook for the full year remains in line with the Board's expectations

Capital Return Plan

·      Further extended Capital Return Plan with ongoing commitment to ordinary dividend cover at 2.5 times and intention to pay special returns of £175m in November 2019 and £175m in November 2020

Commenting on the results David Thomas, Chief Executive of Barratt Developments PLC, said:

"The Group has delivered a strong operational and financial performance across the half year. As Britain's largest housebuilder, we are helping to address the country's housing shortage by building high quality homes, growing volumes, creating jobs and supporting economic growth, whilst continuing to lead the industry in quality and customer service. 

 

'Operating efficiencies are delivering improved margins and our controlled and disciplined business model means we have a high-quality land bank, strong forward sales, excellent financial position and efficient cash flow generation. 

 

'Whilst we continue to monitor market conditions closely, current trading is in line with our expectations and we are confident of delivering a good financial and operational performance in FY19."

 

 

1. Refer to Glossary for definition of key financial metrics

2. Unless otherwise stated, all numbers quoted exclude JVs

3. Including JVs in which the Group has an interest

4. In addition to the Group using a variety of statutory performance measures it also measures performance using alternative performance measures (APMs). Definitions of the    APMs and reconciliations to the equivalent statutory measures are detailed in the Glossary and Definitions. Net cash definition in Note 5.1

Note on forward looking statements

Certain statements in this document may be forward looking statements. By their nature, forward looking statements involve a number of risks, uncertainties or assumptions that could cause actual results to differ materially from those expressed or implied by those statements. Forward looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Accordingly undue reliance should not be placed on forward looking statements.

 



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


Username:


Email:


Security key:


Message:






More

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. ukcitymedia.co.uk 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. ukcitymedia.co.uk does not offer financial advice.