But picture has been improving since end of period
Barratt Redrow has reported a drop in reservation rates and a fall in adjusted pre-tax profit in half-year results published today.
The interim figures, for the 26 weeks ended 28 December 2025, showed completions at the housebuilding giant had risen to 7,444, an increase of 4.7% on the 7,107 recorded in the comparable period the year prior.
Revenue was up 10.5% to £2.63bn, while statutory pre-tax profit also increased to £156.2m.
However, adjusted pre-tax profit figures showed a drop of 13.6% from £231m to £200m.
The overall net private reservation was also down slightly, 0.59 to 0.57, reflecting fewer private rental sector and other multi-unit reservations in the period.
The rate has been higher since the period ended at 0.59, but still slightly below its comparator period the previous year (0.60).
The comparator figures included for this set of results are aggregate numbers, reflecting the fact that the previous period came before the merger of Barratt and Redrow completed.
The company’s interim results also included an update on the firm’s legacy building safety work. Its building safety provision totalled £829m at the end of the period, having spent £73m.
Three buildings potentially requiring remedial works were added to the active portfolio, along with another six on existing active developments. Meanwhile, seven buildings were completed or assessed as needing no remediation, bringing the active portfolio to 280 - slightly up from the 278 recorded last June.
The group’s provision with respect to reinforced concrete frames remediation inched down to £187m, with provision spend of £4.4m mostly offset by imputed interest.
The portfolio of reinforced concrete frame buildings stayed stable at 165. Of these, 76 have been identified as not requiring remediation, 17 have had remediation works completed, 21 are currently under review, and 51 have had remediation issues identified and are at various stages in the remediation process.
The group said the full-year out-turn would depend on sales activity through the spring selling season. However, it estimated total completions between 17,200 and 17,800 for the year.
Full-year pre-tax profit is expected to be within current consensus estimate ranges, which anticipate between £558m and £617m.
No comments yet