Vistry sees profits jump, unveils £100m buyback

(Sharecast News) - UK housebuilder Vistry posted a jump in annual profits, unveiled another £100m share buyback and forecast higher completions in 2024 driven by strong demand. The company on Thursday posted a 23.2% rise in pre-tax profit of £304m for the year to December.

Vistry said it was on track to deliver strong growth in completions in 2024, targeting more than 17,500 units, underpinned by its forward sales position totalling £4.6bn, of which £2.1bn is for delivery this year

It added there had been a "notable pick-up" in demand from private rental sector providers in recent months.

"The easing of mortgage rates at the start of the year has had a positive impact on open market demand and we are optimistic that this trend will continue during 2024," the company said.

"Open market demand from private buyers remained suppressed during 2023 with our private sales rate significantly below prior years. This reflected higher mortgage borrowing costs, inflationary cost pressures on household income and wider macroeconomic and political uncertainty."

Reporting by Frank Prenesti for Sharecast.com