RNS Number : 2428T
Springfield Properties PLC
17 February 2026
17 February 2026
Springfield Properties plc
("Springfield", the "Company", the "Group" or the "Springfield Group")
Interim Results
Springfield Properties (AIM: SPR), a leading housebuilder in Scotland focused on delivering private and affordable housing, announces its interim results for the six months ended 30 November 2025.
Financial Highlights
H1 2026 £m
H1 2025 £m
Change
Revenue
108.0
105.6
2%
Private housing revenue
65.4
72.1
(9)%
Affordable housing revenue
25.8
20.4
26%
Contract housing revenue
3.6
6.0
(40)%
Land sales
9.8
5.1
92%
Other revenue
3.4
2.0
70%
Gross margin (%)
15.8%
17.7%
(190)bps
Administrative expenses*
11.6
12.4
(6)%
Operating profit
5.3
6.1
(13)%
Adj. operating profit*
5.6
6.4
(13)%
Profit before tax
3.7
3.5
6%
Adj. profit before tax*
4.1
3.8
8%
Basic EPS (p)
2.39p
2.27p
5%
Adj. basic EPS* (p)
2.61p
2.46p
6%
Net bank debt
39.6
62.9
(37)%
* Adjusted to exclude exceptional costs of £0.3m (H1 2025: £0.3m) (See the Financial Review for further detail)
· Solid results, with an increase in profit before tax and substantial reduction in net bank debt compared with the same point in the previous year, give the Board confidence in delivering results for the full year in line with market expectations and to continue with the Group's dividend policy
Operational Highlights
· Initial agreement signed, post period, with Scottish Hydro Electric Transmission plc (t/a "SSEN Transmission") to commence the delivery of almost 300 homes in the North of Scotland as part of SSEN Transmission's investment programme to upgrade the national electricity transmission grid
· Total completions of 316 (H1 2025: 361)
· On track to deliver revenue growth in private housing for the full year based on orderbook and usual seasonality
· Strong performance in affordable housing with almost all of FY 2026 forecast revenue for affordable housing already delivered or contracted
· Large, high-quality land bank of 7,305 owned and contracted plots, 63% of which have planning permission, and 6,293 strategic plots
o Includes 4,362 owned and contracted plots and 4,652 strategic plots in the North of Scotland in close proximity to key work areas, demonstrating the Group's strong position in the region
Innes Smith, Chief Executive Officer of Springfield Properties, said: "We are pleased to have performed in line with our expectations for the first half, with an increase in profit and a significant reduction in bank debt compared with the same time last year. We also achieved an important strategic milestone with the signing, post period, of our first agreement to provide housing to support the delivery of crucial infrastructure upgrades across the North of Scotland. We are continuing to discuss further projects with infrastructure providers, and we remain very excited about the substantial opportunities in the region.
"Looking to the full year, we continue to expect to deliver underlying growth when excluding the exceptional contribution of land sales to FY 2025. We are hopeful that an increase in consumer confidence following the publication of the UK Budget, along with interest rate cuts, will provide a boost to homebuying. We are continuing to perform well in affordable housing, with almost all of our FY 2026 forecast revenue already delivered or contracted. Accordingly, we remain on track to deliver results for the full year in line with market expectations and look forward to reporting on our progress."
Enquiries
Analyst Research
Equity Development produces freely available research on Springfield Properties plc, including financial forecasts. This is available to view and download here:
https://www.thespringfieldgroup.co.uk/news/updates-and-analyst-reports
Analyst Presentation
Innes Smith, CEO, and Iain Logan, CFO, will be hosting a presentation for analysts at 9.00am GMT today at the offices of Cavendish, 1 Bartholomew Close, London, EC1A 7BL. To register to attend, please contact: springfield@gracechurchpr.com
Results Investor Webinar
Management will be presenting to shareholders, via a webinar hosted by Equity Development, at 9.00am GMT on Wednesday 18 February 2026. Investors can register their attendance for the webinar here:
https://www.equitydevelopment.co.uk/news-and-events/springfield-properties-interim-results-investor-presentation-18-february-2026
Operational Review
Springfield achieved an increase in revenue to £108.0m (H1 2025: £105.6m) as strong growth in affordable housing and land sales offset the expected reduction in private housing. Total completions were 316 (H1 2025: 361), which reflects the impact of market conditions on private housing and the Group's strategic refocus on future opportunities in the North of Scotland. The Group is pleased to note that there has been improvement in consumer confidence since the period end and, alongside usual seasonality and a very strong orderbook in affordable housing, Springfield remains on track to deliver higher revenue in the second half of the year. In addition, the Group made excellent progress during the period in implementing its new strategy to capitalise on the substantial opportunities in the North of Scotland, which are being driven by the requirement for housing to support the delivery of the incoming energy security infrastructure and renewable development.
