Countryside profits fall 55% to 拢316.1m following a slowdown in the housing market.
Countryside Properties has blamed slow housing sales for a 55% fall in profits for the year end 30 September 2004.
The urban housebuilder posted a pre-tax profit of 拢16.1m on a turnover of 拢368.4m, 拢20m less than last year鈥檚 results.
The gloomy results follow a 拢218m buyout bid last week from chairman Alan Cherry and his family.
Cherry said that five interest rate rises in the last year had dampened consumer confidence. As well as lower demand for homes over 拢300,000 Cherry said that the company was experiencing a slower market for lower priced homes in London and the South East.
He said: 鈥淪ome homebuyers, we believe, are delaying home buying decision until interest rates settle and they can feel more confident about the outlook for house price.鈥�
Countryside said that construction delays had also contributed towards sales completion being delayed until the end of the financial year.
Earlier this Autumn Countryside issued two profit warnings warning that its results would be significantly affected by weaker housing markets and a reduced contribution from its land trading activities.
Countryside believed that lower land sales were made during the second half of the year as buyers tried to take advantage of the approaching year end and MBO.
