Housebuilder set to see sales and profit rise but consumer confidence remains a concern
Taylor Wimpey said today it expects to improve on last year鈥檚 record turnover of 拢3.97bn when it announces its results for 2018 next month 鈥� but warned political and economic uncertainty could hold back consumers.
The housebuilder said revenue and margins were up year-on-year, while the number of completions rose 3% to 14,947 units.
Average selling prices on private completions increased by 2% to 拢301,000, with the overall average selling price remaining flat at 拢264,000.
Market forecasts put the firm鈥檚 total revenue at between 拢3.9bn and 拢4.2bn and pre-tax profit of between 拢824m and 拢870m.
The group said trading had been 鈥渞obust鈥� despite signs of increasing customer caution towards the end of 2018 in London and the South East.
Taylor Wimpey鈥檚 chief executive Pete Redfern said the likelihood of a quarter-point rise in base interest rates this week wasn鈥檛 a major cause for concern, although overall consumer confidence 鈥� against a backdrop of Brexit and economic uncertainty 鈥� was 鈥渕ore of an issue鈥�.
Redfern told Bloomberg that the weakness being seen in the upper end of the London housing market was unlikely to spread out to the rest of the UK.
The group鈥檚 拢1.8bn order book, up 9%, equated to 8,304 homes, an increase of 16%, with growth being credited to a rise in affordable housing, up 22%.
Taylor Wimpey will announce its 2018 results on 27 February.
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