Bellway cements record results
HOUSEBUILDER Bellway today posted record results after its policy of forward selling offered it protection in an uncertain property market.
The Newcastle-based group achieved annual pre-tax profits of £234.8m, an increase of 6.4% on a year earlier after selling 7,638 homes in the year to July 31.
Revenues were up 9.2% to £1.35bn.
Bellway said the coming weeks were likely to give a better picture of the housing market, but in the meantime it said its forward order book stood at £667m at the end of September, up £20m on last year.
Bellway said the figure, when combined with completions, represented 57% of its planned output after just two months of its financial year.
It told investors: “Recent events in both global and financial markets would appear to have softened consumer confidence.
“The coming weeks will give a better indication of the overall national sentiment towards the housing market but the board, at this time, believe that the key fundamentals remain unaltered.”
Bellway also indicated that it was well positioned to capitalise on acquisition and development opportunities should they arise in the coming months. The company has built more than 100,000 homes since it was founded in 1946.
The company’s divisions in the North-east, Scotland and around London traded well during the period, it added.
Bellway said the average selling price of a property had also climbed 2.5% to £173,300 during the period.
