Stewart Milne Group has reacted in a bullish manner to its results in the year to June, despite operating profits and pre-tax profits dropping sharply.
The housebuilding group, which includes the timber systems, homes, construction and commercial developments divisions, recorded operating profits down by 20% to £42m and pre-tax profits falling 40% to £25m.
Turnover increased 21% year-on-year to £420m, with Stewart Milne Timber Systems contributing £86m.
Group managing director Glenn Allison said the results showed “relatively good performance” in the face of a difficult market, with chairman and chief executive Stewart Milne offering a similar view.
“No-one is immune to the current market challenges in the housebuilding sector,” said Mr Milne.
“There is a lack of confidence with potential house buyers and this, combined with a lack of liquidity in the market place, has stopped many people from buying new homes.”
Stewart Milne Group confirmed it has made 278 people redundant as it looks to readjust to the market. This is down from the 300 planned redundancies announced in July, including 74 workers at its Stewart Milne Timber Systems factory in Witney.
