Redrow FY results expected to be at pre-Covid levels

Housebuilder Redrow said on Friday that 2022 full-year results were expected to be close to pre-Covid levels

Redrow said the value of net private reservations in the 19 weeks to 5 November was 2% higher year-on-year at £672.0m, while private revenue per outlet per week was £309,000, up from £298,000 last year.

Despite well-publicised material shortages and supply interruptions facing the industry, Redrow stated it had successfully worked with its longstanding supply partners to ensure build output remained at normal levels and estimates that overall build cost inflation will be roughly 5% for the current financial year.

Homes turnover for the period was 4% below "the exceptional level" seen last year at £666.0m, while the group's total forward order book was a record £1.51bn, up from £1.48bn.

"With the strength of our order book, ongoing sales rates and the increase in private average selling prices, we now expect our turnover for 2022 to be circa £2.1bn, and our operating margin to be circa 19%," said Redrow.

"As a result of our strategy to grow the business outside London, with a strong focus on our industry-leading product and placemaking, we expect to deliver results in the 2022 financial year approaching those achieved in 2019."

As of 0905 GMT, Redrow shares were up 1.75% at 638.60p.