Trading Update

RNS Number : 2942F

Inland Homes PLC

19 February 2015

 



19 February 2015

Inland Homes PLC

("Inland Homes" or the "Group")

Trading Update

Inland Homes, the specialist housebuilder and brownfield land developer, today provides the following update on trading ahead of its Half Year Results announcement for the period ended 31 December 2014. 
 

Highlights:

·     199 residential units under completion (2013: 47) - an increase of 323% year on year

·     Planning consent (or resolution to grant planning consent) received on 568 residential plots in the current financial year

·     Cash balances of £9.8m at 31 December 2014 (2013: £8.9m)

The Group has achieved a very strong performance for the six months to 31 December 2014, with 199 (2013: 47) residential units being completed (including units being managed on behalf of Drayton Garden Village Limited ("DGVL")), representing an increase of 323% over the previous year. 30% of these sales were assisted by the Government's Help to Buy scheme. The average selling price of these units was £239,000 (2013: £271,000).

Although there were no land sales during the first half of the current financial year we are expecting to dispose of a number of sites in the second half. DGVL's sale of 205 plots at Drayton Garden Village to an institutional operator in the private rented sector is expected to conclude in the current financial year with the purchaser forward funding the entire development. The purchaser is looking for scale and is evaluating some of Inland Homes' other sites suitable for this purpose.

Land bank

The Group has received planning consent or resolution to grant planning consent on 568 residential plots in the current financial year and planning applications for a further 557 residential plots are awaiting a decision. As previously announced, the Group has also made representations on seven strategic sites for the delivery of up to 1,500 residential units. We currently have pre-planning application submissions on 11 sites for approximately 1,700 residential units. At Wilton Park, Beaconsfield, planning permission has been obtained to construct an access road and we expect the adoption of the development brief by South Bucks District Council in the current financial year.

The land bank is currently in excess of 4,000 plots including sites owned or contracted, under option, controlled or where terms have been agreed with a number of further new opportunities in hand.

Cash and funding

The Group had cash balances of £9.8m at 31 December 2014 (2013: £8.9m) and net borrowings of £24.8m (2013: £14.7m) including zero dividend preference shares of £12.0m (2013: £10.0m). The joint venture agreement with Christian Candy's CPC Group Limited provides further funding power for Inland Homes to exploit some of the new land opportunities.

Stephen Wicks, Inland Homes' Chief Executive commented:

"Inland Homes has delivered significant growth during the first half of the current financial year with record sales in both unit and revenue terms. The size of the business has expanded and is set to grow further with the new funding sources. We are well placed to deliver strong growth during the remainder of this financial year."

Enquiries:
www.inlandplc.com AIM: Ticker: INL
Inland Homes plc	finnCap	Blytheweigh
Stephen Wicks, Chief Executive	Nominated Adviser & Broker	IR & Media Relations
Nishith Malde, Finance Director Paul Brett, Land Director	Corporate Finance: Matthew Robinson or Simon Hicks	Tim Blythe: 07816 924626 Alex Shilov: 07989 394027 or
Tel: [phone]	Corporate Broking: Rhys Williams	Tel: [phone]
	Tel: [phone]

 

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