Completions up 13% at Redrow

Feb. 8, 2017
<p>Redrow saw completions surge 13% year on year in the six months to the end of 2016 with the firm delivering 2,459 homes in the half year.</p> <p>Revenue was up 23% to £739 million and profit before tax up 35% to £140 million.</p> <p>Redrow chief executive John Tutte told <em>Housebuilder</em> that the firm had updated its medium term target and now aimed to reach annual turnover of £1.9 billion in 2019 which, on an average selling price of around £300,000, would see more than 6,000 homes delivered in the year. Redrow aims to reach an operating margin at that time of 19.5% with earnings per share of 77p.</p> <p>Tutte said that the biggest challenge facing Redrow in achieving its growth strategy remains skills, “particularly if we lose foreign labour, but we are able to find people at the moment. Some materials are more of a challenge,” said Tutte, citing internal doors as one area of concern and a potential hiatus later in the year for blocks when H+H shuts a plant for refurbishment.</p> <p>Tutte acknowledge that the recent Housing White Paper talked about many issues but was short on specific actions: “It was more a consultation than a prelude to …

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