Crest Nicholson has announced a return to profit despite a challenging year, which saw it make redundancies and close one of its divisions.
For the year ending 31 October 2025, the housebuilder reported a pre-tax profit of £2.9million following a £145.8million loss in the previous year.
Despite the improvement, the developer’s operating profit came in below expectations at £26.5million, missing its £28million to £38million guidance.
Crest also saw its completions fall by close to 10% to 1,691 from 1,873 the previous year, and its turnover dipped from £618million to £611million.
During the period, the housebuilding confirmed the closure of its Chiltern division, while also merging its Yorkshire and Midlands divisions. As a result, around 50 roles were made redundant.
The decisions were made as part of Crest’s restructuring programme, ‘Project Elevate’, which was introduced after the housebuilder reported significant losses for the previous year after incurring increased building safety costs.
The trading update also outlined a shift in Crest’s strategy, with a focus on the ‘mid-premium market’, which it says provides a steadier market with “less price-sensitive buyers”. The update said that the housing segment has “consistently demonstrated greater resilience and stronger performance” compared to traditional, volume-led housebuilding.
Martyn Clark, CEO of Crest Nicholson, commented: “2025 has been a year of transition and transformation for Crest Nicholson. Despite the ongoing market challenges, we have made meaningful progress against each of the key strategic priorities set out at our Capital Markets Day, repositioning the Group to the mid-premium market segment. During the year, we took significant steps to implement our transformation plan, Project Elevate, which will support improved financial returns and underpin delivery of our medium-term ambitions.”
“While the housing market remains subdued, we are starting to see some early signs of improvement. Interest rates are easing and inflation has moderated, which should gradually support affordability and consumer confidence. With these fundamentals improving, and with our deliberate and differentiated strategy, Crest Nicholson is well positioned to deliver a year of profitable growth and make progress towards our medium-term targets.”
