Taylor Wim­pey slips to £40m loss as pan­demic hits hous­ing

The Daily Telegraph - Business - - Business -

◆ Taylor Wim­pey has swung to a £40m half-year loss as coro­n­avirus closed its sites and sus­pended the hous­ing mar­ket, writes

Rachel Mil­lard.

The FTSE 100 com­pany’s £39.8m loss for the six months end­ing June 28 com­pared with a profit of al­most £300m for the same pe­riod last year.

A 56.4pc de­cline in rev­enue was com­pounded by smaller op­er­at­ing mar­gins – from 18pc to 2.1pc – as fewer sales made it harder to ab­sorb fixed costs.

Taylor Wim­pey’s build­ing sites are now run­ning at 80pc ca­pac­ity with so­cial dis­tanc­ing mea­sures in place, although chief ex­ec­u­tive Pete Red­fern said he ex­pected to reach full ca­pac­ity later this year.

He ac­cepted it was un­likely the com­pany would make up for lost pro­duc­tion dur­ing the pan­demic, with com­ple­tions set to be about 40pc lower than last year. It has or­ders for 11,686 homes, com­pared to 10,137 at the same time last year, with an or­der book worth £2.9bn.

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