Countryside profit falls as coronavirus-led disruptions to construction weigh

Archived article

Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.

Homebuilder Countryside reported a fall in profit as revenue fell in the first half of the year, owing to coronavirus-led disruptions to construction following the nationwide lockdown.

For the six months ended 31 March 2020, operating profit fell 32% to £42m as revenue slipped 5% to £481.2m on-year.

Lost completions and land sales in March impacted profit by about £29m and increased net debt by about £83m.

Private average selling price fell to £368k in the half from £377k a year earlier.

The forward order book was up 45% to £1,506m, providing 'significant' visibility, the company said.

'As we move into the second half of the year, we have cautiously restarted construction on around 80% of our sites albeit with significantly reduced build rates as we adjust to new ways of working,' Countryside said.

'Whilst the market outlook remains highly uncertain, our resilient mixed-tenure business model and strong forward order book benefit us both operationally and financially as we work alongside our partners to restart our operations as efficiently as possible,' it added.