Galliford sees full year in line with expectations

Builder Galliford Try said it expected full year results to be in line with management expectations, with all three of its businesses “encouraged by future opportunities".

In a trading update covering Jan 1 to May 11, the company said its Linden Homes unit had enjoyed “very good” sales rates since the beginning of the calendar year and was confident of achieving its targets for the current period and reporting a strong carry forward position at year end.

Linden had £1.08bn of sales reserved, contracted or completed, up by 21% over last year, of which £820m was for the current financial year to 30 June 2016, compared with £897m and £721m respectively in 2015.

Galliford Try Partnerships continued to see opportunities to grow both mixed tenure and contracting, although contracting turnover growth had slowed in the current year by the effect of last year's rent reforms.

The division's contracting order book of £850m was up from £650m in 2015 with £96m of sales reserved, contracted or completed of which £61 million was for the current financial year to 30 June 2016 against £85m and £57m respectively.

“Construction is enjoying a good level of new opportunities, whilst continuing to work through outstanding legacy contracts,” the company said.

The construction order book was up to £3.6bn from £3.3bn a year ago with 76% of next year's revenue secured against 83% in 2015.