Bellway has delivered impressive results for the year ended 31 July 2025, with housing completions surging 14.3% to 8,749 homes.
The UK homebuilder exceeded previous guidance across multiple key metrics, signalling a resilience amid challenging market conditions that other listed housebuilders have lacked.
The company’s housing revenue jumped 17% to over £2.76 billion, while the underlying operating margin approached 11%, up from 10.0% in the previous year. Average selling prices also increased to around £316,000, reflecting a higher proportion of private completions.
Customer appetite remained robust throughout the year, supported by good mortgage availability and relatively stable interest rates. Other housebuilders have used these factors as an excuse for poor performance, and it’s refreshing to see Bellway view the glass half full.
Private reservation rates climbed 12.1% to an average of 139 per week, with the rate per outlet reaching 0.57 compared to 0.51 in 2024.
The company’s forward order book strengthened to 5,307 homes valued at £1,519.4 million, providing a solid foundation for future growth. This represents an increase from 5,144 homes worth £1,412.9 million in the previous year. Investors should be encouraged by this key metric.
Bellway’s balance sheet improved significantly, ending the year with net cash of £42 million compared to net debt of £10.5 million in 2024. The company said it maintained a disciplined approach to land acquisition, contracting to purchase 8,120 plots during the year.
Looking Ahead to 2026
For the upcoming financial year, Bellway expects to maintain approximately 245 outlets on average and deliver around 9,200 homes. The company remains focused on increasing return on capital employed while driving higher cash generation for shareholder returns.
Management acknowledged current industry headwinds but expressed confidence in the group’s position. Recent government planning reforms should benefit the sector long-term, though local authorities are still adapting to new frameworks.