| Item | 2014 result | % rise year on year |
|---|---|---|
| Group revenue | £1.15bn | 33 |
| Avg sale price | £269,800 | 13 |
| Pretax profit | £204m | 53 |
| Operating profit | £213m | 54 |
| Land bank | 18,216 plots | 9 |
Redrow Group revenue has soared by 33% to what it says is a record £1.15bn in its annual results for the year to 30 June.
The rise was driven over the year by a 12% increase in legal completions, a 13% increase in average house sale price to £269,800, and a rise in gross margins from 21.7% in 2014 to 23.8%.
Pretax profit, meanwhile, is up by 53% to £204m, while operating profit has risen by 54% to £213m.
Net debt has also been reduced to £154m, from £172m in 2014.
Redrow is to separate out its London projects in order to operate the capital business as a region of its own, undertaking more of their own constructions.
The firm adds that in Central London the market softened ahead of the election and will now focus on outer London boroughs.
Redrow completed 4,022 homes over the year, with 5,892 new plots secured over the year, of which 1,975 were from the forward land bank.
The land bank now stands at 18,216 plots, up from 9% on the previous year.
On the basis of the results the board is proposing a final dividend of 4p per share – twice that paid in 2014.
Chairman Steve Morgan said: “For the first time in our history, we generated turnover in excess of £1bn, up by 33% on last year. We built and sold over 4,000 homes across the UK last year, up by 12% from the year before and by around 42% more than in 2013.”
Redrow also heaped blame for the housing shortage on local councils, claiming: “The local plan process has noticeably improved since the introduction of the NPPF; however, local plans are still taking far too long in many parts of the country. We welcome the government’s “Fixing the Foundations” initiative aimed at pushing local authorities into taking their housing delivery responsibilities seriously.”
The firm’s statement went on to criticise the length of time taken to grant planning approval for forward land holdings, and the “burden of red tape associated with needless planning reports and conditions”.
