Bellway has released preliminary results for the year ended July 31, 2020.
House builders have lowered sales and profits amid the Covid-19 turmoil, but since restrictions were eased, trading has recovered.
The number of home completions fell by 30.9% from 10,892 to 7,522.
The group saw a decline in pre-operating operating profits down from 674.9mA to £321.7m. Bellway said there was an exceptional Covid-related cost of £25.8 million spent on site-based costs and £9.9 million from the suspended land transaction.
After exceptional expenses, pre-tax profit plummeted to 64.3% to £236.7 million.
The first nine weeks of the new fiscal year were strong thanks to the boom in the housing market. Average weekly bookings rose 30.6%, while forward order books rose from £1.3 billion to £1.9 billion.
“The pent-up demand arising from the long period of inactivity has contributed to this safe and powerful performance, along with government support for stamp duty holidays and purchase support,” said CEO Jason Honeyman.
“As the nation emerges from the early, expanded state ‘lockdown’ and adapts to continued restrictions at both national and local levels, there is a major economic damage and continued threat of a wider revival in the virus. ”
“In addition, it remains to be seen how much unemployment will rise as the unprecedented assistance provided by the government’s CJR has ended and replaced with employment support schemes,” he added.
Bellway shares fell 3.88% on Tuesday.
