3rd Jul 2015 06:56
LONDON (Alliance News) - Regeneration and strategic land company MJ Gleeson PLC on Friday said it expects profit to rise significantly in both its Gleeson Homes and Gleeson Strategic Land businesses following robust trading in the two divisions.
Gleeson Homes, its low-cost homes business, sold 751 homes in the year to the end of June, up 34% year-on-year. In combination with an improvement in its gross margin and the sale of land at Stamford Bridge in Yorkshire, the division has seen a significant increase in profitability.
Gleeson Homes' land pipeline of owned and conditionally-acquired plots at the end of June was up 63% year-on-year to 7,496 plots, with a further 460 set to be acquired. The division is currently active on 42 sites and anticipates this will increase to 50 in the coming year.
The forward order book for the division is GBP43.9 million, broadly in line with the year before.
Gleeson Strategic Land sold five interests over the course of the year, which will also drive a significant rise in divisional profit, it said. The company said the unit is going into its new financial year in a strong position, with two sites conditionally sold and set to complete early in the financial year.
By Sam Unsted; [email protected]; @SamUAtAlliance
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