Agreement with SSEN Transmission
During the first half of the year, the Group advanced its discussions with infrastructure providers for Springfield to satisfy their housing requirements in the North of Scotland. This culminated in the Group signing, post period, an initial agreement with SSEN Transmission towards delivering 293 homes at six sites across the Highlands, Moray and Aberdeenshire.
Under the initial agreement, the Group will provide the enabling works to prepare selected sites for the main construction and will receive payment from SSEN Transmission to fund these site-opening costs. It is intended that the parties will, in the near term, enter a further agreement for the build and lease of the housing. It is expected that homes will be delivered by Springfield on a phased basis over the next three years and will be leased for an initial four-year period. The homes will accommodate workers involved in SSEN Transmission's energy upgrade projects that will contribute to providing the UK with energy security.
At the conclusion of the lease period, the Group will have multiple attractive options, including making the housing available for private housing sales or sales to private rented sector providers as well as sales to affordable housing providers to secure a lasting legacy for the communities.
The Group is continuing to discuss further agreements with major infrastructure providers to deliver new housing on a similar basis to support the upgrade of crucial energy infrastructure in the North of Scotland.
Land Bank
As at 30 November 2025, the Group had a total of 3,865 owned plots (31 May 2025: 3,912), of which 75% had planning permission (31 May 2025: 72%), and 3,440 contracted plots (31 May 2025: 3,367), of which 50% had planning permission (31 May 2025: 58%). This includes 4,362 owned and contracted plots (31 May 2025: 4,030) across 62 sites (31 May 2025: 50) in the North of Scotland.
In addition, Springfield has established a significant strategic land bank with options over 6,293 plots as at 30 November 2025, of which 4,652 plots are in the North of Scotland. In FY 2025, the Group submitted land for consideration in response to the Highland Council's call for new sites to be allocated for housing development in their forthcoming Local Development Plan. The Group is continuing to strengthen its position in the North of Scotland by increasingly securing options over this land.
The total owned and contracted land bank equated to nine years of activity and had a gross development value at 30 November 2025 of £1.9bn (31 May 2025: £1.8bn).
At period-end, the Group was active on 44 developments (31 May 2025: 40) and during the period seven developments were completed and 11 new developments became active.
During the period, the Group completed profitable land sales of £9.8m (H1 2025: £5.1m). This primarily represents the sale of the final site under the Group's agreement with Barratt Redrow plc ("Barratt") that was entered in FY 2025. Springfield continues to make selective land sales and interest in its large, high-quality land bank remains strong.
Private Housing
In private housing, prices remained resilient across with Group's brands with an increase in average selling price ("ASP") to £344k (H1 2025: £313k) due to housing mix. This served to partly mitigate the reduction, as expected, in completions to 190 (H1 2025: 230). The reservation rate was slightly lower than the first half of the prior year due to a lengthening of the sales cycle in line with the wider housebuilding industry. This led to increased time and cost to complete sites, which impacted gross margin in private housing during the period.
The Group is pleased to note that, following the publication of the UK Budget at the end of November 2025 and with the announced measures being less severe than had been widely predicted, consumer confidence has begun to improve. As a result, and along with normal seasonality, the Group continues to expect to deliver higher revenue in the second half of the year, and an increase in revenue for FY 2026 compared with FY 2025.
As at 30 November 2025, Springfield was active on 27 private housing developments (31 May 2025: 25), with five active developments added during the period and three developments completed. In total, as at 30 November 2025, the owned private housing land bank consisted of 2,570 plots (31 May 2025: 2,598 plots), of which 71% had planning permission (31 May 2025: 68%).
Affordable Housing
The Group performed well in affordable housing, with growth in the number of completions to 113 (H1 2025: 95). The ASP in affordable housing increased to £228k (H1 2025: £215k). The Group has continued to secure new contracts and now has almost all of forecast FY 2026 revenue for its affordable housing activity delivered or contracted. Accordingly, the Board remains confident of achieving revenue growth in affordable housing for the full year.
The number of active affordable housing developments was 16 at 30 November 2025 (31 May 2025: 14), with six active developments added and four active developments completed during the period. As at 30 November 2025, the total owned affordable housing land bank consisted of 1,295 plots (31 May 2025: 1,314), of which 83% had planning permission (31 May 2025: 82%).
