Crest Nicholson has announced that it has returned to profit following significant losses the previous year as a result of fire safety remediation work.
In a trading update for the six months to 30 April 2025, Crest recorded pre-tax profits of 9.4million, a vast improvement on the £30.9million for the previous period. However, revenue was down slightly year-on-year from “257.5million to £249.5million, with a greater share of sales coming from affordable homes.
Last year saw the housebuilder set aside £132million for fire safety remediation work, but has managed to gain some of that back, recovering £11.8million during the period from its supply chain firms.
During the period, Crest’s home completions fell slightly to 739, down from 788 the previous year. The housebuilder’s average selling price also decreased over the six months, down from £349,000 to £342,000.
Crest has also seen the benefit of its new strategy of targeting the mid-premium market, which has been led by new CEO, Martyn Clark.
Recent structural changes in the company, including the merger of its Midlands and Yorkshire operations and the closing of the Regeneration and London divisions, have seen Crest reduce its administrative costs by 6% during the period.
Martyn Clark said: “We have launched a comprehensive transformation programme to drive the delivery of our new strategy repositioning Crest Nicholson firmly in the mid-premium segment.”
“There remains much to do, but I am pleased with the start we have made.”
“I remain confident that with our experienced management team and dedicated workforce, we are well positioned to benefit as the market improves and reshape the business for long-term success.”
Clark added: “The housing market continues to show signs of stabilisation with an incrementally easing planning system, improving affordability and strong support from lenders. Customer appetite for the mid-premium segment of the market, which is characterised by high-quality, well-designed homes in sought-after locations, and which is our focus segment, remains robust. This places Crest Nicholson in a strong position to navigate the market with confidence and clarity of purpose, as we progress towards the delivery of our FY29 targets and with it, attractive and sustained value creation.”
