23rd Apr 2015 06:30
LONDON (Alliance News) - Housebuilder Taylor Wimpy PLC signaled further growth in profit Thursday, saying private reservation rates and average selling prices are continuing to rise, and uncertainty about the outcome of UK election was failing to dent consumer confidence.
In a trading update, the company said it has achieved an average private net reservation rate of 0.76 sales per outlet per week so far in 2015, up from 0.74 sales per outlet in the same period in 2014. Average selling prices of homes in its private order book are up 14% on the year to about GBP282,900, from GBP249,100. It is currently operating from 302 outlets, the same number as a year ago.
It said its total order book also remains strong at 8,200 homes, compared with 8,231 homes at the same stage in 2014. It is up 24% since the end of 2014. The total order book value is up by 12% on the year to about GBP1.9 billion, from about GBP1.7 billion at the same stage of 2014.
Taylor Wimpey also said the short-term land market has remained benign, and it has sourced land at margins similar to those it secured in 2014. Its short-term land bank at the end of March stood at about 78,000 plots. Its strategic land pipeline stood at about 109,000 potential plots.
"The uncertainty surrounding the general election outcome has not impacted customer confidence, and underlying demand remains high. We have had a strong first quarter in a positive trading environment, underpinned by good mortgage availability and employment prospects," the housebuilder said.
"As at 19 April 2015 we are 67% forward sold for 2015 completions, positioning us well for the remainder of the year and beyond. We are confident that we will continue to drive further sustainable growth and we are on track to deliver good progress towards all of our medium term targets in 2015," it added.
Taylor Wimpey said it will pay a final maintenance dividend of 1.32 pence a share for 2014, up from 0.47p a year earlier, giving a total maintenance dividend of 1.56p a share for last year, up from 0.69p in 2013. It's also going to pay a special cash dividend in July of 7.68p a share, as previously announced, up from 1.54p in July 2014.
By Steve McGrath; [email protected]; @stevemcgrath1
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Taylor Wimpey