Bellway maintains forward sales as offices reopen
Bellway updated the market on its operations on Tuesday, reporting that construction activity had restarted at around 230 sites, while all remaining sales offices reopened in England on 1 June.
Bellway
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FTSE 250
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The FTSE 250 company said viewings were limited to single family groups, and were on an appointment-only basis.
It said its balance sheet remained “strong”, with net bank debt standing at £157m as at 31 May, narrowing from £261m on 2 June 2019, along with committed bank facilities of £545m.
In addition, although undrawn, the group said it had been confirmed as an eligible issuer for the government's Covid Corporate Financing Facility (CCFF), with an issuer limit of £300m.
The company also said that its forward sales position was “substantial”, with an order book comprising 6,038 homes, compared to 6,312 homes a year ago, carrying a value of £1.57bn, down slightly from £1.64bn
That, together with its site reopening programme, should enable the group to preserve its strong liquidity position in the months ahead, the board said.
It added that all furloughed employees had remained on full basic pay throughout April and May, with Bellway having no current plans to claim grant using the government's Coronavirus Job Retention Scheme (CJRS).
“Our priority remains the health, safety and wellbeing of our colleagues, customers and subcontractor workers,” said chief executive officer Jason Honeyman.
“With this in mind and following updated Government guidance with regards to restarting the housing market, we have carefully and gradually recommenced on site construction and sales activity in England and Wales, whilst introducing strict social distancing requirements.
“This measured approach has enabled us to continue serving our customers and has facilitated the safe return to work for many of our employees.”
At 0941 BST, shares in Bellway were down 2.81% at 2,875p.