17th Sep 2018 09:29
LONDON (Alliance News) - MJ Gleeson PLC on Monday gave investors a substantial dividend hike, after both profit and revenue saw double-digit increases in the builder's recently ended financial year.
For the year to the end of June, the urban regeneration specialist reported pretax profit of GBP37.0 million, up 12% from GBP33.0 million the year before, on revenue that rose by 23% to GBP196.7 million from GBP160.4 million.
Gleeson said it will pay a final dividend of 23.0 pence per share, up from 17.5p a year before, resulting in a total payout of 32.0p, up 33% from 24.0p the prior year.
In Gleeson Homes, the group sold 1,225 units, up from 1,013 the year before, and the average selling price rose to GBP125,200 from GBP122,700. MJ Gleeson's land pipeline, including conditionally purchased sites, rose to 12,852 plots from 11,588 the year before.
Meanwhile in the Strategic Land division, the group made 10 land sales during the year, leaving it with a portfolio of 61 sites with the potential to deliver 22,838 plots.
MJ Gleeson said it is currently on-track to double sales in Gleeson Homes to 2,000 units per annum over the five years from 2017 to 2022.
"Our twin track strategy - the development of low-cost homes for open market sale in the North of England and the Midlands and strategic land sales in the South - delivered another excellent year of increased volumes, profit and cash," said Chairman Dermot Gleeson.
"Against this background, the board is confident that the group's unique business model will continue to deliver significant growth in both revenue and profits in the current year and beyond," Gleeson added.
Shares in MJ Gleeson were up 3.2% at 718.00 pence on Monday.
Related Shares:
MJGleeson