Bovis Homes shares soared on Thursday despite reporting a 30% drop in profit before tax and a 6% drop in completions.
In addition, Bovis reduced growth forecasts for the coming year and acknowledged that there was work to be done to appease angry customers, which will come at a cost.
Greg Fitzgerald, CEO of Bovis Homes commented on the results:
“The first half of 2017 has been a period of stabilisation and strategic reorganisation for Bovis Homes Group. Since joining the business in April 2017 I have visited all our offices and the vast majority of our developments, and have been hugely impressed by the desire of our dedicated staff to address and rectify the challenges faced by the business. As a result I am confident that our new strategy will set the Group on the path to sustainable, profitable growth.”
“The new strategy of disciplined volume growth, allied with a renewed focus on customer satisfaction and build quality, will deliver the homes that are required in the locations where people want to live. The Group’s strong balance sheet and valuable land bank mean we are well set to provide the stable returns to shareholders that their patience and support have deserved.”
Despite the downbeat headline figures, shares pushed higher by over 7% as investors digested the news.
