Barratt Redrow’s net private reservation rates rose 6% to 0.67 in the 13 weeks to 29 March.
The order book grew by 13% to £3.5bn, reflecting a total of 11,395 homes. Build cost inflation is expected to be around 2% this year.
Helped by lower land investment, year-end net cash is now expected to land between £550-650mn (previously: £400-500mn).
Full-year completions guidance has been reiterated at between 17,200-17,800 new homes. Underlying pre-tax profits are expected to land in line with market forecasts, pointing to growth of around 16% to £568mn.
Barratt has completed £84mn of the current £100mn buyback programme, with the remainder to be finished by the end of June 2026.
The shares rose 2.4% in early trading.
Our view
HL view to follow.
Barratt Redrow key facts
All ratios are sourced from LSEG Datastream, based on previous day’s closing values. Please remember yields are variable and not a reliable indicator of future income. Keep in mind key figures shouldn’t be looked at on their own – it’s important to understand the big picture.
This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
This article is not advice or a recommendation to buy, sell or hold any investment. No view is given on the present or future value or price of any investment, and investors should form their own view on any proposed investment.