Bellway reports record H1 output; Sees FY in line
House builder Bellway reported record first half volume output, with the completion of 5,321 new homes, a rise of 6.3%, as it said full year profits would be in line with estimates.
Housing revenue rose by almost 4% to around £1.5bn, mainly driven by strong growth in housing completions, which rose by 6.3% to 5,321, partially offset by a 2.5% fall in the average selling price.
The company on Friday said the rise had been driven by low interest rates and higher loan to value mortgage products due to the government’s help to buy scheme.
“The pricing environment remained firm, although there remain ongoing challenges in relation to higher priced homes,” Bellway said.
“In addition, there continues to be upward pressure on construction costs across the wider sector. Bellway is implementing a number of ongoing initiatives in order to help mitigate these cost increases.”
Bellway said pre-tax profits were expected to be in line with market guidance of £622m.