Housebuilder, Taylor Wimpey, has announced that it has seen a 5% increase in group completions to 16,042 including joint ventures (2018: 15,275) in 2019 as the firm revealed financial results for the year “in line with expectations”.
Revenue increased by 6.4% to £4,341.3 million (2018: £4,082.0 million) with operating profit of £850.5 million (2018: £880.2 million) - volume growth was offset by rising build costs and flat house prices, delivering an operating profit margin of 19.6% (2018: 21.6%). Profit before tax and exceptional items was £821.6 million (2018: £856.8 million).
The group reported an “industry-leading” sales rate of 0.96 (2018: 0.80), representing a record, and an increase of 20%.
Looking ahead the firms says it has made a positive start to 2020. “Coming into the spring selling season and, with a clearer political outlook, customer confidence has improved.”
The net private sales rate for the year to date (w/e 23 February 2020) was 0.97 (2019: 0.99).
Pete Redfern, Taylor Wimpey CEO, said: "The group delivered a good performance in 2019, with a record sales rate and home completions increasing by 5%. During the year, we continued to strengthen our business and build a sustainable advantage, improving our core customer proposition and business flexibility through investments in customer service, quality, build capacity and direct labour. These investments will strengthen the business for the long term.
“The new year has started well, with a good level of customer demand and a clearer political outlook."