MJ Gleeson sees better-than-expected annual profits

3rd Jul 2014 09:26

House-builder and land specialist MJ Gleeson forecast better than expected annual profits after selling more homes in the past 12 months and cashing in on demand from big house-builders for green field sites in southern England.Gleeson said profits from its businesses in the year to June 30th would be significantly above hopes after it off-loaded 561 homes, up 38% against the previous year's 406.The forward order book for Gleeson Homes at July 1st totalled £44.2m representing 356 homes, up 70% on last year's total of £26m.The proportion of units sold on recently acquired, higher margin sites continued to improve, with 84% of the units sold from the higher margin sites compared to last year's 75%.Meanwhile, Gleeson Strategic Land successfully sold two land interests just before the end of the year, bringing the total number of land interests sold during the year to a better-than-expected seven. The disposals comprised 85 acres with potential for 617 development plots.Shares rose 20p or 5.3% to 400p at 08:42 in London.PW