Housebuilder Telford Homes (LON:TEF) is on track to report record revenues and profits for the year to March, following a strong performance in the second half of 2017.
In a trading update released on Wednesday, the company reported that it was also on track to exceed £40 million of profit before tax in the year to 31 March 2018, and £50 million in the year to 31 March 2019. All figures were ahead of market expectations, causing shares to rise in early trading.
Telford Homes confirmed that total forward sales remained at a strong level, and that it would starts the year with a considerable forward order book of around £550 million. This is only slightly lower than 2016’s figure of £579 million.
Telford Homes has a substantial development pipeline, exceeding £1.3 billion of future revenue representing more than four times anticipated revenue for the year to 31 March 2017.
Jon Di-Stefano, Chief Executive of Telford Homes, commented:
“I am delighted that after a strong performance in the second half of the year, the Group expects to report record revenues and profit before tax for the year to 31 March 2017. Telford Homes is extremely well positioned to achieve further significant growth, building homes for a chronically undersupplied non-prime London market and increasing its activity in the build to rent sector which earns higher capital returns.
“As a result we are on track to deliver on our stated ambitions to exceed £40 million of profit before tax in the year to 31 March 2018 and £50 million in the year to 31 March 2019.”
Shares in Telford Homes (LON:TEF) are currently up 2.67 percent at 369.37 (0903GMT).