Contract Housing
In contract housing, Springfield provides development services to third party private organisations and receives revenue based on costs incurred plus fixed markup. To date, this has largely consisted of services provided to Bertha Park. At 30 November 2025, the contract housing land bank with planning consent consisted of 487 plots (31 May 2025: 500). The 13 homes completed during the period (H1 2025: 36) were private homes at Bertha Park (H1 2025: 19 private homes and 17 affordable homes completed at Bertha Park).
Financial Review
Revenue
H1 2026 £'000
H1 2025 £'000
Change
Private housing
65,373
72,068
(9.3)%
Affordable housing
25,800
20,431
26.3%
Contract housing
3,618
6,012
(39.8)%
Land sales
9,823
5,065
93.9%
Other
3,375
2,064
63.5%
TOTAL
107,989
105,640
2.2%
For the six months ended 30 November 2025, revenue increased to £108.0m (H1 2025: £105.6m). Private housing remained the largest contributor to Group revenue, accounting for 60.5% of total sales (H1 2025: 68.2%). Affordable housing contributed 23.9% (H1 2025: 19.3%) and contract housing accounted for 3.4% (H1 2025: 5.7%). Land sales accounted for 9.1% (H1 2025: 4.8%) and other revenue for 3.1% (H1 2025: 2.0%).
Gross margin was 15.8% (H1 2025: 17.7%). This primarily reflects a reduction in gross margin in private housing, which was impacted by the lengthening of the sales cycle and time to complete sites, and the exceptional gross margin of the land sales in the first half of the prior year. As a result, gross profit for the period was £17.1m (H1 2025: £18.7m).
Administrative expenses, excluding exceptional items, were reduced to £11.6m (H1 2025: £12.4m) and accounted for 10.7% of revenue (H1 2025: 11.7%). This reflects a continued focus on carefully managing costs across the Group and restructuring in line with the Group's new strategy.
Exceptional items were £0.3m (H1 2025: £0.3m), which mainly relates to restructuring costs.
Operating profit was £5.3m (H1 2025: £6.1m) and, excluding exceptional items, it was £5.6m (H1 2025: £6.4m). The reduction was due to the lower gross profit.
Net finance costs were reduced to £1.6m (H1 2025: £2.6m) as a result of lower bank interest payments primarily due to the significant reduction in bank debt, but also lower interest rates.
Statutory profit before tax increased to £3.7m (H1 2025: £3.5m) and adjusted profit before tax and exceptional items to £4.1m (H1 2025: £3.8m). This reflects the reduction in operating profit being offset by the lower net finance costs.
Basic earnings per share (excluding exceptional items) increased to 2.61 pence (H1 2025: 2.46 pence). Statutory basic earnings per share increased to 2.39 pence (H1 2025: 2.27 pence).
Net bank debt at 30 November 2025 was £39.6m (31 May 2025: £20.9m; 30 November 2024: £62.9m). The increase over the six-month period reflects the normal seasonality of the working capital cycle. The reduction compared with same point of the prior year is due the strategic actions undertaken in FY 2025 to reduce the Group's debt.
Springfield secured a new revolving credit facility ("RCF") for three years until August 2028 with a facility limit of £77.5m reducing in 12 months to £47.5m alongside an overdraft facility of £2.5m for 12 months until August 2026. The reducing facility levels align with the strategy of reducing bank debt whilst still providing the Group with headroom to capitalise on opportunities that arise.
Customer Satisfaction
The Group achieved an excellent customer satisfaction score of 97% from customers surveyed during the first half of the year - maintaining the high performance of the same period of the prior year (H1 2025: 97%). The Group continued to deliver a quality service for customers under the principles of the New Homes Quality Code (the "Code"), resulting in another 100% scoring in an on-site audit. The Group has been preparing for the launch of the new version of the Code in March 2026, including the rollout of training for all customer facing employees post period. During the period, the Group was successfully re-certified for ISO 9001 (Quality Management).
Environment and People - ESG
The Group's new strategy for housing delivery in the North of Scotland will contribute to the plans for the decarbonisation of the nation, helping to ensure future UK energy security. More new homes are required to accommodate the growing renewables workforce and ensure people can move into the Highlands, Moray and Aberdeenshire to deliver this change.
