Taylor Wimpey to lift H2 profit 80%

Housebuilder Taylor Wimpey said trading conditions have remained robust since its interim update in November 2011 and it expects to post an 80% increase in operating profit for the second half of 2011.

While momentum continues Taylor Wimpey has also benefited from restructuring and cost cutting including the disposal of its North American business. It also underwent a senior management reshuffle and a second refinancing last year.

Commenting on the improvement in margins the group said, "We anticipate achieving our target of double-digit operating margins in the UK in the second half of 2011, ahead of schedule, with a full year margin ahead of that reported both in the first half of 2011 and in the 2010 full year."

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Home completions increased by 2% to 10,180 from 9,962 in 2010, of which 20% were affordable housing completions.

Its average selling prices on private sales rose marginally to £185,000 from £184,000, against what is said was "a backdrop of broadly stable house prices in the wider market."

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