Housebuilder blames 'competitive and challenging period' for fall in profit from £145m to £116m.
Housebuilder Bovis Homes has blamed "the most competitive and challenging period the housing market has seen for many years" for a 20% slump in pre-tax profit.
Publishing preliminary results for the year ended 31 December 2005, Bovis Homes recorded a pre-tax profit of £116.1m, down £28.7m from £144.8m.
The firm blamed the slump on the difficult housebuilding market.
It said: "The 2005 calendar year represented the most competitive and challenging period the housing market has seen for many years. While affordability continued to be good throughout 2005, consumers demonstrated caution in making significant purchasing decisions. Without the confidence generated by job security and greater stability of mortgage repayments, many consumers deferred their purchase decisions during 2005."
The group said it was continuing to adapt its strategy away from detached housing, historically the most significant category of housing constructed by the group, towards smaller, more affordable, private homes to appeal to a larger cross-section of house purchaser, including first-time buyers. "These homes sell more easily in a challenging housing market," the group said.
Group turnover fell from £559.4m to £521.2m.
The board has appointed ex-United Biscuits and WH Smith finance director John Warren to the board as a non-executive director.