LONDON (ShareCast) - Land development and construction group Henry Boot said that all its businesses performed well in 2014 thanks to an improvement in the UK economy.
Revenues dropped 4.3% to £147.2m, though the prior year benefited from £30m of one-off revenue transactions at York and Bromley which were matched by cost of sales.

Profits before tax increased 54% to £28.3m, driving earnings per share up to 16.2p from 8.6p.

Showing confidence in the business, the group recommended a final dividend of 3.5p, as it said these were their best results since 2007.

Chairman John Brown said: "In the shorter term, we remain confident that prevailing economic and market conditions will allow us to deliver growing returns through 2015.

"In the longer term we continue to identify and acquire numerous valuable opportunities to enable us to deliver our strategic goal, well into the future."

Brown added that the group started the new year in "great shape, with a portfolio of high quality opportunities to deliver growing shareholder returns".

Numis analysts said: "We continue to argue that Henry Boot remains an interesting way to play the expected increase in UK housebuilding activity whilst the potential upside in the property development market is now starting to come through in earnest."

The broker gave a 'add' recommendation and increased its target price to 265p.

Shares in Henry Boot fell 3.59% to 228.5p on Thursday at 12:22.

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