A London property group has warned that its profits would fall by at least a fifth this year as a new strategy hit margins and several of its developments suffered delays.
Telford Homes said that it expected profits before tax of about £40m for the year to April, lower than its earlier forecast of more than £50m. The announcement sent its shares down over 20%, or 71.5p to 278.5p.
It was also affected by slower-than-expected sales because of the depressed state of the capital’s property market. Two contracts in Finsbury Park in north London and Bethnal Green in the East End were delayed by planning issues, which it said would cut 2019 profits by about £5m.