The Group's homes are designed to support sustainable living. They are energy efficient with high levels of insulation and heating powered by air-source technology. The Group is also proud to have manufactured timber kits for its homes off-site for decades. This approach enhances efficiency, consistency and quality across its developments.
The new strategy has reinforced the Group's commitment to skills development as it prepares for the anticipated growth in the North of Scotland. Springfield is collaborating with skills agencies to attract new people into the region and increase training opportunities to maximise home-grown talent. Twenty-five new apprentices were recruited across the Group between June-September 2025.
Alongside attracting new talent, a continued priority for the Group is fostering employee wellbeing. Investment in development has continued with over 5% of staff undertaking formal qualifications as at period end. A variety of benefits are in place to retain talent, including initiatives such as gym membership, private healthcare and employee assistance schemes.
During the period, the Group recertified in ISO 4001 (Environmental System) and ISO 45001 (Occupational Health & Safety Management System).
Markets
The scale of demand for new homes continues to underpin the fundamentals of the Group's business. Across Scotland, housing need is at an all-time high, acknowledged by the Scottish Government with a declaration of a housing emergency in 2024 and the announcement, in January 2026, of plans to create a national housing agency to help boost homebuilding in Scotland. A record level of investment of £926m has been committed for affordable housing supply for the Scottish Government financial year commencing in April 2026. This is to help deliver on the long-standing commitment to provide 110,000 affordable homes by 2032. Measures have also been taken to move forward with a legislative exemption for any rent caps introduced in local markets for Build to Rent homes, which is expected to reestablish a supportive climate for investment into Private Rented Sector housing supply in Scotland.
While lower levels of confidence in the economy has subdued the UK's private housing market in recent years, the reduced construction by the industry continues to compound housing need and demand. The levels of certainty provided by the UK Budget announcement in November 2025 and the subsequent reduction in interest rates in December have had a positive impact on consumer confidence.
There continues to be greater affordability in Scotland compared with the UK as a whole based on the ratio of average house price to annual income. Indicators in Scotland remain positive with Zoopla predicting, in January 2026, that the best prospects in the UK for house price growth and sales in 2026 are in Scotland.
The mortgage lending community is keen to support buyers of energy-efficient, new-build homes and changes to mortgage regulation to ease accessibility together with a competitive product range from lenders will help service the demand. Aspirations for the type of homes that the Group offers remain high. The Group builds quality, spacious, energy-efficient homes in highly-desirable areas with generous private gardens and plenty of surrounding greenspace.
The unprecedented level of economic growth occurring in the North of Scotland is presenting unique opportunities for the Group. Job creation and the resultant inward migration will increase the need for new homes. To accommodate the projected growth, Local Authorities have begun engaging on new-style Local Development Plans with The Highland Council being the first to set a target by committing to double current housing output by delivering 24,000 new homes in the next decade.
Outlook
The Group continues to expect to achieve growth for FY 2026 when excluding the exceptional contribution from the land sales to Barratt, in line with market expectations. This reflects a year-on-year increase in revenue in both private and affordable housing. In private housing, with consumer confidence having improved since period end as well as usual seasonality, the Group remains confident in delivering higher revenue in the second half compared with the first half of the year and year-on-year growth. In affordable housing, almost all of forecast FY 2026 revenue is already delivered or contracted.
Looking further ahead, Springfield remains very excited about the significant prospects in the North of Scotland. The signing of its first agreement, post period, with SSEN Transmission marks an important milestone towards capitalising on the substantial opportunities in the region. The build and multi-year lease of housing would allow the Group to receive regular income over the course of the lease as well as having further options for monetisation at its conclusion. This represents an excellent opportunity for Springfield that will allow the Group to maximise the value of its land holdings in this area of high demand.
Accordingly, the Board continues to look to the future with great confidence.
COnsolidated PROFIT AND LOSS ACCOUNT
FOR THE PERIOD ENDED 30 november 2025
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Note
£000
£000
£000
Revenue
4
107,989
105,640
280,557
Cost of sales
(90,929)
(86,902)
(228,435)
Gross profit
4
17,060
18,738
52,122
Administrative expenses before exceptional items
(11,559)
(12,437)
(27,609)
Exceptional items
5
(350)
(307)
(1,032)
Total administrative expenses
(11,909)
(12,744)
(28,641)
Other operating income
109
122
711
Operating profit
5,260
6,116
24,192
Finance income
406
67
361
Finance costs
(1,964)
(2,655)
(5,534)
Profit before taxation
3,702
3,528
19,019
Taxation
6
(860)
(832)
(4,923)
Profit for the period and total comprehensive income
4
2,842
2,696
14,096
Profit for the period and total comprehensive income is attributable to:
- Owners of the parent company
2,842
2,696
14,096
Earnings per share
Basic earnings per share
7
2.39p
2.27p
11.86p
Diluted earnings per share
7
2.26p
2.17p
11.28p
The Group has no items of other comprehensive income.
