Crest Nicholson on track for record revenues

Following a blip either side of the EU Referendum, the housebuilder said it expected revenues for the year to be approximately £1 billion, in line with its stated target.

“I am pleased to report that we are increasing the number of homes built, opening new sites and ensuring that the pipeline of land that fuels our business is progressing steadily through planning,” said Stephen Stone, chief executive of Crest Nicholson. I am delighted with Patrick’s appointment as Chief Operating Officer.

“Patrick and I have worked together successfully for ten years. We have delivered on the challenging targets set for Crest Nicholson and its employees since our IPO in 2013 and will continue to work closely together as we target 4,000 homes and revenues of £1.4 billion for 2019. There has never been a better time for housebuilding and Crest Nicholson remains well positioned to grow volumes and deliver the homes that the UK needs.”

During June and July sales volumes temporarily reduced alongside an increase in the level of cancellations, the housebuilder said in a trading statement, as uncertainties raised during the referendum and following the vote to leave had an impact on purchaser confidence.

However, by the beginning of August purchaser confidence had largely recovered and sales rates across the last quarter of the year were on a par with year ago levels. in spite of the mix being oriented towards higher ASP product.

The average number of sales outlets across the year was 47, an increase of 7% over the 44 achieved in 2015.

Attractive housing market conditions continue to underpin sales rates and revenue growth. The trading statement said that purchasers are largely returning to the market, as high employment, good mortgage access and low interest rates continue to make this a very good time to buy a home.

Sales price and build cost inflation have both moderated in the latter part of the year, which will help to maintain affordability and support a stable housing market.

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