Developer ‘cautiously optimistic’ with 25% forward sales increase

Property developer Barratt Developments has reported a “strong year of progress” in its latest trading update.

In an update covering the 12 months up to June 30, the company has seen an increase in forward sales of 25.4 per cent on the previous year.

Despite having a reduced balance sheet and completion volumes compared with 2019 - due to the disruption caused by COVID-19 - the firm’s chief executive is ‘cautiously optimistic’ about the firm’s ability to recover.

David Thomas, Barratt chief executive, commented: “Prior to the COVID-19 pandemic, the group was delivering a strong year of progress on both volume and margin.

“The pandemic has caused significant disruption, but our highly skilled and experienced team have shown incredible resilience, flexibility and commitment both through the peak of the crisis and in the careful reopening of our sites.

“Now, with our construction sites operational across the UK, we begin the new financial year with cautious optimism supported by our strong forward order book and our well capitalised balance sheet.”