Barratt Redrow FY completions rise, statutory profits up 48pc

(Sharecast News) - UK homebuilder Barratt Redrow reported a solid full-year operational performance on Wednesday, delivering 17,667 home completions, up 5% on the prior year and near the top end of guidance, while statutory pre-tax profits jumped 48.2% to £363.5m.

Barratt Redrow said the surge in statuatory pre-tax profits was a result of further Redrowrelated integration and a reduction in PPA costs. Adjusted operating profits before PPA effects edged 0.6% higher to £598.1m, but adjusted pre-tax profits fell 7.1% to £572.8m.

The FTSE 100-listed group ended the year with £772.8m in net cash after £242.2m in dividends and £100m of buybacks, and reiterated its £400m capitalreturn plan for FY27.

Operationally, private reservation rates were slightly ahead of last year, and the Redrow integration was completed, delivering £73m of cost synergies and confirming the £100m target. Barratt Redrow also highlighted continued leadership in build quality, customer satisfaction and sustainability.

Since yearend, weekly private reservations strengthened to 0.62, supported by PRS and multiunit sales, while forward sales stood at 11,200 homes worth £3.34bn as of 6 September.

However, FY27 completion guidance was modestly trimmed from 17,900 to 17,500 - including around 600 joint-venture units - reflecting ongoing planning delays and a reduction in expected salesoutlet openings.

As of 0845 BST, Barratt Redrow shares were up 7.85% at 298.10p.

Reporting by Iain Gilbert at Sharecast.com

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