黑洞社区

Galliford Try has forecast that its pre-tax profit for the year to the end of June 2014 will exceed analysts鈥� expectations and top 拢92m.

In a statement to the City this morning, Galliford Try chief executive Greg Fitzgerald said that the firm would exceed the analysts鈥� consensus for the year to 30 June 2014, which forecasts the firm will report pre-tax profit of 拢89.7m, and would report a pre-tax profit of 鈥渘ot less than鈥� 拢92m.

Fitzgerald said: 鈥淭he group has made strong progress since the start of the year particularly in housebuilding where market conditions continue to improve.鈥�

He added: 鈥淥ur margin enhancement programme is also progressing on plan, and the [Linden Homes] division has made further progress at the operating margin level.鈥�

The firm reported it had achieved record house sales with 拢1bn reserved, contracted or completed across both its Galliford Try and Linden Homes businesses.

It also said Galliford Try鈥檚 construction business had improved its order book to 拢1.3bn, up from 拢1.25bn at the end of 2013.

Fitzgerald said the construction division was 鈥渨inning work with appropriate margin and inflation protection鈥� and that it continued its 鈥渇ocus on risk management and cash, which have been robust in the period [1 Jan 2014 to 13 May 2014]鈥�.

He said: 鈥淎ll of our businesses, in common with the industry, continue to experience challenging production conditions, with supply of both labour and materials constrained by strong demand; however these conditions are stabilising and we continue to manage them proactively.鈥�

However, he said he expected the firm鈥檚 debt on 30 June to be bigger than at the same point last year 鈥渞eflecting planned higher investment in land鈥� in Galliford Try鈥檚 housing business.