Bellway reports another record year, further increasing the number of new homes sold, which has resulted in a substantial growth in earnings. Total revenue rose by 26.9% to £2,240.7 million in the year to the end of July (2015 - £1,765.4 million) as a result of the number of homes sold rising by 12.5% to 8,721 (2015 - 7,752), a new record and the group's seventh successive year of volume growth, together with a further rise of 12.9% in the average selling price to £252,793 (2015 - £223,821). The group said the strong trading performance resulted in an operating margin of 22.0% (2015 - 20.4%1). This has contributed to earnings per share rising by 42.0% to 328.7p (2015 - 231.5p) and the net asset value per ordinary share has increased by 18.4% to 1,522p (2015 - 1,286p). The proposed total dividend per share has risen by 40.3% to 108.0p (2015 - 77.0p). And it says a disciplined approach towards investment has resulted in return on capital employed rising by 430 bps to 28.2%2 (2015 - 23.9%). Chairman John Watson said: "Bellway has delivered another record year, further increasing the number of new homes sold, which has resulted in a substantial growth in earnings. "The excellent operating performance has facilitated further investment into the business and has enabled the Board to propose a final dividend of 74.0p per share, bringing the total dividend for the year to 108.0p per share. "The long term outlook continues to be positive, supported by strong customer demand, a substantial forward order book and favourable trading conditions across all areas of the country where Bellway operates. Whilst there is some uncertainty following the result of the EU referendum, trading since that date has remained resilient. "Bellway has invested significantly in high quality land opportunities and infrastructure over recent years. As a result, with its strong balance sheet and structure of nineteen operating divisions, the Group is well placed to deliver additional value for shareholders through further disciplined volume growth in the current financial year."
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