Bellway increases completions 14%

Bellway has increased its annual completions by 14%, according to an unaudited trading update this morning.

The housebuilder said it completed 8,749 homes in the year to 31 July, up from 7,654 in the same period last year and slightly ahead of guidance.

Its housing turnover rose by 17% to £2.8bn and its underlying operating margin is expected to be around 11% in line with previous guidance. Analysts Peel Hunt said this implies operating profit of around £300m in line with consensus forecasts.

Jason Honeyman, chief executive of Bellway, said “good growth in volume output and an improvement in underlying margin” are set to drive a strong increase in profit for the year.

The housebuilder also said the industry should benefit in the years ahead from the government’s planning reforms. However it said it continues “to experience delays to planning decisions as local authorities are taking time to adopt new local plans and the updated National Planning Policy Framework”.

It said: “To complement these supply-side measures and to meet its ambitious housing targets, the government also needs to address the demand-side constraints facing first-time buyers.”

The group boosted its private reservation rate per outlet per week by 11.8% year-on-year and increased its order book from 5,144 to 5,307 homes.

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Honeyman said: “We have entered the new financial year with a healthy forward order book and outlet opening programme and, if market conditions remain stable, we are well-positioned to deliver further growth in FY 2026.”

Peel Hunt said Bellway’s volumes and prices were both marginally ahead of our forecasts but operating profit is expected to be in line with its estimate.

Bellway will publish its full, audited, accounts on 14 October.