Last checked at 8 Apr 2016 09:24
8 April 2016
TRAFALGAR NEW HOMES PLC
('Trafalgar' or the 'Company' or the 'Group')
Year End Trading Update
Company to report a return to profit for the full year
Trafalgar New Homes plc (AIM: TRAF), the residential property developer operating in southeast England, today provides an update on its trading for the year ended 31 March 2016 ahead of its final results, which are expected to be announced in July 2016.
The Group is pleased to report that trading in the second half has been good, with the completion of property sales at both its Ticehurst and Borough Green projects. The Company is in line to meet its full year market expectations, with revenue expected to be in the region of £2.2 million and the Group to return to profit.
Trafalgar now anticipates a period of growth for the business, looking to complete developments with a currently expected total gross development value of £7.8 million, over a two-year period on sites which it owns.
Commenting, CEO, Chris Johnson, said:
'The Company is delighted by the completion of the two projects at Ticehurst and Borough Green which means that market expectations for the full year will be met and Trafalgar will return to profit. We are confident that the difficulties we experienced in the first half of the year are now firmly behind us and that there are no further legacy issues.
We now look forward to entering into a period of growth and we anticipate FY17 being a strong year. There is a robust development pipeline which has a total gross development value of £7.8 million. We believe that local residential demand will remain strong, despite the new stamp duty levies now in place, and that there remains significant scope for us to exploit the buoyant house building market in the southeast. The outlook for the Company is exciting and we look forward to providing a further update at our full year results."
Enquiries:
Trafalgar New Homes plc +44 (0)1732 700000Christopher Johnson
Allenby Capital Ltd - Nominated Adviser and Broker +44 (0)20 3328 5656
Jeremy Porter/James Reeve
Yellow Jersey PR Limited +44 (0)7825 916 715
Dominic Barretto/Alistair de Kare-Silver
Notes to Editors:
Trafalgar New Homes is the holding company of Combe Bank Homes, a successful residential property developer operating in the southeast of England. The founders of Combe Bank homes have a long track record of developing new and refurbished homes, principally in Kent.
The Company's focus is on the select situation of land for residential property development. The Company outsources all development activities, for example the obtaining of planning permission, design and construction and uses fixed price build contracts. This enables the Company to tightly control its development and overhead costs.
The Company focuses on the regions of Kent, Surrey, Sussex and the M25 ring south of London and targets development sites of up to 20 homes, with sales prices typically ranging from £250,000 to £1,500,000 per unit.