Issuing details of its preliminary results for the year, the firm said that its adjusted pre-tax profit in 2021 improved to £107.2m from the previous year’s £45.9m, with revenue growing from 2020’s £677.9m to £786.6m – a result of its strategic progress and the “underlying strength of the housing market”.
Home completions rose 7% against the previous year to 2,407, but down on the pre-pandemic 2,912. The private average selling price rose to £359,000 from 2020’s £336,000 as Crest responded to the effects of inflation, it said. Crest achieved a sales per outlet per week rate of 0.80 against 2020’s 0.59.
As of January 14, forward sales were at 2,702 units and £719 million gross development value (GDV). This compares to 2,435 units and £564.5 million GDV on January 15 2021.
At the same time, the housebuilder increased its provision to address fire safety measures to £29 million. This adds to the £14.8 million put aside in 2020.
After issuing a profit warning in Autumn 2019 amidst difficult market conditions, the business also said it now had “an efficient operating platform, a well-resourced balance sheet and an experienced leadership team to execute its future growth plans”.
As part of its revised strategy, Crest has introduced new house types which have enjoyed a successful rollout. And, as part of an ambitious growth strategy revealed in October, the firm is planning to open divisions in East Anglia, Yorkshire and “one other region” by FY 2014.
Peter Truscott, Crest’s, CEO, said: “It was a clear objective of the new leadership team to restore Crest Nicholson to being one of the UK's leading housebuilders. That challenge was undoubtedly heightened by the arrival of the pandemic. However, we can say with confidence that we have delivered the turnaround that we wanted.
“A strong improvement in financial performance has followed which also reflects the ongoing underlying strength of the market.”
