Galliford Try and Redrow posted healthy results while Barratt reported a loss

Housebuilders and contractors reporting results this week suffered mixed fortunes. Galliford Try and Redrow showed healthy growth, while Barratt shares dropped on a 拢12m end of year loss.

Barratt, which reported on Wednesday, said the loss for the 12 months to June this year was down from the 拢162.9m loss reported in 2010, and came on turnover of 拢2.04bn, the same as last year.

However, it managed to increase its operating profit before exceptional items by 50%, raising its margin from 4.4% to 6.6%. It was hit by 拢54.2m in exceptional items, mostly due to the re-financing of its debt in May, as well as a 拢65m 鈥済ross impairment鈥� after it reviewed its land bank value.

Contractor and housebuilder Galliford Try on the same day announced continued progress in its plan to double the size of its housebuilding business over three years, reporting completions up 27% to 2,170 and an operating profit margin up to 8.1%.

Overall revenue was up 5% to 拢1.28bn, with pre-tax profit up by a third to 拢35m. Greg Fitzgerald, chief executive, said: 鈥淲e enter the final year of our three-year transformational expansion plan for housebuilding in a strong position to deliver on the objectives we set.鈥�

Last week Redrow reported that pre-tax profit leapt to 拢25.3m for the year to June 2011 as the builder managed to increase the average selling price of its homes.

 

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