Leading UK housebuilder Barratt Developments expects to complete more new homes this year than it did prior to the Covid-19 pandemic.
The company this morning reported a slight rise in profits in the first half of the current financial year, despite a drop in both revenue and the number of homes built in the period.
Barratt, which has a north Scotland divisional office at Balmedie, announced that pre-tax profits in the six months to the end of December 2021 were £432.6million - ahead by 0.6% on the same period in 2020.
But revenue was down by nearly 10% to £2.247billion and property completions slipped by 11.1% to 8,067.
The company explained that new house completions in the first half of the previous financial year were boosted by the disruption created by the initial national Covid lockdown in spring 2020.
Chief executive David Thomas was positive about the latest results.
He said: "We have delivered an excellent first half, and the strong rebound in our construction activity means that we now expect to complete more than 18,000 homes, including 750 from joint ventures, this year, ahead of previous expectations and pre-Covid levels.
"This increase in construction activity has not affected our focus on our customers, on quality and service and on acting in a responsible and ethical way.
"We continue to work hard to lead the industry in building the high-quality sustainable homes and developments the country needs."
Barratt said it was on track to complete between 18,000 and 18,250 homes this financial year - up 250 on previous guidance.
"We remain committed to growing to our medium-term target of 20,000 home completions, playing our part in addressing Britain's housing shortage," it added.
As regards current trading, Barratt said net private reservations per active outlet per average week for January were 0.90 - 16.9% above the 0.77 rate in the same period in 2021, reflecting continued strong demand.
It also reported strong total forward sales as at January 30, 2022, of 15,736 homes - compared to 14,289 at the same time in 2021. These properties have a value of £4.109billion compared to the figure of £3,425billion at the end of January 2021.
FTSE 100
The FTSE 100 index made a positive start in early trading this morning, up 47 points at 7,614, while the March contract for Brent crude was down 0.19% at $90.61 a barrel.
Companies reporting today
- Finals: GlaxoSmithKline
- Interims: Barratt Developments, Dunelm Group, PZ Cussons