"Our unique partnership business model, underpinned by our multi-tenure offering and the attractiveness of our product, has once again proved its value, demonstrating that it allows us to operate successfully and thrive in all market conditions"
- Tim Beale - Keepmoat
The housebuilder said that its multi-tenure partnership model compensated for reduced demand from private buyers
Keepmoat’s revenue increased 11.12% during its year to October 2023, with the business stating that it had “once again performed well”.
During its financial year ending October 31 2023, the partnerships business’ revenue rose to £864.6 million from the £778.1 million of the equivalent period the previous year.
It said that unlike many of its peers, it had continued to grow, delivering 4,074 new homes in an increase of 7.9% on 2022. The homes’ average selling price lifted 3.4% to £211,000.
At the same time, Keepmoat’s EBITDA (earnings before interest, taxes, depreciation and amortisation) fell 11.3% to £101.4 million. Pre-tax profit dropped from 2022’s £92.2 million to £83.2 million. Adjusted operating profit was £94.3 million, down from £105.3 million.
The group delivered more than 800 completions to registered providers and the private rented sector through multi-unit deals.
As of October 31 2023, the number of planned future completions within Keepmoat’s land pipeline – including sites where it has been appointed as a preferred developer – was more than 23,100, representing around six years of delivery at current volumes.
Tim Beale, Keepmoat’s CEO, said: “I am delighted to report that the 2023 financial year saw Keepmoat deliver another strong financial performance, which is a fantastic achievement against the backdrop of an extremely challenging market. Keepmoat has once again proven itself to be a resilient and agile business and unlike many of its peer group has continued to grow, maintaining volumes, continuing to invest in land and delivering a record number of new homes where others have had to slow production.
“Our unique partnership business model, underpinned by our multi-tenure offering and the attractiveness of our product, has once again proved its value, demonstrating that it allows us to operate successfully and thrive in all market conditions."
