Landlord completes 434 homes, up from 329 year-on-year
Onward Homes has increased its surplus 14.6% despite rising repair costs.
The 35,000-home landlord in its annual financial statement reported a surplus of £13.3m for the year to 31 March, up from £11.6m the year before. It’s turnover also rose from £190.4m to £198.3m.
The provider, which operates across the north-west of England, said: “While underlying trading is strong, this has been a challenging year for the group most notably due pressures across disrepair, voids and repairs.”
The group’s total spend on routine, planned and major repairs totalled £71.6m, up from £67m in 2023/24. This contributed to its expenditure on social lettings rising from £144.5m to £150.3m.
However this was more than offset by a rise of nearly £10m in social housing lettings income.
Onward’s missed its target for operating margin, posting a margin of 11.1% against a 12.1% target.
It said: “Although our operating margin has declined slightly over the past two years mainly driven by increasing inflation particularly in relation to external contractor costs, increased demand for responsive repairs and higher disrepair costs, we are continuing to invest in our homes and our people.”
>>See also: ‘Enabling people to be their best in a home they love’: Talking growth with Bronwen Rapley
The group also saw “up-front and one-off” cost increases relating to its Evolution Programme, through which it is putting in place a new housing management system, including a focus on “first-time fix” maintenance and investing in technology.
Onward completed 434 homes in the year, up from 329 the previous year. Its total completions were equivalent to 1.4% of its housing stock, which meant it exceeded its target of 1.2%.
The figure was below its peer group average of 1.8%, but Onward said this was because it has “consciously balanced” its development programme against its investment in existing homes and retrofit spend.
The group spent £87.7m in total on repairs and improvements to existing homes and £36.1m on upgrades.
More 2024/25 housing association financial statements
Peabody surplus drops 18% as maintenance spend rises Full accounts published for 109,000-home landlord
MTVH targets 1,200 completions this year G15 landlord exceeds operating margin target as sales increase
Surplus falls at Orbit as inflation and maintenance pressures push up costs 47,000-home landlord margin reduces as it steps up investment in improvements to existing stock
Riverside moves back into surplus after two years of deficit Liverpool-based landlord increases operating margin after sale of loss-making care business Baycroft
Southern moves back into surplus but margins squeezed G15 landlord targeting £14m of efficiencies this year
Rising spend on existing homes puts pressure on Platform interest cover Turnover and surpluis rose last year at the provider
LiveWest boosts completions but misses affordable homes target Open market and shared ownership sales lower than targeted
Stock sales help boost turnover and surplus at SNG Landlord completes grading of all stock to identify homes for regeneration, retrofit or disposal
Home Group reports increased turnover and surplus Housing association delivers more than 1,400 new homes in the year
Anchor increases surplus amid regulatory troubles Turnover also up after year of consumer and governance regulatory downgrades
Stonewater reports ‘strong’ financial results on back of £35m rise in rental income But landlord’s surplus falls to £12m
Midland Heart sees surplus soar £25m The Birmingham-based landlord said the increase was a one-off from divestments of its retirement homes
Turnover up but surplus down at Moat Provider also increases new home completions
Paradigm’s annual completions down 21% but still on track to meet targets Buckinghamshire-based housing association says new build “central part” of mission as it increases surplus and turnover
Vivid builds more than 1,500 homes for the second successive year Hampshire landlord increases surplus and turnover
Shared ownership income drops at Bromford Flagship Newly merged 80,000-home landlord confirms turnover and surplus increase in audited figures
Record turnover at Clarion but surplus drops and completion targets missed Housing association will seek to recover costs from third parties as remediation provisions and contractor failure blunt surpluses
Sanctuary meets development target but sales drop 125,000-home housing association says a number of investors are interested in buying its student housing portfolio
Karbon boosts development but falls short of target 32,000-home association bidding to register a for-profit provider called Graphite Living to attract funding
BPHA returns to surplus Shared ownership sales dip and operating costs rise for Bedford-based landlord
No comments yet