The accompanying notes form an integral part of these financial statements.
COnsolidated BALANCE SHEET
as at 30 november 2025
Unaudited 30 November 2025
Unaudited 30 November 2024
Audited 31 May 2025
Non-current assets
Note
£000
£000
£000
Property, plant and equipment
6,391
6,659
6,783
Intangible assets
5,306
5,565
5,435
Deferred taxation
1,852
1,787
1,852
Trade and other receivables
11,287
5,000
11,191
24,836
19,011
25,261
Current assets
Inventories
236,469
260,368
223,892
Trade and other receivables
45,445
29,227
41,096
Cash and cash equivalents
10,691
9,409
9,388
292,605
299,004
274,376
Total assets
317,441
318,015
299,637
Current liabilities
Trade and other payables
58,429
48,635
55,735
Short-term bank borrowings
359
72,262
30,282
Deferred consideration
10
14,401
7,404
7,469
Short-term obligations under lease liabilities
1,251
1,317
1,351
Provisions
12
1,607
1,390
1,871
Corporation tax
937
775
2,752
76,984
131,783
99,460
Non-current liabilities
Trade and other payables
-
-
1,550
Long-term bank borrowings
49,884
-
-
Long-term obligations under lease liabilities
3,868
3,861
4,160
Deferred taxation
2,192
2,932
2,866
Deferred consideration
10
7,250
14,881
14,491
Contingent consideration
11
2,000
2,000
2,000
Provisions
12
3,329
2,894
3,855
68,523
26,568
28,922
Total liabilities
145,507
158,351
128,382
Net assets
171,934
159,664
171,255
Equity
Share capital
9
149
148
149
Share premium
9
78,744
78,744
78,744
Retained earnings
93,041
80,772
92,362
Equity attributable to owners of the parent company
171,934
159,664
171,255
The accompanying notes form an integral part of these financial statements.
consolidated Statement of Changes in Equity
FOR THE period ENDED 30 november 2025
Share capital
Share premium
Retained earnings
Total
Note
£000
£000
£000
£000
1 June 2024
148
78,744
79,315
158,207
Total comprehensive income for the period
-
-
2,696
2,696
Share-based payments
-
-
(51)
(51)
Dividends
-
-
(1,188)
(1,188)
30 November 2024
148
78,744
80,772
159,664
Issue of shares
1
-
-
1
Total comprehensive income for the period
-
-
11,400
11,400
Share-based payments
-
-
190
190
31 May 2025
149
78,744
92,362
171,255
Total comprehensive income for the period
-
-
2,842
2,842
Share-based payments
-
-
218
218
Dividends
8
-
-
(2,381)
(2,381)
30 November 2025
149
78,744
93,041
171,934
The share capital accounts record the nominal value of shares issued.
The share premium account records the amount above the nominal value for shares issued, less share issue costs.
Retained earnings represents accumulated profits less losses and distributions. Retained earnings also includes share-based payments.
The accompanying notes form an integral part of these financial statements.
