observation7 Feb 2018 09:21
Midcap housebuilder Redrow was the best performer in the FTSE 25, up 4.3% after it reported both revenue and profit rose in the six months to the end of December, and accordingly hiked its interim dividend.
Revenue rose 20% to GBP890 million, while pretax profit rose 26% to GBP176 million. The company raised its interim dividend to 9 pence, from 6p last year.
The number of completions in the period rose 14% to 2,811, with an order book totalling GBP1.05 billion.
"Given the strength of both our order book and land holdings, together with the robust sales market, our growth strategy remains on track. This gives me every confidence it will be another year of significant progress for Redrow," said Chairman Steve Morgan.
Large-cap housebuilders were benefiting from a positive read-across, with Barratt Developments up 1.2% and Taylor Wimpey up 1.1%. Midcap peers Galliford Try and Bovis Homes were up 2.0% and 1.7%, respectively.