Bovis profits up 40% after “step change” in build quality

Housebuilder Bovis has shrugged off concerns around build quality and reported a more than 40% year-on-year pretax rise in profits.  In its half-year results to the end of June 2018, the housebuilder’s chief executive Greg FitzGerald said the rise “reflects the excellent progress made across all business areas over the past 18 months and a step change in the quality of the homes we are building and level of service we are providing our customers”. Bovis ran into difficulty at the end of 2016 amid complaints about the quality of build out.  David Ritchie, who had been at the helm for eight years, stepped down in January 2017 and chairman Ian Tyler said there were problems with production processes and customer service proposition.   Since then it has refocused the business and in its results today said its HBF Customer Satisfaction score was trending at well above 80%. However, there have still been complaints about build quality during 2018. Profits for the year were £60.2m, while completions saw a small increase to 1,580. Help to Buy accounted for 36% of reservations.  Bovis said: “Improving our build standards and delivering these higher standards consistently across all our developments remains a key priority, and over the past 18 months we have invested in high-quality construction directors, site managers and site teams.   “We have seen our NHBC reportable items decrease by 66% since December 2016, and they are now slightly lower than the industry average.” To send feedback, e-mail alex.peace@egi.co.uk or tweet @egalexpeace or @estatesgazette