Miller Homes shrugs off Brexit concerns with 11% profits increase
Edinburgh-based Miller Homes said it is seeing no signs of Brexit impacting on its customers as it reported an 11% increase in operating profits.
The housebuilder’s operating profit increased to £70.5 million in the six months to June 30, from £63.5m in the same period last year helped by growth in sales volumes and average selling prices.
The results also show a 12% increase in core and joint venture house completions to 1,493 homes compared to 1,336 homes in the first half of 2017.
Miller said it maintained its “rigorous approach to land selection”, whilst at the same time increasing investment in new land which led to a 10% increase in the owned landbank with all sites which benefit from an implementable planning permission being developed.
The group remains on track to deliver its strategic target of 4,000 homes by 2021, it added.
During the six month period, Miller appointed Scott Chamberlin as divisional managing director for strategic land, while Stewart Lynes, the divisional managing director of Scotland, was given extended responsibility for the North of England.
Chris Endsor, Miller’s chief executive, said: “I am delighted to report that Miller Homes has again achieved significant growth in the first half of 2018 with volumes up 12%. Our focus is on delivering on our strategic targets to increase our regional geographic penetration providing our customers with quality homes whilst improving margins and overall profitability.
“Our regional proposition continues to provide favourable trading conditions both in relation to the sales market and land buying opportunities. Whilst there are no signs that Brexit concerns are yet weighing on our customers’ minds, it would nonetheless be welcomed to receive clarity as March 2019 fast approaches.
“We continue to invest significantly in our landbank, our people and additionally in new initiatives, which will provide our customers with on line and mobile services, designed to enhance the home buying experience. With record forward sales numbers, we are well placed to deliver excellent full year results.”