Deal to buy regional housebuilder earlier this year bears fruit
Countryside Properties, which bought Leicestershire-based housebuilder Westleigh earlier this year, completed nearly a third more homes in the three months to the end of June, the firm said today.
Countryside, which acquired Westleigh in April for 拢135m, said total completions between 1 April 2018 to 30 June 2018 stood at 1,060, up 27%.
The group said its partnerships division continued to grow, boosted by the Westleigh deal, with total completions up 46% to 823 homes, sales outlets increasing from 19 to 30, and a further 3,722 plots secured in the period.
Its housebuilding division put up 20 fewer homes 鈥� 237 鈥� during the third quarter.
The group achieved a private average selling price of 拢376,000, down an 鈥渆xpected鈥� 7%, while its underlying sales price rose 2%. Its private forward order book rose 16% to 拢409.0m, while net debt rose by 57% to 拢91.9m.
Countryside chief executive Ian Sutcliffe said the integration of Westleigh was 鈥渇irmly underway鈥� and the firm remained focused on mixed tenure sites.
Sutcliffe said the group was eyeing an operating margin in excess of 17%, a total growth target in completions across both its divisions of between 10% and 15% and a return on capital employed of more than 35% at group level.
Last year Countryside reported an annual adjusted operating margin of 16%, a 28% rise in completions and a 30.5% return on capital employed.
The group is expected to publish its full-year results for 2018 in November.
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