Housebuilder Crest Nicholson (CRST) has upgraded profit expectations for its current financial year to 31 October 2021 to £85 million, ahead of analyst forecasts, as the housing market remains resilient to Covid-19.
The shares were up 3% to 386.4p, with the wider sector also making gains.
Crest’s bullish trading statement follows on from similarly positive updates from the majority of its peer group - with high end operator Berkeley (BKG) a notable exception.
Crest Nicholson was on a turnaround journey ahead of the pandemic - with CEO Peter Truscott brought in to address several issues including the affordability of its homes.
Adjusted pre-tax profit for the current year is expected to be around £85 million, beating the current consensus of £74.3 million.
‘RESILIENT’ MARKET
‘The UK housing market has remained resilient to the impacts of Covid-19 and is set to benefit from the measures recently outlined in the Budget, including the extension of the Stamp Duty holiday and the introduction of Government-backed 95% mortgages,’ the company said.
Crest added that as of 22 March, the order book was over 70% covered for the October 2021 year, up from 55% as reported at its preliminary results in January.
First half results for the six months ending 30 April 2021 are expected to be announced on 23 June 2021.
