“Strong trading” for Redrow

Redrow has seen “strong trading” since the start of its financial year with reservation values and homes turnover up on the equivalent period last year.

During the 18 weeks to October 30 2020, the housebuilder said its homes turnover climbed 48% against last year to £657 million. The value of its net private reservations rose 5% to £630 million, with demand in the regions “particularly strong”, increasing the reservation value by 17%.

The private revenue per outlet per week on a like-for-like basis was £302,000 against £262,000 last year. During the period, Redrow’s average selling price of private reservations rose 2% to £396,000.

The housebuilder said its robust performance had not reduced its total forward order book, which remained “close to record levels” at £1.5 billion, 10% up year-on-year.

It is also “making good progress” on scaling back its London operations, having exited three of the six sites it is no longer developing in the capital.

But the business pointed to ongoing planning delays. These were affecting the rate at which outlets could become available “during a period when closures have come forward due to the strong sales rate”.

Its sales offices will remain open during the latest lockdown, apart from in Wales where restrictions have temporarily closed them.

John Tutte, Redrow’s chairman, said: “The group’s strategy to focus its future growth in the regions means it is well positioned to capitalise on the evident shift in buyer priorities as a result of lockdown experiences.

“This, combined with our disciplined approach to operations, a healthy balance sheet and a strong forward order book, creates a solid platform for the future and puts Redrow on course to deliver a robust set of results this financial year.”

Repost from www.house-builder.co.uk