Berkeley Group post strong final results with pre-tax profits up 26 per cent

Housebuilding company Berkeley Group have released their final results for the year ended 30 April 2013, with pre-tax profits up 26 per cent to £270.7m. Some £315m has been invested in new land, acquiring a further 3,201 residential plots.

Basic earnings per share also increased by 32.2 per cent to 160p.

Chairman Tony Pidgley (pictured, far left) said:

I am delighted to report a strong set of results which underline the benefit of a strategy aligned with a cyclical market. A combination of 32 per cent growth in earnings in the year, an increase in cash due on forward sales to over £1.4 billion and continued growth of the land bank means that Berkeley remains on track to meet the first £568 million milestone payment by September 2015 under its ten year plan to return £1.7 billion to shareholders....

The growth in earnings this year is a direct result of a period of sustained investment since early 2009 during which Berkeley has committed over £1 billion to new land and £2.4 billion to construction and completed over 12,000 new homes in London and the South of England....

An increasing supply of new and affordable homes is crucial to supporting economic recovery and needs inward investment to support and finance this. London in particular must remain competitive on a global scale because it can and does attract investment from around the world and it is this investment which finances the provision of new homes of every tenure and in every price range.