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FTSE 250 housebuilder Crest Nicholson (LON:CRST) saw its share price increase by 6.50% to 363.80p (as of 14:45 GMT) after the company announced that sales for the year ended 31st October were 7% higher than during the prior period as volumes climbed by 3%. However, pre-tax profits dropped by 15% to £176 million.
Chief executive Patrick Bergin commented:”The business has had a good year operationally, with an increase in the number of new homes delivered. However, we have faced some challenges in London and with sales at higher price points where political and economic uncertainty has adversely impacted customer demand and this is likely to continue pending Brexit resolution.
Our forward sales are strong, boosted by our strategic partnerships and our new channels to market. Pricing is stable, build cost inflation has moderated and we have implemented plans to mitigate margin pressure, which will take effect progressively over the next few years.
Our revised business strategy and focus on cash generation underpins our confidence in generating sustainable shareholder returns“.