15th Oct 2013 07:08
LONDON (Alliance News) - Housebuilder Bellway PLC Tuesday reported a 33.8% increase in profit a for the full year, boosted by government mortgage lending schemes
The company posted pretax profit of GBP140.9 million for the period ended July 31, up from GBP105.3 million a year earlier, while revenue increased slightly to GBP1.1 million, from GBP1.0 million in 2012.
Bellway said it sold 5,652 homes during the period, compared with 5,226 homes, an increase of 8.2%, while the average selling price increased to GBP193,025, from GBP186,648.
The housebuilder said it had seen a surge in customer enquires during Spring this year following the introduction of the Help to Buy Scheme.
The Help-to-Buy programme guarantees part of a borrower's mortgage advance, allowing them to get a loan with a lower deposit than would be normally required. The aim is to boost the number of first-time buyers able to afford properties.
Bellway said the scheme bought with it the strongest market conditions seen since the downturn in 2008.
It reports that since July, property reservations have remained ahead of last year and demand is strong in most areas of the country.
The company increased its land bank to 32,991 plots, from 31,136 plots last year, while the net asset value per share increased to 1,001 pence compared with 933 pence in 2012.
The board approved a 50.0% increase in the final dividend to 30.0 pence, from 20.0 pence.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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