Barratt Redrow (LSE:BTRW) completed 17,667 homes in the 52 weeks to 28 June, up 5% on the prior year, with adjusted pre-tax profit before purchase price adjustment (PPA) charges landing in line with market expectations.
The housebuilder, formed from the 2024 merger of Barratt and Redrow, said completions came towards the upper end of its guidance range despite cautious consumer sentiment that worsened after the start of the Middle East conflict and pushed mortgage rates higher.
Net private reservations improved slightly to 0.64 from 0.63 a year earlier, while affordable home completions jumped to 3,774 from 2,963.
The group ended the year with net cash of c.£772m, broadly flat on the £772.6m held a year earlier, helped by reduced land spend of c.£625m against £862.5m in FY25 and delayed legacy building remediation payments.
Adjusted item charges fell sharply to c.£159m from £275.9m, while PPA-related charges dropped to c.£37m from £95.3m.
"This solid performance reflects the proactive approach we have taken to managing our business, including the careful use of incentives, rigorous management of our cost base," chief executive David Thomas said.
For FY27, Barratt Redrow cut its average sales outlet guidance to around 415 from a prior range of 425 to 435, citing accelerated outlet closures and slow planning progress, while guiding completions of 17,700 to 18,200 including c.600 from joint ventures.
The company expects total build cost inflation of c.3% to 4% in FY27 and minimal house price inflation, with annual results due 16 September.
