Redrow reservations rise as lockdown workers seek more space

The company on Friday said the value of net private reservations in the 18 weeks to October 30 was £630mln, up 5% year on year, with the regions 17% higher.

Chairman John Tutte said there had been “resolute demand for homes with more space to live and work as customers reflect on their lockdown experiences”.

It added that building teams would continue to work during the new lockdown that came into force on Thursday. Sales offices will remain open, other than in Wales where they are temporarily closed due to restrictions.

“In any event, customers are able to progress transactions through our online portal and we anticipate the handover of homes will be unaffected,” Redrow said in a statement ahead of its annual meeting on Friday.

Private revenue per outlet per week on a like-for-like basis was £302,000 compared to £262,000 last year and the average selling price of private reservations rose 2% to £396,000. Homes turnover jumped 48% to £657mln.

Redrow said it continued to expect to reinstate dividend payments at the half year and to be cash positive for the remainder of the financial year. At October 30 it had net cash of £115m compared to net debt £32m in 2019.