Taylor Wimpey sees fewer builds in 2024 as profits slump

(Sharecast News) - UK housebuilder Taylor Wimpey said current trading was showing "some encouraging signs of improvement" but would still build fewer homes this year as 2023 profits almost halved on higher mortgage rates and weaker demand. Pre-tax profits fell 42.8% to £473.8m. Group completions, including joint ventures, came in at 10,848 form 14,154 in 2022.

Despite the mild optimism, the company said it would build fewer homes, with 2024 UK completions excluding joint ventures to be in the range of 9,500 - 10,000.

"It is still early in the year and the macroeconomic backdrop remains uncertain, however, it is encouraging to see some signs of improvement in the market, with reduced mortgage rates positively impacting affordability and customer confidence," said chief executive Jennie Daly.

Reporting by Frank Prenesti for Sharecast.com