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Barratt sees annual results modestly ahead of prior view

Published 09/05/2019, 07:51
© Reuters. A company logo is seen on the side of a house at a Barratt Homes housing development near Preston
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(Reuters) - Britain's biggest housebuilder Barratt Developments (LON:BDEV) Plc said on Thursday it expected results for the current financial year to be modestly above previous expectations, suggesting it was riding out Brexit-generated tensions in the housing market.

Barratt, which was founded in 1958 and operates through its Barratt Homes, David Wilson Homes and Barratt London brands, also reported a rise in forward sales for the year so far.

"The housing market fundamentals remain attractive, with a long term under-supply of new homes, strong government support for the sector and a positive lending environment," the company said in a statement.

Barratt still expects to approve the purchase of 18,000-22,000 plots in each of the next three years to help support future volume growth, it said in a trading update for the period from Jan. 1 to May 5.

The firm said total forward sales had risen 2.4 percent to 3.37 billion pounds by May 5, equating to 526 more units than the year-ago period.

© Reuters. A company logo is seen on the side of a house at a Barratt Homes housing development near Preston

Barratt, like several British companies, has been preparing for Britain's impending exit from the European Union by liaising with suppliers and boosting inventory, and said it was well positioned to handle any disruptions.

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