Caution tempers Bryant's 47% advance
Wednesday 08 February 1995
Many broking analysts began scaling back full-year profit expectations as the shares fell 2p to 108p.
David Taylor at UBS reduced his forecast for 1995 from £48m to £46.5m. He expects a £52.5m result in 1996.
Bryant's taxable profits in the half-year to November 1994 rose to £21.4m from £14.6m, on turnover up 37 per cent to £244.5m.
Home completions advanced by 18 per cent to 1,745 against 1,480 last time, while the average selling price increased to £106,000 (£94,000).
Return on sales improved from 10.1 per cent to 11.3 per cent as Bryant continued the bias towards four and five-bedroom properties - 60 per cent of the total compared with 45 per cent a year earlier.
Andrew MacKenzie, chief executive, said housing remained on the fringes of economic recovery.
Employment concerns continued to constrain demand and Bryant's reservations dipped by 10 per cent at Christmas following a 30 per cent rise in the period under review. January had been better, however.
As for most housebuilders, Bryant said the next few months - a period usually accounting for 50 per cent of its total reservations - would be crucial for the full-year result.
The group was on track for 3,700 home completions over the full year, Mr MacKenzie said.
Housing operating profits rose to £20.6m (£13.5m), while an increase in the land bank to 10,250 from 9,800 plots pushed up gearing from 3 to 29 per cent.
The construction division experienced competitive trading, with profits falling from £2m to £1.1m, and has a forward order book of £70m. Meanwhile, the property arm moved out of the red.
Earnings per share rose from 3.6p to 5.2p and the dividend is increased to 1.45p (1.40p).
"The somewhat depressing thing, in a wider housing context, is that Bryant are viewed as a very well-run company. If they are cautious,others must be having worse difficulties," one analyst said.
- 1 If you're not already angry about the refugee crisis, here's a history lesson to remind you why you really should be
- 2 Moscow voted the world's unfriendliest city
- 3 Idris Elba is ‘too street’ to play 007, says James Bond author
- 4 Pansexual: What is it - and when did the term gain popularity?
- 5 I'm pansexual – here are the five biggest misconceptions about my sexuality
Bono's group has made more money from Facebook investment than from all his music
Miley Cyrus calls out hypocrisy of women’s nipples being taboo
Auschwitz museum defends mist showers installed during heat wave after visitor complains they are reminiscent of gas chambers
More than 11,000 Icelanders offer to house Syrian refugees to help European crisis
Nazi 'gold train': Fire engulfs suspected location of vehicle in Poland
Climate change: 2015 will be the hottest year on record 'by a mile', experts say
Jeremy Corbyn calls Osama bin Laden's killing a 'tragedy' - but was it taken out of context?
Tony Blair attacks Jeremy Corbyn's 'Alice In Wonderland' politics
Theresa May says migrants should be banned from entering the UK unless they have jobs lined up
Iain Duncan Smith 'should resign over disability benefit death figures', says Jeremy Corbyn
UN investigating British Government over human rights abuses caused by IDS welfare reforms
iJobs Money & Business
£20000 - £25000 per annum: Recruitment Genius: We are a vibrant and establishe...
£15000 - £20000 per annum: Recruitment Genius: An experienced Repayments Advis...
£25000 - £30000 per annum: Recruitment Genius: This leading provider of financ...
£20000 - £25000 per annum + competitive: SThree: Are you looking to take your ...