ref="http://www.cityam.com/company/galliford-try">GALLIFORD Try is set to report a record full-year profit driven by its housebuilding arm, which continues to benefit from the strengthening UK housing market.
The FTSE 250 group said yesterday that pre-tax profits are likely to be at the upper end of analysts’ range of £92.8m to £95.2m when it reports in September. That compares with profits of £74.1m the previous year.
Like its housebuilding peers, Galliford has had a good run in recent years, boosted by government measures and increased consumer confidence that helped boost the prices of its homes.
Its main housebuilding arm Linden Homes recorded a 15 per cent rise in the price of its properties, from £266,000 to £305,000. Galliford said the business continued to deliver revenues above pre-2008 levels.
The group also reported an increase in completions from 2,806 homes to 2,968, which helped drive an 11 per cent rise in sales from £313m to £348m. Its construction business also saw its order book rise to £1.4bn from £1.25bn last year.
Chief executive Greg Fitzgerald welcomed the government’s “continuing commitment to housing provision” and the Bank of England’s efforts to maintain stability.
“We are pleased to have finished the year strongly and expect to deliver another record profit. With a solid balance sheet, minimal debt, a record landbank in housebuilding and excellent visibility of work in construction, we are starting the new financial year in a strong position,” he said.