Financial Highlights: Annual Results for the year ended 30 June 2011
Highlights
- Total completions, including joint ventures, for the full year were 11,171 (2010: 11,377)
- Private average selling price (excluding joint ventures) up 7.4% for the full year to £198,900 (2010: £185,200) due to active management of mix
- Overall underlying selling prices were stable for the period, but with regional variations
- 50% increase in operating profit before operating exceptional items to £135.0m (2010: £90.1m)1, with full year operating margin before operating exceptional items increasing to 6.6% (2010: 4.4%)
- Second half housebuild operating margin2 of 8.0% against 5.9% for the previous year
- The Group returned to profit before exceptional costs for the full year3 of £42.7m (2010: loss of £33.0m)
- Refinancing package in place providing the Group with c. £1 billion of committed facilities and private placement notes, improving balance sheet efficiency
- Net debt of £322.6m (2010: £366.9m) as at 30 June
- Net tangible asset value per share of £2.11 (2010: £2.08 per share) at 30 June 20114
- For the first 11 weeks of our current financial year, we achieved average net private reservations of 183 per week, 10.2% above the same period last year. On a per active site basis this equates to a private sales rate of 0.49 (2010 equivalent period: 0.48)
Mark Clare, Group Chief Executive commented:
"We have made considerable progress in rebuilding profitability - by optimising selling prices, improving operational efficiency and securing new higher margin land. Whilst we expect progress to continue, further recovery in the housing market remains dependent on improving economic conditions and the ability of our customers to secure mortgage finance.”