The housebuilder said its sales rate for 2018 to date had remained robust at 0.81 sales per outlet per week, the same rate during the equivalent period last year, with all three of its divisions experiencing “good levels of customer demand”.
During 2018 to date, the business has operated from an average of 275 outlets (2017 equivalent period: 290) with the company beginning to increase the number of build teams on certain larger sites as it concentrates on “increased efficiency”. It said that current outlets at 261 (2017: 285), were slightly lower than expected, due to delays affecting the timing of outlet openings.
Taylor Wimpey’s current total order book is 12% above the equivalent period last year at 9,783 homes, standing at around £2.4 billion, up 9%.
The business added that it was on track to deliver its full year 2018 results in line with expectations. However, it said that looking ahead, “whilst current forward indicators for sales continue to be solid, unsurprisingly due to the heightened political and economic uncertainty, we have seen some signs of customer caution, particularly in the south east. We expect next year’s volume to be broadly flat in current market conditions.”
But it added that as it moves to its new strategy, “there is the potential for significant growth from 2020 onwards, as previously indicated”.
Pete Redfern, Taylor Wimpey’s ceo, said: “We have delivered a strong performance during the second half of 2018, with very good sales rates supported by positive customer demand and a supportive lending environment.
Looking ahead to 2019, we remain mindful of wider political and economic risks and the potential impact on customer confidence. However, with a strong balance sheet in place and a high quality landbank, our business is well positioned to deliver further sustainable growth and cash flow over the medium term.”
