Interim Management Statement

RNS Number : 4069W

Galliford Try PLC

07 November 2014

 



GALLIFORD TRY PLC

INTERIM MANAGEMENT STATEMENT AND ANNUAL GENERAL MEETING

FRIDAY 7 NOVEMBER 2014

Galliford Try plc, the housebuilding and construction group, is holding its Annual General Meeting today, Friday 7 November, and is issuing its Interim Management Statement for the period from 1 July 2014 to 6 November 2014.

Housebuilding

·      Following on from the seasonally quieter summer period the sales rate has improved during the autumn, although not at the same rate as experienced last year, providing a good in hand position of sales, reserved, contracted or completed of £509 million (2013: £560 million).  £433 million (52%) is for the current financial year to 30 June 2015 (2013: £469 million (60%)).  As expected at this stage all units required to meet our half year targets have been sold.

·      Linden Homes continues to focus on margin and to achieve prices ahead of our forecasts.

·      Strong progress in Galliford Try Partnerships with the order book at £620 million following excellent project wins, including Silvertown Reach (GDV £365 million).

·      Record landbank of 14,050 units achieved ahead of plan, with land opportunities remaining very good across all regions.  94% of land secured for the financial year to 30 June 2016.

Construction

·      Transformed order book of £3.1 billion (2013: £1.75 billion) and we continue to experience an improving pipeline of opportunities.

·      Integration of Miller Construction proceeding on plan with restructuring costs likely to be lower than our initial estimates whilst still in line to deliver the planned savings.  Enlarged Building business geographically reorganised and benefiting from strengthened management team and national coverage.

·      Continuing focus on risk management and margin protection. 

·      The enlarged business continues to generate exceptional levels of cash.

·      94% of projected revenues for the financial year to 30 June 2015 secured with 56% for the year to 30 June 2016 (2013: 93% and 55% respectively).

Group

·      Balance sheet is strong, with net debt lower than budget.

·      We continue to pro-actively manage the tight supply chain conditions in both divisions with early signs of material availability starting to improve.

·      Terry Miller appointed Chair of the Nomination Committee.

Greg Fitzgerald, Executive Chairman, commented:

"Steadily improving confidence in the economy supports the planned disciplined growth in both our Housebuilding and Construction divisions.  Housing market growth rates have steadied to a more sustainable level and, supported by improved mortgage availability, Linden Homes is on target to meet our expectations.  Our Partnerships business continues to enjoy exceptional growth opportunities in the affordable market.  Construction, bolstered by the acquisition of Miller Construction in July, is benefiting from an improving market and the stronger presence created by the combination.  I am delighted both with the efficient integration process and by the strong contribution already evident from the incoming team.  The Group is encouraged by the prospects of delivering further growth in line with our strategy."

Conference Call

A conference call for Analysts and Investors will be held at 07:45 am (UK time).

Participant telephone number:     [phone]

Participant passcode:                             4934 3313#

For further enquiries please contact:

Galliford Try -                             Greg Fitzgerald, Executive Chairman                   01895 855001

                                                Graham Prothero, Finance Director                     

Tulchan Communications -          Christian Cowley / James Macey White               020 7353 4200

Galliford Try's Annual General Meeting will be held today, Friday 7 November 2014, at the RBS Conference Centre, 250 Bishopsgate, EC2M 4AA.  The meeting will commence at 11.00 am.

 

END

 

 

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