Redrow forecasts turnover rise on ‘very strong’ order book

Housebuilder Redrow has said it expects its turnover to top £2bn for 2022, on the back of a “very strong” order book and “robust” sales market. Operating margin is expected to improve to around 18% in its current financial year. In its latest trading update, Redrow said it expects turnover for 2021 to be just over £1.9bn, on 5,620 legal completions and a 15.5% operating margin. Its total order book stood at £1.4bn at the end of the financial year, in line with June 2020. The reservations per outlet per week for the financial year amounted to 0.7, while revenue per outlet per week was £288,000, excluding private rented sector reservations. Redrow said these were in spite of a significant reduction in Help to Buy deals, which accounted for 13% of private reservations in the second half of the year. Redrow said: “The continuing strong sales market combined with the tapering of the stamp duty holiday at the end of June has resulted in Homes turnover in the regional businesses being ahead of expectations.”   To send feedback, e-mail pui-guan.man@eg.co.uk or tweet @PuiGuanM or @EGPropertyNews