Consolidated Statement of Cash Flows
FOR THE period ENDED 30 november 2025
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Cash flows generated from operations
£000
£000
£000
Profit for the period
2,842
2,696
14,096
Adjusted for:
Exceptional items
350
307
1,032
Taxation charged
860
832
4,923
Finance costs
1,964
2,655
5,534
Finance income
(406)
(67)
(361)
Adjusted operating profit before working capital movement
5,610
6,423
25,224
Exceptional items
(350)
(307)
(1,302)
Gain on disposal of tangible fixed assets
(51)
(147)
(140)
Share-based payments
218
(51)
139
Non-cash movement - discounting
-
-
899
Amortisation of intangible fixed assets
130
133
263
Depreciation of tangible fixed assets
998
1,120
2,135
Operating cash flows before movements in working capital
6,555
7,171
27,488
(Increase)/decrease in inventory
(12,577)
(16,071)
19,511
Increase in trade and other receivables
(4,063)
(2,831)
(20,348)
(Decrease)/increase in trade and other payables
(2,084)
(4,171)
7,089
Net cash (used in)/generated from operations
(12,169)
(15,902)
33,740
Taxation paid
(3,350)
(1,425)
(3,675)
Net cash (outflow)/inflow from operating activities
(15,519)
(17,327)
30,065
Investing activities
Purchase of property, plant and equipment
(166)
(35)
(156)
Proceeds on disposal of property, plant and equipment
74
184
244
Interest received
6
4
140
Net cash (used in)/generated from investing activities
(86)
153
228
Financing activities
Proceeds from bank loans
19,953
17,422
-
Repayment of bank loans
-
-
(24,908)
Deferred consideration paid on acquisition of subsidiary
(309)
(2,177)
(2,857)
Payment of lease liabilities
(1,016)
(1,111)
(2,142)
Dividends paid
-
-
(1,188)
Interest paid
(1,728)
(2,486)
(5,096)
Net cash inflow/(outflow) from financing activities
16,900
11,648
(36,191)
Net increase/(decrease) in cash and cash equivalents
1,295
(5,526)
(5,898)
Cash and cash equivalents at beginning of period
9,037
14,935
14,935
Cash and cash equivalents at end of period
10,332
9,409
9,037
The accompanying notes form an integral part of these financial statements.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
for the period ended 30 november 2025
1. Organisation and trading activities
Springfield Properties PLC ("the Company") is incorporated and domiciled in Scotland as a public limited company and operates from its registered office in Alexander Fleming House, 8 Southfield Drive, Elgin, IV30 6GR.
The consolidated interim financial statements for the Group for the six-month period ended 30 November 2025 comprise the Company and its subsidiaries and jointly controlled entities (the "Group"). The basis of preparation of the consolidated interim financial statements is set out in Note 2 below.
The financial information for six-month period ended 30 November 2025 is unaudited. It does not constitute statutory financial statements within the meaning of Section 434 of the Companies Act 2006. The consolidated interim financial statements should be read in conjunction with the financial information for the year ended 31 May 2025, which has been prepared in accordance with International Accounting Standards in conformity with the requirements of the UK-adopted international accounting standards. The statutory financial statements for the year ended 31 May 2025 have been delivered to the Registrar of Companies. The auditors' report on those financial statements was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.
2. Basis of preparation
The interim financial statements have been prepared in accordance with IAS 34 - Interim Financial Reporting and in accordance with UK-adopted international accounting standards.
The interim financial statements have been prepared on a going concern basis and under the historical cost convention, except for contingent consideration.
The preparation of financial information requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. These are also disclosed in the 31 May 2025 year-end financial statements and there have not been any changes. Although these estimates are based on management's best knowledge of the amounts, events or actions, actual events may ultimately differ from those estimates.
The interim financial statements do not include all financial risk information and disclosures required in the annual financial statements and they should be read in conjunction with the financial information that is presented in the Group's audited financial statements for the year ended 31 May 2025. There has been no significant change in any risk management polices since the date of the last audited financial statements.
Going concern
The Group's performance in the six months to 30 November 2025 is in line with management expectations and the Group is on track to report results for the year to 31 May 2026 in line with market expectations.
Net bank debt at 30 November 2025 was £39.6m (30 November 2024: £62.9m; 31 May 2025: £20.9m).
The revolving credit facility of £77.5m has an expiry date in August 2028. The Group also has a £2.5m overdraft facility in place until August 2026.The revolving credit facility level of £77.5m will reduce to £47.5m in August 2026 in line with the Group strategy of reducing debt.
The Board-approved budget to 31 May 2026, with a further year added to 31 May 2027, forms the basis of the detail and assessment to confirm the appropriateness of the going concern basis being adopted for the preparation of these consolidated interim financial statements. The Directors are confident that the Group has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing these interim financial statements.
3. Accounting policies
The accounting policies used in preparing these interim financial statements are the same as those set out and used in preparing the Group's audited financial statements for the year ended 31 May 2025.
Principal risks and uncertainties
As with any business, Springfield Properties PLC faces a number of risks and uncertainties in the course of its day-to-day operations.
The principal risks and uncertainties facing the Group are outlined within its latest annual financial statements for the year ended 31 May 2025. The Directors have reviewed these risks and uncertainties, which remain relevant for both the six months to 30 November 2025 and the full financial year to 31 May 2026. The Group continues to manage and mitigate these where relevant.
Exceptional items
Exceptional items are those material items which, by virtue of their size or incidence, are presented separately in the consolidated profit and loss account to enable a full understanding of the Group's financial performance. Transactions that may give rise to exceptional items include transactions relating to acquisitions, costs relating to changes in share capital structure and restructuring costs.
