Housebuilder reports pre-tax profit of £6.17m for the six months ended 30 June.
Housebuilder Ben Bailey has reported a drop in profits of almost 20% in a further sign of the struggling housing market.
The housebuilder’s pre-tax profit was £6.17m for the six months ended 30 June, 18.2% lower than its 2004 figure of £7.54m. The drop occurred despite a 21% rise in turnover to £45m across the same period.
Chairman Richard Bailey expressed disappointment at the results, saying that early optimism not been met. He said: “The optimistic view held in the early months of the year failed to be fulfilled after the General Election. There has been a need to employ more sales incentives to maintain volume output and an efficient build programme. Increases in the cost of some materials and labour have also contributed to the decline in margins.”
