Bellway (BWY)

Sector:

Household Goods

Index:

FTSE 250

2,094.00p
   
  • Change Today:
      17.00p
  • 52 Week High: 4,310.00
  • 52 Week Low: 1,879.00
  • Currency: UK Pounds
  • Shares Issued: 123.34m
  • Volume: 239,102
  • Market Cap: £2,582.70m
  • RiskGrade: 347

Bellway profit seen in line with market views but operating margin set to moderate

By Michele Maatouk

Date: Thursday 08 Aug 2019

LONDON (ShareCast) - (Sharecast News) - Bellway said on Thursday that full-year pre-tax profit is expected to be in line with current market expectations as it built a record number of new homes, but the housebuilder cautioned that the operating margin was set to moderate further.
In an update ahead of its preliminary results in October, the company said completions rose 5.7% to a record 10,892, while housing revenue is expected to increase by more than 8% to almost £3.2bn.

Meanwhile, the average selling price ticked up 2.5% to £292,000.

The balance sheet was "strong", Bellway said, with net cash of £201m versus £99m in 2018. In addition, the forward order book, which rose to 4,878 homes from 4,841 last year, provides "a solid platform from which to deliver further, more moderate volume growth in the year ahead".

The company's operating margin is expected to moderate further from the 21.5% reported at the end of January. Bellway said that while the pricing environment remains firm, the margin enhancing benefit of house price inflation continues to diminish.

Chief executive Jason Honeyman said: "Bellway has concluded another successful year, further increasing the supply of much needed new homes and delivering a record number of housing completions.

"Quality and customer care remain a priority for the business and this has helped the group achieve recognition as a five-star homebuilder for the third year in succession. Trading conditions remain stable and customer confidence is resilient. This, together with a strong forward order book and a healthy balance sheet, ensures that Bellway is well placed to continue its long term growth strategy."

The company said underlying demand for new homes remains "strong", underpinned by the Help to Buy scheme and low interest rates.

At 0850 BST, the shares were down 2.7% at 2,804p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Bellway Market Data

Currency UK Pounds
Share Price 2,094.00p
Change Today 17.00p
% Change 0.82 %
52 Week High 4,310.00
52 Week Low 1,879.00
Volume 239,102
Shares Issued 123.34m
Market Cap £2,582.70m
RiskGrade 347

Bellway Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
62.87% above the market average62.87% above the market average62.87% above the market average62.87% above the market average62.87% above the market average
53.85% above the sector average53.85% above the sector average53.85% above the sector average53.85% above the sector average53.85% above the sector average
Price Trend
29.93% below the market average29.93% below the market average29.93% below the market average29.93% below the market average29.93% below the market average
7.69% below the sector average7.69% below the sector average7.69% below the sector average7.69% below the sector average7.69% below the sector average
Income
78.47% above the market average78.47% above the market average78.47% above the market average78.47% above the market average78.47% above the market average
30.43% above the sector average30.43% above the sector average30.43% above the sector average30.43% above the sector average30.43% above the sector average
Growth
4.84% above the market average4.84% above the market average4.84% above the market average4.84% above the market average4.84% above the market average
38.46% above the sector average38.46% above the sector average38.46% above the sector average38.46% above the sector average38.46% above the sector average

What The Brokers Say

Strong Buy 11
Buy 2
Neutral 2
Sell 0
Strong Sell 0
Total 15
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Bellway Dividends

  Latest Previous
  Final Interim
Ex-Div 28-Nov-19 23-May-19
Paid 08-Jan-20 04-Jul-19
Amount 100.00p 50.40p

Trades for 02-Apr-2020

Time Volume / Share Price
13:45 34 @ 2,094.00p
13:45 9 @ 2,092.00p
13:45 59 @ 2,092.00p
13:44 74 @ 2,090.00p
13:44 47 @ 2,090.00p

Bellway Key Personnel

Chair Paul Hampden Smith
CEO Jason Honeyman

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