Housebuilder Redrow increases turnover to £1.92bn in record year

An increase in project completions has driven profits up 21% at Redrow plc.

The Flintshire-headquartered housebuilder recorded a pre-tax profit of £380m in the 12 months to June 30 2018, up from £315m the year previous.

Turnover for the period was £1.92bn, a 16% increase against the £1.66bn generated in 2016/17.

Redrow achieved 497 more legal completions in its last financial year than it did the year previous, delivering 5,913 homes in total.

The figure represents a year-on-year uptick of 9% and includes joint venture projects.

A 7% rise in average selling price, to £332.3k, also helped drive the company’s earnings.

Redrow Chairman Steve Morgan said: “I am delighted to report that Redrow has delivered another year of strong growth and record results.

“This excellent trading performance enabled us to achieve strong cash generation such that we ended the year with net cash of £63m.”

He added: “Redrow is committed to growing our output to help the country’s requirement to increase the number of new homes built.”

Looking ahead, Mr Morgan said the company has a “very strong forward order book, first class land holdings [and] an excellent balance sheet”.

He continued: “We are able to react quickly to changing circumstances. However, there is no doubt that clarity over Brexit and the future of Help to Buy would improve market sentiment. Given that clarity, we will continue to deliver.”