Telford Homes trebles profit as demand soars

London-focused residential property developer Telford Homes said pre-tax profit increased three-fold and it expects another substantial increase in profit in the financial year ahead.

London-focused residential property developer Telford Homes said pre-tax profit increased three-fold and it expects another substantial increase in profit in the financial year ahead.

Pre-tax profit rose to £9.0m for the year ended March 31 2013 from £3.0m the same period a year earlier. Revenue climbed to £142.4m from £124.4m before.

Operating profit increased to £10.6m from £4.8m before. Basic earnings per share jumped to 14.3p from 4.7p. Operating margin before interest rose to 9.7% from 6.2% in 2012.

Telford said it experienced exceptional demand with contracts exchanged for the sale of 803 open market properties in the year, a 75% on 2012.

Chief Executive Jon Di-Stefano said Telford experienced exceptional levels of demand in recent months and has already sold 99% of the open market properties for completion in the year to March 31st 2014 and more than 50% for each of the following two years.

"The business is in an excellent position with increasing margins, a significant development pipeline, enhanced financial strength and an unprecedented level of pre-sales all underpinning the Board's expectations of substantial profit growth in the next three years."

The total dividend has been boosted to 4.8p from 3.0p in 2012.

Shares of Telford rose 1.50p to 270p at 08:30 in London.

CJ

Recommended

Bunzl: boring is good for business
Share tips

Bunzl: boring is good for business

Food-service distribution company Bunzl is not a terribly exciting business, but it looks cheap and could be a great investment, says Rupert Hargreave…
30 Jun 2022
Five dividend stocks to beat inflation
Share tips

Five dividend stocks to beat inflation

During periods of high inflation, dividend stocks tend to do better than the wider market. Here, Rupert Hargreaves pick five dividend stocks for incom…
30 Jun 2022
Three Sharia-compliant growth companies
Share tips

Three Sharia-compliant growth companies

Professional investor Scott Klimo of the Saturna Al-Kawthar Global Focused Equity ETF tips three Sharia-compliant stocks.
30 Jun 2022
Why the cost of living crisis could be a boon for this cheap retailer
Retail stocks

Why the cost of living crisis could be a boon for this cheap retailer

Like many retailers, B&M is facing the dual headwinds of lower sales and higher costs as inflation bites. But its business model has proved hugely suc…
29 Jun 2022

Most Popular

Prepare your portfolio for recession
Investment strategy

Prepare your portfolio for recession

A recession is looking increasingly likely. Add in a bear market and soaring inflation, and things are going to get very complicated for investors, sa…
27 Jun 2022
Market crash: have we hit bottom or is there worse to come?
Stockmarkets

Market crash: have we hit bottom or is there worse to come?

For a little while, markets looked like they were about to embark on a full-on crash. And that could still happen, says Dominic Frisby. Today, he look…
27 Jun 2022
What the end of the 1970s bear market can teach today’s investors
Stockmarkets

What the end of the 1970s bear market can teach today’s investors

The 1970s saw the worst bear market Britain has ever seen, with stocks tumbling 70%. Things have changed a lot since then, says Max King. But there ar…
28 Jun 2022