(Reuters) -British homebuilder Redrow (LON:RDW) said on Friday it expected annual profit and revenue to be at the lower end of its forecast range, hurt by a subdued autumn housing market.
The latest warning from a UK housebuilder on challenging conditions in the housing market comes as elevated mortgage costs and broader economic worries drive homebuyers away.
Earlier this week, Redrow's bigger peers Taylor Wimpey (LON:TW) and Persimmon (LON:PSN) flagged uncertainty in the coming months.
The business has had to adapt to a "more difficult trading environment" in terms of build rate and operating costs, Redrow Chairman Richard Akers said.
The Wales-based company, which constructs mostly bigger houses than rivals and sells them to second or third-time movers, said the value of net private reservations during the first 18 weeks of its fiscal year, ended Nov. 3, was down 25% at 384 million pounds ($469.1 million).
In a sign of market weakness, Redrow said average selling price of private reservations during the 18-week period dropped 2.5% to 471,000 pounds.
In September, the company had forecast fiscal year 2024 profit before tax of between 180 million pounds and 200 million pounds and revenue of between 1.65 billion pounds and 1.7 billion pounds.
($1 = 0.8185 pounds)