Housing surge boosts construction firm's profits
An increase in house building helped a construction company post soaring profits for the first half of the year.
Galliford Try announced in a half year report for the six months to 31 December 2011, that it had experienced a 59 per cent increase in total house building completions to a record 1,352 units compared with the same period of 2010 and a 34 per cent increase in total sales reserved, contracted and completed to £605 million.
Its overall house building operating profit margin rose to 11 per cent from 6.5 per cent at the same time last year.
The news has led the company as a whole to reveal profit before tax has gone from £17 million last year to £32 million this year, while group revenue stands at £747 million this year as opposed to £576 million last year.
Greg Fitzgerald, chief executive, said: ‘The group is confident that it is on track to deliver all the objectives of its three year house building expansion plan during the current financial year with our southern biased business performing strongly despite the general economic uncertainty.
‘The housing market has remained resilient and we are encouraged by the continued strength of the market during the first seven weeks of 2012.’