Outstanding balance sheet strength - Cash due on forward sales of £3.1 billion, estimated future land bank gross margin of £5.4 billion and net cash of £263 million
On track to deliver pre-tax profits of £2.0 billion in aggregate over three years to 30 April 2018
Dividend return programme enhanced by £0.5 billion, from £13.00 per share to £16.34 per share - first £4.34 already delivered on schedule. Remaining £12 per share to be delivered evenly over next 6 years with first £1 per share to be paid in january 2016
The Berkeley Group Holdings plc ("Berkeley") today announces its unaudited interim results for the six months ended 31 October 2015 together with the enhancement of its shareholder returns programme:
HIGHLIGHTS
Adjusted profit before tax Up 10.2% to £242.3 million (2014: £219.8 million)
Ground rent portfolio sale £51.0 million of profit (2014: £85.1 million) from sale of ground rent portfolio
Profit before tax £293.3 million, down from £304.9 million due to impact of ground rent sales
Net cash £263.1 million (April 2015: £430.9 million)
Net asset value per share Up 7.5% to 1,289 pence (April 2015: 1,199 pence) following payment of £122.9 million (90 pence per share) dividend
Forward sales Increased to £3.1 billion (April 2015: £3.0 billion)
Land bank £5.4 billion of estimated future gross margin (April 2015: £5.3 billion)
across 38,233 plots (April 2015: 37,473 plots)
Market conditions Good underlying demand in a stable operating environment
Continued investment Four schemes started and six sites acquired
* 'Adjusted' profit before tax excludes £51.0 million of profit (2014: £85.1 million) from the sale of ground rent assets.
ENHANCED SHAREHOLDER RETURNS PROGRAMME
The Board of Berkeley has reviewed the quantum and profile of the Company's dividend programme that was put in place in 2011 to deliver £13.00 per share to shareholders by 2021. This review took into account a number of factors, including: the Company's financial strength and its visibility over future earnings and cash generation; the current normal market conditions and stable operating environment; and the investment opportunities that continue to present themselves. Following the review, the Board has determined that it intends to enhance the dividend programme by £0.5 billion, increasing it from £13.00 per share to £16.34 per share.
