Revenue also up in latest results, but profit drops
Keepmoat has attributed a rise in housing completions and revenue to the “resilience” of its partnerships business.
The housebuilder built 4,074 homes in the year to 31 October 2023, an increase of 7.9% on 3,776 the prior year.
Its annual results also showed revenue increased 11.1% to stand at £864.6m, however pre-tax profit was down to £83.2m from £92.2m.
The results document said its partnership model had allowed the business to “allowed us to respond to the impact of high inflation and high mortgage rates on private buyer confidence, with an increased proportion of completions delivered to our Registered Provider partners through elective, multi-unit deals across all of our region”.
Deliveries to registered providers, including elective deals, made up 45% of the group’s volume, up significantly from 26.9% in the year prior.
More than four in five homes were built on brownfield land or in regeneration areas, compared with 77% the year prior.
>> Profit and revenue up as partnerships shift continues at Vistry
Tim Beale, chief executive officer said their results were a “remarkable achievement” which “demonstrates the unique resilience of the Keepmoat Partnership Model”.
At 31 October 2023, the number of planned future completions within the land pipeline, including sites where Keepmoat had been appointed as preferred developer, was more than 23,100.
This represented approximately six years of delivery at current volumes.
The business closed the year with cash equivalents of £163.9m.
No comments yet