St. Modwen Properties’ half-yearly report shows effects of recovery
St. Modwen Properties released its half-yearly results today, revealing a 32 per cent rise in pre-tax profits and an increase in shareholder equity. The results come on the back of the rising housing market and burgeoning commercial developments.
Pre-tax profit for the six months to 31 May had increased to £51.3m from £38.8m for the corresponding period last year. Revenues grew to £110.1m from £63.8m.
This rise, along with other factors, has led to an increase of shareholders' equity per share to 294.2p. The figure stood at 278.8p in November 2013.
Chief executive Bill Oliver said that gradually improving economic conditions have led to a return of confidence in the regions.
This has allowed St. Modwen to return to its traditional engine of growth, commercial development. According to Oliver that engine "is beginning to gain momentum with over 1m sq ft of regional commercial projects in progress".
The company, which classes itself as a regeneration specialist, has submitted planning permission to redevelop the New Covent Garden Market in London's Nine Elms and is involved in further developments in Swansea, Birmingham and the capital.
In addition, St. Modwen has seen success in a joint housing venture with Persimmon, which has seen the completion of 231 homes across eight sites.