4. Segmental analysis
A segment is a distinguishable component of the Group's activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the Group's chief operational decision makers to make decisions about the allocation of resources and assessment of performance and about which discrete financial information is available.
In identifying its operating segments, management generally follows the Group's service lines that represent the main products and services provided by the Group. The Directors believe that the Group operates in one segment:
· Housing building activity
As the Group operates solely in the United Kingdom, segment reporting by geographical region is not required.
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Revenue
£000
£000
£000
Private residential properties
65,373
72,068
155,776
Affordable housing
25,800
20,431
49,380
Contracting
3,618
6,012
10,976
Land sales
9,823
5,065
60,507
Other
3,375
2,064
3,918
Total Revenue
107,989
105,640
280,557
Gross Profit
17,060
18,738
52,122
Administrative expenses
(11,559)
(12,437)
(27,609)
Exceptional items
(350)
(307)
(1,032)
Other operating income
109
122
711
Finance income
406
67
361
Finance expense
(1,964)
(2,655)
(5,534)
Profit before tax
3,702
3,528
19,019
Taxation
(860)
(832)
(4,923)
Profit for the period
2,842
2,696
14,096
5. Exceptional items
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Legal fees
119
-
500
Redundancy costs
231
307
532
Exceptional items
350
307
1,032
6. Taxation
The results for the six months to 30 November 2025 include a tax charge of 23.2% on profit before tax (30 November 2024: 23.6%), representing the best estimate of the average annual effective tax rate expected for the full year, applied to the pre-tax income of the six-month period. The tax charge for the year ended 31 May 2025 was 25.9%.
7. Earnings per share
The calculation of the basic (and diluted) earnings per share is based on the following data:
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Earnings
£000
£000
£000
Profit for the period attributable to owners of the company
2,842
2,696
14,096
Adjusted for the impact of tax adjusted exceptional costs in the year
262
230
945
Adjusted earnings
3,104
2,926
15,041
Number of Shares
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Weighted average number of ordinary shares for the purpose of basic earnings per share
119,042,405
118,753,540
118,839,353
Effect of dilutive potential ordinary shares: share options
6,631,638
5,301,265
6,082,522
Weighted average number of ordinary shares for the purpose of diluted earnings per share
125,674,043
124,054,805
124,921,875
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
Earnings per ordinary share
Basic earnings per share
2.39p
2.27p
11.86p
Diluted earnings per share
2.26p
2.17p
11.28p
Adjusted earnings per ordinary share (1)
Basic earnings per share
2.61p
2.46p
12.66p
Diluted earnings per share
2.47p
2.36p
12.04p
(1) Adjusted earnings is presented as an additional performance measure and is stated before exceptional items and is used in adjusted EPS calculation.
8. Dividends
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Final dividend - y/e 31 May 2024
-
1,188
1,188
Final dividend - y/e 31 May 2025
2,381
-
-
2,381
1,188
1,188
The final dividend declared for the year to 31 May 2025 was 2p per share amounting to £2,380,848. This dividend was declared before 30 November 2025 and is included within current liabilities at 30 November 2025. The dividend was paid in December 2025.
9. Share capital
The Company has one class of ordinary share which carries full voting rights but no right to fixed income or repayment of capital. The share capital account records the nominal value of shares issued. The share premium account records the amount above the nominal value received for shares sold, less share issue costs.
Ordinary shares of 0.125p - allotted, called up and fully paid
Number of shares
Share capital £000
Share Premium £000
At 1 December 2024
118,830,396
148
78,744
Share issue
212,009
1
-
At 31 May 2025 and 30 November 2025
119,042,405
149
78,744
During the period, nil (30 November 2024: 161,272; 31 May 2025: 373,281) shares were issued in satisfaction of share options exercised for a consideration of £nil (30 November 2024: £202; 31 May 2025: £467).
10. Deferred consideration
As part of acquiring the business of Mactaggart & Mickel Group Limited, there is a further £30,781,108 of deferred consideration payable. This is payable quarterly in arrears as homes are sold over 5 years, commencing from September 2023. The outstanding discounted amount payable at the period end was £21,651,175 (30 November 2024: £22,284,727; 31 May 2025: £21,960,440).
