Turnover up 153% with construction division thriving, but tough market knocks 7% off profit

Developer and construction group Henry Boot has posted a 7% fall in pre-tax profit from £21.9m to £20.4m after making land writedowns of £8.2m.

The fall came in the six months to 30 June 2008, despite a 153% rise in turnover from £47.1m to £119.3m.

John Reis
Reis: "I am delighted"

John Reis, chairman of the group, said: “I am delighted to report on another good set of results for the half year to 30 June 2008 which have been achieved in what is acknowledged as the most difficult market the property industry has faced for many years.”

Turnover at the construction division increased 59%, from £32.2m to £51.1m, growth that the group said was underpinned by public-sector and social housing projects.

The firm has slowed its land-buying activity due to the credit crunch but said that its well-located good-quality portfolio means it is well positioned to ride out the economic downturn.

Henry Boot has net borrowings of £38m on facilities of £105.6m.

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