pre-tax loss of £8.6 million: Source: http://www.bovishomes.co.uk The Board of Bovis Homes Group PLC has today announced its interim results for 2009, showing a loss before tax of £8.6 million for the first six months, compared with £9.5 million profit for the same period in 2008.
pre-tax loss of £8.6 million: Revenue has fallen to £122.6 million, compared with £149.3 million for 2008.
Overheads have now been cut by 48%. Commenting on the results, David Ritchie, Chief Executive of Bovis Homes Group PLC said: “The Group has made good progress during the first half of 2009, with a 92% increase in the volume of private home reservations. The Group achieved a pre exceptional profit before tax for the half year, despite the adverse impact from significantly lower home sales prices, as private legal completions grew by 18% and overheads were successfully reduced by 48%. Through good control of working capital, the Group delivered a strong cash flow performance, generating £94 million of cash inflow and reducing net debt to £14 million at 30 June 2009. As at the date of these results, the Group has achieved a net cash in hand position of £7 million and anticipates having a net cash in hand position at the end of 2009, subject to the level of investment in new profitable land opportunities in the remainder of 2009. The Group is well positioned now to take advantage of an increasing number of opportunities to invest in new consented residential land assets which can achieve profit returns at or above the Group's investment ‘hurdle' rates.” Bovis reports that it has 7.5 years of consented land at 30 June 2009 with 12,851 consented land plots (31 December 2008: 13,545 plots), as well as strategic landholdings of 18,588 potential plots (31 December 2008: 18,972 potential plots).