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Deferred consideration < 1 year
14,401
7,404
7,469
Deferred consideration > 1 year
7,250
14,881
14,491
21,651
22,285
21,960
11. Contingent consideration and contingent liabilities
As part of the purchase agreement of Dawn Homes Holdings Limited there is a further £2,500,000 payable for an area of land if (i) the Group makes a planning application when it reasonably believes the council will recommend approval; or (ii) it is zoned by the council. The Directors have assessed the likelihood of the land being zoned and have included provision of £2,000,000 based on 80% probability. The outstanding amount payable at the period end included within Provisions is £2,000,000 (30 November 2024: £2,000,000; 31 May 2025: £2,000,000).
The remaining £500,000 has been treated as a contingent liability due to the uncertainty over the future payment.
Contingent consideration
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Dawn Homes Holdings Limited
2,000
2,000
2,000
2,000
2,000
2,000
Contingent liabilities
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Dawn Homes Holdings Limited
500
500
500
500
500
500
12. Provisions
Dilapidation provisions are included for all rented buildings within the Group. Maintenance provisions relate to costs to come on developments where the final homes have been handed over.
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Dilapidation provision
115
115
113
Maintenance provision
4,821
4,169
5,613
4,936
4,284
5,726
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Provisions < 1 year
1,607
1,390
1,871
Provisions > 1 year
3,329
2,894
3,855
4,936
4,284
5,726
13. Transactions with related parties
Other related parties include transactions with a retirement scheme in which the Directors are beneficiaries, and close family members of key management personnel. During the period, dividends totalling £575k (30 November 2024: £nil; 31 May 2025: £286k) were paid to key management personnel.
During the period, the Group entered into the following transactions with related parties:
Sale of goods
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Bertha Park Limited (1)
3,712
6,131
11,258
Other entities which key management personnel have control, significant influence or hold a material interest in
10
27
64
Key management personnel
5
2
13
Other related parties
-
2
13
3,727
6,162
11,348
Sales to related parties represent those undertaken in the ordinary course of business.
Purchase of goods
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Entities which key management personnel have control, significant influence or hold a material interest in
11
10
16
Other related parties
1,511
2,506
2,518
1,522
2,516
2,534
Rent paid to
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Entities which key management personnel have control, significant influence or hold a material interest in
93
93
187
Key management personnel
-
-
-
Other related parties
53
55
103
146
148
290
Interest received from
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Bertha Park Limited (1)
63
63
125
63
63
125
The following amounts were outstanding at the reporting end date:
Amounts receivable
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Bertha Park Limited (1)
9,483
9,566
9,394
Entities which key management personnel have control, significant influence or hold a material interest in
5
9
2
Key management personnel
4
1
4
Other related parties
-
-
2
9,492
9,576
9,402
Amounts payable
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Entities which key management personnel have control, significant influence or hold a material interest in
19
37
-
Other related parties
1,431
2,377
2,928
1,450
2,414
2,928
Amounts owed to/from related parties are included within creditors and debtors respectively at the period-end. No security has been provided on any balances. Transactions between Group companies, which is a related party, have been eliminated on consolidation and are not disclosed in this note.
(1) Bertha Park Limited, a company in which Sandy Adam and Innes Smith are shareholders and directors
14. Analysis of net debt
Unaudited Period to 30 November 2025
Unaudited Period to 30 November 2024
Audited Year to 31 May 2025
£000
£000
£000
Cash in hand and bank
10,691
9,409
9,388
Bank borrowings - loan
(49,884)
(72,262)
(29,931)
Bank borrowings - overdraft
(359)
-
(351)
Net bank debt
(39,552)
(62,853)
(20,894)
Lease
(5,119)
(5,178)
(5,511)
Net debt
(44,671)
(68,031)
(26,405)
Deferred consideration
(21,651)
(22,285)
(21,960)
(66,322)
(90,316)
(48,365)
Reconciliation of net cashflow to movement in net debt is as follows:
At 1 June 2025
New Leases
Cashflow
Fair Value
At 30 November 2025
£000
£000
£000
£000
£000
Cash in hand and bank
9,388
-
1,303
-
10,691
Bank borrowings - loans
(29,931)
-
(19,953)
-
(49,884)
Bank borrowings - overdraft
(351)
-
(8)
-
(359)
Net bank debt
(20,894)
-
(18,658)
-
(39,552)
Lease
(5,511)
(454)
1,015
(169)
(5,119)
Net debt
(26,405)
(454)
(17,643)
(169)
(44,671)
Deferred consideration
(21,960)
-
309
-
(21,651)
(48,365)
(454)
(17,334)
(169)
(66,322)
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IR SFIFUMEMSESE
