Open market sales revenue drops from £15.2m to £1.1m
Yorkshire Housing’s sales income plummeted in 2023/24, contributing to a fall in turnover.
The 20,000-home provider, in its financial statement for the year to 31 March, reported its income from open market sales fell from £15.2million in 2022/23 to just £1.1m in 2023/24. It sold just three units compared to 42 the previous year.
“Open market sales (OMS) through our commercial subsidiary were disappointing but reflected a challenging housing market” it said.
“Turnover has decreased compared to previous years due to the national challenges within the housing market impacting our open market sales, however our underlying social housing provision remains at a consistent level with the last two years.”
Shared ownership first tranche sales income also fell from £25.1m to £21.8m, although Yorkshire said this exceeded its expectations.
The fall in sales income was partially offset by an £8.9m rise in income from social housing lettings from £96.2m to £105.1m, due to the 7% increase in annual rents and the income from new homes developed.
Its surplus fell by £10.4m to £7.3m, due in part to a £5.8m increase in interest costs.
Yorkshire Housing built 689 homes, an increase of 37% on the 502 completed the previous year. It said it has now built 4,400 of the 8,000 homes it is aiming to build between 2019 and 2030.
The landlord increased the amount spent on maintenance of existing stock by £2m to £31.6m and said 81% of its stock is now at Energy Performance Certificate ‘C’ standard.
Yorkshire Housing also said it had made progress with its ‘Customer Obsessed’ strategy to improve services for residents, including working on implementing a Salesforce customer relationship management tool.
It has set up a “new data analytics hub to bring together different sources of data to help us make the best decisions for our customers.”
It said: “Our future is to provide a ‘Pre-emptive’ service to our customers. A future where instead of waiting for things to go wrong we anticipate and resolve, giving customers more time to get on with their lives, and enjoy a service that is truly customer obsessed”
Housing association financial statements 2023/24
Great Places builds less than 70% of targeted affordable homes Housing association planned to build 786 in 2023/24
Stonewater increases development 23% as it boosts spend on new build Surplus doubles due to one-off merger gain but repair costs rise
Metropolitan Thames Valley Housing increases development spend by 40% Accounts also confirm £80m deficit after building safety costs and write-downs
A2 Dominion’s deficit increases as it aims to restore regulatory compliance Landlord starts work on just nine homes as it focuses on improving existing stock
L&Q trebles surplus as operating costs fall Housing association spends £112m on capital works as it shifts expenditure towards existing homes
Orbit’s development drops by 30% as it ramps up spend on existing homes Midlands housing association’s surplus falls by 39%
Turnover and surplus up at Onward Homes North-west landlord posts an 11% increase in its annual turnover
Peabody turnover down 11% due to reduced sales and site delays Landlords scales back development and invests more in improving existing stock as it shifts to neighbourhood model
Guinness undershoots development target by nearly half Landlord says resource pressures and contractor administrations hit annual development figures
Housing delivery up 31% at Places for People Repair and maintenance spend exceeds planned budget
Flagship boosts surplus by 16% despite fall in open market sales and higher salaries East of England provider built 744 homes in the 2023/24
Aster’s surplus hit by higher interest costs and writedowns The housing association’s pre-tax profit falls 14% due to a combination of an increase in costs caused by inflation and an ‘all-time high’ investment in its homes
Abri invests ‘record’ £100m in existing homes but sees 19% dip in annual completions The 50,000-home housing association reports ‘exceptional’ surplus of £518m due to merger with Silva Homes.
Hyde Group misses build target by nearly half as it’s hit by £39m in write-downs 44,000-home association reports 78% drop in surplus as it is hit by contractor insolvencies on two schemes
Home Group increases development 17% Home Group handed over 1,284 homes last year, according to its financial statement for the year to 31 March 2024.
Moat reports squeezed margins and lower surplus Moat Homes has reported a drop in surplus and turnover, as its social housing lettings margin fell sharply.
Midland Heart increases development as it eyes 4,000-home target 35,000-home association increases investment in new build and improving existing stock
LiveWest undershoots affordable homes target due to delayed starts on site South west-based association built fewer affordable homes in 2023/24 than its target due to “site specific” issues.
Paradigm exceeds development target Buckinghamshire-based housing association says new build “central part” of mission as it increases surplus and turnover
Karbon increases development but sees margins squeezed due to hike in repairs costs Newcastle-based landlord builds 644 homes in 2023/24
BPHA boosts turnover but reports deficit due to one-off refinancing costs Bedfordshire landlord increases completions by 20%
Vivid increases development to more than 1,500 homes a year Housing association boosts development by 10% in face of surplus squeeze
Southern stops committing to new developments as surplus falls 80,000-home housing association ramps up spend on existing homes
Surplus down but turnover rises in SNG’s first post-merger financial accounts The merged organisation, which is aiming to develop 25,000 new homes over the next decade, says its balance sheet is ‘robust, diversified and resilient’
Platform Housing’s surplus falls due to pension scheme exits costing £18m The Midlands-based housing association also cited cost pressures from investment in homes, customer services, and high inflation
Bromford Housing reports increase in turnover, but higher operating costs Housing association cites higher repair volumes
Clarion reports drop in turnover and surplus as it takes ‘cautious’ approach to development Housing association giant increases spend on existing stock from £393m to £418m
Sanctuary increases turnover despite 35% drop in sales income Giant housing association misses development target
Turnover and surplus up at Onward Homes North-west housing association increases shared ownership sales income
L&Q trebles surplus as operating costs fall The 109,000-home housing association has spent £112m on capital works as it shifts expenditure towards existing homes
Jigsaw Homes delivers ‘record’ 929 new homes and increases surplus The housing association’s surplus increased by £8.5m during the year
Wheatley boss warns build pipeline depends on Scottish government grant funding 94,000-home group reports fall in annual development and warns government budget cuts will affect build rates
No comments yet