Scottish housebuilder hikes profits amid ‘pent-up’ demand

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ELGIN-based housebuilder Springfield Properties has declared sales and building have recovered strongly followed the closure of the industry during the first lockdown.

The AIM-listed company has this morning reported a pre-tax profit of £9 million for the six months ended November 30, up from £6.9m for the same period the year before.

Revenue climbed by 18.3 per cent to £94.4m as 443 homes were completed, compared with 438 during the first half of its previous financial year.

Springfield noted that its sites have remained open since June, when housebuilding recommenced following the imposition of lockdown in March.

And it flagged that its order book has been strengthened amid “robust” sales since then, reflecting “pent-up” demand.

Chief executive Innes Smith said: “This has been an excellent six months for Springfield. We safely and efficiently resumed construction to complete the homes that had been scheduled for handover at the end of the previous financial year.

“Our sales offices re-opened to significant interest, reflecting pent-up demand and the increasing desirability for the type of housing Springfield provides with spacious homes with private gardens and easy access to plenty of green space. As a result, we were able to deliver significant revenue growth and substantially reduce our net debt position, reflecting the operational gearing of the business.”

Shares were up 2%, or 3p, at 153p in early trading.

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