Berkeley Group Holdings has announced an extension to its guidance by an additional year, following a rise in pretax profit for the first half of the year. Despite selling fewer houses, the UK-based house builder reported higher average prices. The company now expects to deliver a pretax profit of at least £1.5 billion ($1.89 billion) over the three years ending April 30, 2026, compared to previous guidance of £1.05 billion for the two years ending April 2025.
Commitment to Shareholders
Berkeley Group Holdings has also reaffirmed its commitment to distributing £283 million, or £2.67 per share, to shareholders by September 30, 2024.
Strong Financial Performance
Pretax profit for the half year ended October 31 increased to £298.0 million from £284.8 million in the same period the previous year. Although revenue slightly decreased from £1.20 billion to £1.19 billion, the net asset value per share rose to £32.19 compared to £31.01 on April 30.
Change in Property Sales
During the period, Berkeley delivered 1,785 new homes at an average price of £624,000. This is a decrease from the previous year, where 2,080 homes were sold at an average price of £560,000. The change in figures reflects the mix of properties sold during this period.
Forward Sales
Berkeley reported forward sales of £1.96 billion, lower than the £2.14 billion reported at the end of fiscal 2023.
