Cairn Homes PLC said on Thursday momentum is gathering pace in 2023 as it reported near doubled pretax profit and a strong increase in revenue.

The Irish housebuilder posted revenue of €617.4 million in the year ended December 31 compared to €424.0 million the year before with pretax profit of €93.5 million up from €50.2 million in 2021.

Basic earnings per share improved to 11.5 cents from 5.8 cents and a final dividend of 3.1 cents per share was declared giving a full year payout of 6.1 cents.

Cairn closed 1,526 new homes sales in 2022 up from 1,120 in 2021 boosted by an exceptionally strong second half of the year when 979 sales were completed. Build cost inflation rose to €20,000 per new home built from €15,000 in 2021 but inflation pressures eased in the second half.

Strong trading has continued into 2023 with over 1,600 new homes agreed for sale nationwide in the year, and a record forward order book.

Looking ahead, Cairn forecast turnover in 2023 in excess of €650 million from 1,750 to 1,800 closed new home sales, all of which have full planning permission. Despite cost of living factors and the rising interest rate environment impacting consumer affordability, pricing levels are expected to be relatively flat.

Dividend payouts of between 40% to 50% of 2023 post-tax profits are expected while Cairn also announced a €40 million share buyback.

Shares in Cairn Homes closed 2.7% higher at 87.10 pence in London on Thursday.

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