(Il Sole 24 Ore Radiocor) – Milan, 8 Nov – Vistry collapses on the London Stock Exchange, after having once again reduced its profit forecasts for 2024. The shares of the main house builder in the United Kingdom lost 20.2 around 11am % at 697.25 pence and is the worst of both the Ftse 100 index (-0.7%) and the Stoxx Europe 600. The company communicated to market outcome of a review, both internally and by independent consultants, into the problems encountered in its Southern Division, which revealed that the negative impact on profits is around £50 million greater than announced in the 8 October and amounts to a total of £165 million in 2024-2026 and beyond.
At the beginning of October the manufacturer had already revised its profits downwards, due to the 10% underestimation of the development costs of the Southern Division. In light of the latest assessments Vistry expects an overall impact from the problems of the Southern Division of 105 million in 2024, 50 million in 2025 and 10 million thereafter. The group cut its 2024 pre-tax adjusted profit estimates to ‘around £300m’, from £350m given a month ago and up from £419m last year. The examination covered all six divisions of the group and 26 commercial units and – specifies the group – no systemic problems emerged outside the Southern Division. The company also warned that it expects to record a rate of completion of projects lower than initially expected. The total number of completed housing units is projected at approximately 17,500 for the full year, a reduction from the previous forecast of 18,000, although this is an increase from the 16,200 units completed in 2023.
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(RADIOCOR) 08-11-24 11:21:57 (0308) 5 NNNN
