28 February 2017 – final results
The housebuilder has reported excellent results for 2016. Revenue was up 17.1% to £3,676m (2015: £3,140m). Profit before tax and exceptional items was 21.5% higher at £733.4m (2015: £603.8m) and adjusted basic earnings per share were 18.1p (2015: 14.9p). The tangible net asset value per share rose from 83.5p to 88.6p during the period. Net cash jumped from £223.3m to £364.7m. In 2017 shareholders will receive a total dividend of approximately £450m (13.8p per share), comprising an ordinary dividend of £150m (4.6p per share) and a special dividend of £300m (9.2p per share).
An update on the start to trading in 2017 was also provided. As at 19 February 2017 the company was around 49% forward sold for private completions for 2017, with a total order book value of £1,978m (2016: £2,030m), excluding joint ventures. This represents 8,573 homes (2016: 8,409). Around 58% of Central London private completions for 2017 are forward sold as at 19 February 2017 (2016: 76%). Underlying build cost increases during 2017 are expected to be around 3% to 4%, a similar level to 2016. The shares remain a BUY.