Housebuilder says covid impact saw pre-tax profit fall nearly 17%

Housebuilder Berkeley Group said it is still on course to deliver full year profits of 拢500m, despite its numbers taking a hit because of covid in the first half..

The firm, which works predominantly in London and the South-east, said pre-tax profit in the six months to October fell nearly 17% to 拢230.8m 鈥� below expectations of 拢240m. Revenue was down 3.8% to 拢896m with the number of homes sold during the period slipping to 1,104 from 1,389 a year earlier.

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Berkeley is working on the Trent Park homes and apartments scheme in north London

But the firm said it was still on track to deliver its annual pre-tax profit outlook of around 拢500m and paid out 拢171.4m to shareholders over the period including a 拢134.3m dividend. It will pay out another 拢140 by the end of March.

The firm, which said it did not furlough any of its staff during the period, had net cash of 拢954m at the end of October, down from the 拢1.1bn it record at its April year-end.

Berkeley said it had bought four sites during the period, three in London, including schemes at Southwark and Paddington, and a fourth in Oxfordshire with all four amounting to a pipeline of 2,800 homes.

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