But housebuilder’s profit set to be lower than previous year

Scottish housebuilder Springfield said it expects to increase its annual revenue by nearly a third to around £330m.

It said its turnover was boosted by the acquisitions of housebuilders Tulloch Homes and Mactaggart & Mickel Homes.

Springfield said its profit for the year will be in line with its expectations but lower than the £18.4m pre-tax profit reported last year due to “significant build cost inflation, particularly on fixed-price contracts in affordable housing, affecting margins across the group”.

Springfield properties Bertha Sudscrescent

The housebuilder said that as of 31 May it had a landbank of 16,300 plots of which more than half had planning permission.

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Innes Smith, chief executive of Springfield Properties, said: “We remain cautious about the near-term outlook, particularly given the softening in demand following the increase in rates by the Bank of England to 5%. We are closely monitoring the economy and buyer behaviour in both the housing and land market and carefully managing our activities to limit our exposure in the slower sales environment.”