Barratt in ‘strong position’ in robust market
Barratt homes at Ellon
Barratt Developments has reported record profits and its highest completions for nine years.
Britain’s largest housebuilder said market conditions remain good “with a wide availability of attractive mortgage finance”, which, alongside Help to Buy, continues to support robust consumer demand.
In a year-end statement it said the group is in a “strong position, with a substantial year end net cash balance, healthy forward sales position and an experienced management team.
“Consequently, we remain confident in the strong fundamentals of the housing sector and our business.”
Chief executive David Thomas said: “This has been another excellent year for the group. We have delivered a strong operational and financial performance and our highest completion volumes for nine years.”
“The group starts the new financial year in a good position with a strong balance sheet, healthy forward sales and we continue to see robust consumer demand supported by a positive mortgage environment.
“We are focused on driving further operational improvements through the business with a particular focus on margin improvement.”
Profit before tax rose 12.1% to £765.1 million (2016: £682.3m) on a 9.8% rise in turnover to £4.65 billion (2016: £4.24bn).
The company has recommended a 39% increase in the final ordinary dividend per share to 17.1p (2016: 12.3p) together with 17.3p special dividend per share.