Property companies battle housing gloom
Thursday 04 August 2011
Property companies Taylor Wimpey and Rightmove both reported positive financial results yesterday, but warned of continuing sluggishness in the housing market.
Taylor Wimpey, the UK's second-largest house builder, reported a 31 per cent jump in first-half pre-tax profits. Although revenues fell by 28 per cent to £818m following the sale of the group's US and Canadian business, pre-tax profits soared to £28.9m, from a loss of £2.3m in the sameperiod of last year.
After a first half described by Taylor Wimpey chief executive Pete Redfern as "transformational", the housebuilder's operating margin is running at 9.3 per cent, and is expected to hit double digits in 2012.
The group built 4,707 homes in the first six months of the year, slightly less than in 2010, and average sale prices remained flat at £168,000.
"Although there is ongoing uncertainty in the wider economic environment, conditions in the UK housing market remain stable," Mr Redfern said. "We expect this stability to continue for the remainder of 2011."
Separately, Rightmove, the property website, reported pre-tax profits up by 17 per cent to £28.7m as its estate agent clients continued to spend on internet listings despite the sticky market.
- 1 East 17 bandmember Brian Harvey in 'very desperate situation’
- 2 Is this bridge haunted by the ghost of nu rave?
- 3 Woman filmed launching racist tirade against men on the Tube for speaking in 'own lingo'
- 4 The West has it totally wrong on Lee Kuan Yew
- 5 Scientists have discovered a simple way to cook rice that dramatically cuts the calories
East 17 bandmember Brian Harvey in 'very desperate situation’
Vladimir Putin says Russia will fight for the right of Palestinians to their own state
Is this bridge haunted by the ghost of nu rave?
Woman filmed launching racist tirade against men on the Tube for speaking in 'own lingo'
Saudi Arabia says it won't rule out building nuclear weapons
Ukip supporters are 55 or older, white and socially conservative, finds British Social Attitudes Report
JK Rowling responds to fan tweeting she 'can't see' Dumbledore being gay
Jeremy Clarkson sacked live: Alan Yentob 'wouldn't rule out' ex Top Gear host's BBC return
David Cameron calls Labour 'hopeless, sneering socialists' while announcing 7-day NHS plans
The West has it totally wrong on Lee Kuan Yew
Revealed: Putin's army of pro-Kremlin bloggers
iJobs Money & Business
Negotiable: Recruitment Genius: To provide a prompt, friendly and efficient se...
Negotiable: Recruitment Genius: You will be the first point of contact for all...
£18000 - £24000 per annum + benefits: Ashdown Group: HR, Payroll & Benefits Of...
£35000 - £38000 per annum + benefits : Ashdown Group: A highly successful, int...