Record results for Galliford Try

4th Jul 2013 07:22

Housebuilding and construction firm Galliford Try has delivered record profits in the year to June 30th, according to a pre-close trading update on Thursday. The company said that it expects to meet analysts' consensus forecast for adjusted profit before tax (PBT) of £73.9m.Meanwhile, net debt was "modest" at less than £20m, well below the £58m reported at the interim stage on December 31st.Galliford said that its housebuilding division in particular had performed strongly with a record landbank of 11,300 plots (up 8.0% year-on-year) and £313m year-end sales carried forward position (up 15%). These were helped by its focus on the southern regions as well as the government stimulus programme, 'Help to Buy'.Meanwhile, construction was doing well in difficult market conditions with the order book stable at £1.65bn and cash balances flat. While opportunities have increased, the firm said that pricing remains challenging."With modest net debt, a record landbank and year end carry forward position in housebuilding and a stable order book with good visibility of work in construction, we start the year in an encouraging position," said Chief Executive Greg Fitzgerald.Analysts at Jefferies hailed the statement on Thursday morning, upgrading their full-year PBT estimate by 2.8% from £72m to £74m.They also kept their 'buy' rating for the stock, saying that Galliford has "finished 2013 on a high and 2014 has started well".