LONDON (ShareCast) - (Sharecast News) - Taylor Wimpey backed its profit expectations for the full year on Thursday but sounded a note of caution as it pointed to increased build costs in 2025.
In an update ahead of its results for the year to the end of December, the housebuilder total completions including joint ventures fell to 10,593 from 10,848 in 2023.

UK home completions excluding joint ventures were 9,972, down from 10,356.

Meanwhile, the UK average selling price on private completions was £356,000, down from £370,000 a year earlier, with the overall average selling price declining to £319,000 from £324,000.

Taylor Wimpey said it ended the year with a "strong" order book valued at just under £2bn, versus £1.8bn at the end of December 2023.

The housebuilder said it still expects to achieve a full-year group operating profit of £416m.

Chief executive Jennie Daly said: "We have delivered a good performance during 2024 with full year UK completions towards the upper end of our guidance range, as previously indicated, and operating profit expected to be in line with our previous guidance.

"Taylor Wimpey is a strong and agile business with a clear strategy focused on operational excellence. While market conditions are uncertain, and we continue to monitor the impact of mortgage costs on affordability, we enter 2025 with a strong order book and land position, underpinned by a robust balance sheet and highly experienced teams, which positions us well to deliver volume growth in 2025.

"We remain confident in the attractive medium and long term fundamentals of the sector and are well placed to play our part in addressing the significant undersupply of UK housing."

The housebuilder also warned, however, that while price negotiations for 2025 are ongoing, it expects increased build cost pressure as a result of the changed economic backdrop, as suppliers look to factor in the impacts of the recent Budget.

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