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.
- 2 Friends 20th anniversary: Alison Jackson photographs reunited cast
- 3 There is literally not a single woman in this iPhone 6 queue
- 4 Hitler’s former food taster reveals the horrors of the Wolf’s Lair
- 5 Scottish independence: Tory revolt against 'devo max' grows as Rail Minister Claire Perry joins
Scottish independence referendum: Frankie Boyle reacts to nation's 'No' vote - 'To be fair, I've always hated Scotland'
Scottish independence live: Scotland gives a clear 'No' in historic referendum - as it happened
Iranian blogger found guilty of insulting Prophet Mohammad on Facebook sentenced to death
Scottish independence: Tory revolt against 'devo max' grows as Rail Minister Claire Perry joins
Hitler’s former food taster reveals the horrors of the Wolf’s Lair
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
Scottish independence referendum: A nation divided against itself
Scottish independence: David Cameron is becoming the 'George Bush of Britain'
Russia freezes Ukraine into submission: Kiev admits country doesn't have enough fuel for winter
Scottish independence: The Queen breaks silence on referendum debate – as think tank warns of £14bn black hole if Scotland votes Yes
Archbishop of Canterbury admits doubts about existence of God
iJobs Money & Business
£400 - £450 Per Day: Clearwater People Solutions Ltd: **URGENT CONTRACT ROLE**...
Up to £100k or £450p/d: Saxton Leigh: My client is a leading commodities tradi...
£320 - £330 per day: Ashdown Group: The Ashdown Group have been engaged by a l...
To £75,000 + Pension + Benefits + Bonus: Saxton Leigh: My client is looking f...