Issuing its full-year results for the year ending April 30 2021, the housebuilder, operating in the capital, Birmingham and the southeast, reported revenue of £2,202.2 million, a 14.7% rise on 2020, mainly from homes sold in London and the southeast.
Its pre-tax profit lifted 2.9% to £518.1 million. And it sold slightly more homes - 2,825 compared to last year’s 2,723. Their average selling price rose from £677,000 to £770,000.
Berkeley delivered a resilient sales performance throughout the period, with areas outside London seeing good demand supported by the stamp duty holiday.
However, as stated in its March trading update, Berkeley said the value of its private sales reservations was 20% down on 2020. It previously announced that it would delay certain sales launches until Covid restrictions were lifted.
A statement from the firm read: “Enquiry levels in London are now ahead of pre-pandemic levels, signalling the return of confidence to the London market as we emerge from the restrictions of the last 15 months."
Berkeley acknowledged the debates around cities following Covid-19. But it said it was confident of London’s resurgence and the continuing need for homes in the capital.
The business said: “Berkeley remains committed to London. We firmly believe that [Covid-19’s impact] does not represent a permanent structural shift that has the capacity to reverse urbanisation or detract from the attraction of a global city such as London, with all that it has to offer in terms of culture, entertainment, education, recreation and business.”
During its financial year, the business acquired ten new sites, representing more than 6,650 homes. It achieved four major new planning consents on long term regeneration schemes and moved six sites into production.
Berkeley ended its year with net cash of £1.1 billion and cash due on forward sales of £1.7 billion.
Rob Perrins, Berkeley’s CEO, said: “Today’s strong results reflect the consistent and focused application of Berkeley’s uniquely long-term business model, the quality of the homes and places we create and our proficiency in adapting to the challenges of the pandemic, sustaining production throughout.”
