Profits surge for Barratt
Barratt Developments has reported a 40 per cent hike in group operating profit and 8 per cent increase in turnover this morning (12 January 2012).
The Coalville-based developer also cut debt as the business hailed a strategy of bringing into production recently-acquired higher margin land, operational efficiencies and "achieving best value" for its success.
The figures, which cover the six months to 31 December 2011, include an 8 per cent rise in revenue to £950m with group operating profit up 40 per cent to £61m. Net debt was down to £550m and total forward sales were also up 8.1 per cent on the year before to £698.1m.
Average selling prices were also said to have increased by 3 per cent to £181,000 and the company said shared equity schemes had been "an important selling tool" despite "ongoing constraints on mortgage finance".
Mark Clare, Barratt chief executive, said: "This has been yet another six months of good progress for our business despite the wider economic uncertainty.
"We have delivered a further substantial increase in profits, brought debt in below expected levels and are starting the second half with a much stronger forward order book."
