Steve Morgan

Redrow profits double

Ewloe-based house builder Redrow announced a 107% increase in its pre-tax profits in its half-year report today.

Figures for the six months to the end of 2013 showed revenue for Redrow at £363m, up from £257m in the same period of 2012, and pre-tax profit at £47.5m, up from £23m. As a result Redrow will pay an interim dividend of 1p a share, which is the first interim dividend for six years.

The half yearly report attributed growth in revenue to a 30% increase in unit sale completions and a 9% increase in average selling price, up to £232,000 from £212,000. Redrow also added 2,088 plots to its land bank bringing the total to 16,250 units.

Chairman Steve Morgan said: "We have started the calendar year well with private reservations since January up 24% on last year from 12% more outlets. We expect the housing market to remain robust and for consumer confidence to improve in line with the economy.

"We have a strong pipeline of new sites in planning and we believe the Government is committed to continuing to speed up the process of obtaining implementable planning permissions. We therefore remain confident that this will be another year of significant progress for Redrow."

Shares were down 3p to 319p.

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