Author Topic: Redrow Homes Profits Increase To New Record In 2015  (Read 4629 times)

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Redrow Homes Profits Increase To New Record In 2015
« on: September 09, 2015, 12:05:54 pm »
Redrow Homes plc recorded a new record for pre tax profits - up 15% to £204million in their 2015 Annual Report.
This no doubt helped by the government 'Help to Buy' housebuilder's  subsidy which accounted for 40% of new homes sold by Redrow in the year.

This "helped" increase in turnover to £1,150m and a 13% rise in the average selling price to £269,800.
Redrow built only 425 more new homes in the year a total of 4,022 - up 12% on twelve months ago.
The profit on each home built equating to £50,720 - 18.9%.

During the year Redrow added 5,892 plots to its landbank 'hoard' and is currently holding 18,216 plots, four and half years' supply at the current build output.

Chairman Steve Morgan used the Annual Report for his ubiquitous annual whine about the planning process saying:
"The Local Plan process has noticeably improved since the introduction of the NPPF; however, Local Plans are still taking far too long in many parts of the country. We welcome the Government’s 'Fixing the Foundations' initiative aimed at pushing Local Authorities into taking their housing delivery responsibilities seriously.

Converting forward land holdings into new sites remains a key driver for the industry. Last year there was a noticeable increase in the number of outline planning approvals. However, gaining reserved matters and detailed planning consents is still taking far too long. Increasing housing supply in the UK is dependent on increasing the number of outlets; yet, despite the increase in headline planning consents, the number of outlets in the industry has barely grown. This situation will not
improve until the burden of red tape associated with needless planning reports and conditions has been removed. "

Steve Morgan claims his company is building "a high quality industry leading product." 
He obviously spends too much of his time moaning on about the planning process and not enough reading his customers' complaints!
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