6th Nov 2007 07:00
Bovis Homes Group PLC Trading Update 6 November 2007 Bovis Homes Group PLC will be hosting an analyst and investor meeting inBirmingham on Wednesday 7 November. A copy of the presentation slides will bemade available on the Group's website (www.bovishomes.co.uk/plc) during the day.Prior to the presentation, the Group is today issuing the following tradingupdate: Recent events in the financial markets have adversely affected consumerconfidence, resulting in sales being lower than anticipated during the keyautumn selling period. The Group's current outlook for legal completions in 2007is that volume, including the contribution from its recent acquisition of EliteHomes, will be marginally below that achieved last year. With the expected change in mix of homes, the average sales price is likely tobe circa 3% below that achieved in 2006. The Group's operating margin, beforetaking into account one-off acquisition restructuring charges, is anticipated toremain at industry leading levels, broadly in line with the margin achieved atthe half year 2007. The integration of the Elite Homes Group is progressing well and, as expected,will result in a one-off restructuring charge of around £2 million in 2007,together with an additional £1 million interest charge as compared with ourexpectation prior to acquisition. Looking ahead, the mid and longer term supply and demand dynamic remains veryattractive in the housing market but, in the short term, sales will reflect thisrecent decline in consumer confidence, in particular as it relates to majorconsumer purchases. The Group remains in a strong position to increase shareholder value andcontinues to invest in both strategic land, and in the recruitment anddevelopment of high quality management throughout the business. \* TEnquiries: Malcolm Harris, Chief Executive Neil Cooper, Finance Director Bovis Homes Group PLC Tel: 01474 876200 Emily Bruning Shared Value Limited Tel: 07879 426358\* T Copyright Business Wire 2007Related Shares:
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