Crest Nicholson has today announced strong margin growth driving good first half performance.

Six months ended 30th April 2012
Key financial and performance highlights:
  • Housing legal completions up 33% at 746 [2011: 560]
  • Housing revenue up 37.6% on 2011 reflecting our growing number of sales outlets and higher Average Selling Prices (ASP)
  • ASP up 12% at £233k [2011: £208k] reflecting an increasing proportion of higher value properties in the mix
  • Gross profit margins up 3.1% to 28.3% [2011: 25.2%]; operating profit margins up 2.0% at 15.7% [2011: 13.7%]
  • 1,645 new land plots acquired in the South in the first half at 25% gross margin
  • At the end of April, the short-term land bank comprised 15,413 plots, with two thirds of these plots situated in London and the South East
  • Forward sales at mid-June of £220.5m [2011: £198.5m] with 82% of this year’s forecast secured
  • Cancellation rates low at just under 12%
  • Awarded 5 stars in the House Building Federation Customer Satisfaction Survey for the third consecutive year
Operating Profit21.717.93.8+21.2%
Profit before tax16.0(21.5)37.5 
Profit after tax12.5(21.5)34.0

Commenting on today’s statement, Stephen Stone, Chief Executive, said:

“I am delighted to announce excellent results from Crest Nicholson for the first half of the year. We have continued to benefit from good customer demand for high quality homes, within well-conceived master plans, in prime locations in London and the South. In an uncertain macroeconomic environment, our ability to deliver strong revenue and margin growth is a testimony to the business and those who work for it.”

Click here to download the full Interim Results Announcement (PDF:300KB)

Click here to download the Interim Results Presentation (PDF:1.8MB)