Vistry boosts profits amid outsized demand for affordable housing

July 09, 2024 07:50 PM AEST | By EODHD

Google News:

Vistry boosts profits amid outsized demand for affordable housing — Image source: Kalkine Media

Recent News

Huawei OceanStor Dorado All-Flash Storage Named One of DCIG TOP 5 Cybe...

PolicyStreet Offers RM100 Touch 'n Go eWallet Credit for Every Car Ins...

CHINT: Global Leader in Building Solutions Powering Resilience Against...

Haranga Resources (ASX:HAR; FRA:65E0) Advances Lincoln Gold Project wi...

Housebuilder Vistry expects a 7% rise in half-year profit amid resilient demand for affordable housing in an otherwise stagnant market. The London-listed company expects £186 million in pre-tax profit for the six months to June 30, up on the same period last year, while the number of homes it completed rose 8% to 7,750 units. Vistry said it expects to build more than 18,000 homes this year, up on 16,118 in 2023, with a similar rise in full-year profit. While housebuilders have been hit by a delay to cutting the base interest rate by the Bank of England, the sector has been buoyed by the recent election of the Labour Government. ADVERTISEMENT The party has pledged to overhaul restrictive planning rules as part of its plan to build 1.5 million new homes in the next five years.

Vistry, which focuses on building affordable homes for housing associations and the rental market via its so-called partnerships business model, said it is “uniquely” well positioned to help meet that goal. Greg Fitzgerald, chief executive of Vistry, said: “The group has delivered a strong performance in the first half which underpins the board’s confidence in its expectations for the full year. “Our partnerships model is significantly outperforming the broader housebuilding market and we are confident we will deliver over 18,000 completions for the full year and make progress towards our medium-term targets. “We look forward to working with the new Government to address the country’s housing crisis and are extremely well placed to support its ambition of delivering the biggest boost to affordable housing in a generation.” Vistry also benefited from lower building material costs throughout the first half of the year after it asked its supply chain for cost reductions last October. Forward sales were up 21% on the prior year at £5.1 billion versus £4.2 billion at the same point last year, with £1.8 billion set for delivery in the second half of 2024.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (“Kalkine Media, we or us”), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary.
The content published on Kalkine Media also includes feeds sourced from third-party providers. Kalkine does not assert any ownership rights over the content provided by these third-party sources. The inclusion of such feeds on the Website is for informational purposes only. Kalkine does not guarantee the accuracy, completeness, or reliability of the content obtained from third-party feeds. Furthermore, Kalkine Media shall not be held liable for any errors, omissions, or inaccuracies in the content obtained from third-party feeds, nor for any damages or losses arising from the use of such content.
Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyrighted to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have made reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
This disclaimer is subject to change without notice. Users are advised to review this disclaimer periodically for any updates or modifications.