27th Feb 2025 11:18
(Alliance News) - Taylor Wimpey PLC on Thursday said it delivered "a strong sales rate" in the past year, but reduced its dividend as profit and revenue declined.
The Buckinghamshire, England-based housebuilder said pretax profit fell 32% to GBP320.3 million in 2024 from GBP473.8 million in 2023.
Revenue declined 3.2% to GBP3.40 billion from GBP3.51 billion.
Chief Executive Officer Jennie Daly said: "I'm pleased with our performance in 2024, delivering a strong sales rate and in-line results while achieving the highest customer service scores and overall build quality that we have ever had at Taylor Wimpey. This is testament to the hard work and commitment of our teams across the group."
The company highlighted that the UK average selling price on private completions declined 3.8% to GBP356,000 in 2024 from GBP370,000 in 2023.
Meanwhile, the UK net private sales rate rose 21% to 0.75 home per outlet per week in 2024 from 0.62 a year ago.
Cost of sales in 2024 decreased 1.6% to GBP2.75 billion from GBP2.80 billion in 2023. Net operating expenses however increased 27% to GBP341.8 million from GBP248.7 million.
Taylor Wimpey announced a final dividend of 4.66 pence per share, down 2.7% from 4.79p a year ago. This brings the total payout for 2024 to 9.46p, down 1.3% from 9.58p.
Looking ahead, CEO Daly said: "The start of the spring selling season has been robust, and we have seen good levels of demand for our homes. Affordability - while remaining a challenge for many, especially first time buyers - is also moving in the right direction. As a result, our total order book is up on last year, putting us in a strong position to grow housing volumes this year."
For 2025, Taylor Wimpey expects UK completions between 10,400 to 10,800 excluding joint ventures, similar to 10,593 in 2024 and 10,848 in 2023.
Further, Taylor Wimpey expects performance to be in line with market expectations in 2025. It cites a company-compiled consensus of operating profit of GBP444 million, which would be up 6.7% from GBP416.2 million in 2024.
Taylor Wimpey shares were down 1.6% to 112.75 pence each on Thursday morning in London.
By Tom Budszus, Alliance News slot editor
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