Countryside Properties posts rise in FY profit, revenue

(ShareCast News) - Countryside Properties reported a rise in full-year pre-tax profit and revenue as it said 2016 was "another positive year" for the housebuilding sector.In the 12 months to the end of September, pre-tax profit jumped to £78.6m from £28m the year before as revenue grew to £671.3m from £547.5m.Adjusted operating profit rose 34% to £122.5m, with adjusted revenue up 26% to £777m and completions 12% higher than last year at 2,657. Meanwhile, the private average selling price was up 21% to £465,000.The company said strong customer demand was underpinned by a structural shortage in housing, supportive government policy and favourable lending conditions.Demand for all tenures of housing, particularly in London and the South East, continues to be strong, with the Help-to-Buy and planning policy reform both stimulating demand for homes.Chief executive Ian Sutcliffe said: "We have made tremendous progress in 2016, delivering solid growth, a strengthened balance sheet and marking our return to the London Stock Exchange. We enter the 2017 financial year in a strong position with an industry leading land bank and record private forward order book."Our strategy remains to deliver growth, increasing returns and capital efficiency from our balanced business models of Housebuilding and Partnerships. We see significant growth opportunities in Partnerships with increased estate regeneration in London and our geographic expansion into the West Midlands, while our increased scale and operational efficiency in Housebuilding will continue to improve returns."The company said current trading remains robust, with sales rates and values above year-end numbers, adding that the markets in which it operates have recovered following the EU referendum.Countryside recommended its first dividend per share of 3.4p, which will be paid in February, subject to approval at the annual general meeting in January.