REG - Vistry Group PLC - Trading update

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RNS Number : 3847G  Vistry Group PLC  06 November 2025

 

06 November 2025

 

 

Full year expectations unchanged

Vistry Group PLC ("Vistry" or "the Group") is today providing a scheduled
update on trading for the period from 1 July 2025 to date ("the period").

Greg Fitzgerald, Chief Executive commented:

"As expected, activity levels have continued to build through the second half
of the year and I am encouraged by the progress being made across the Group.
Recent interactions with partners and Government demonstrate an appetite for
increased pace in the affordable housing sector and reinforce our optimism for
the years ahead.  We remain well positioned to play a key role in the
delivery of the Affordable Homes Programme and in supporting the broader
growth ambitions for the sector."

Current Trading and Outlook

Our expectations for the year remain unchanged and the Group remains confident
in delivering year-on-year profit growth for FY25. We continue to see
significant opportunity for growth in the medium-term, underpinned by
strengthening partner demand and our differentiated model.

The Group is encouraged by the early impact of the Government's affordable
housing support measures, which are starting to have a positive effect on new
partner contracts. Whilst the uncertainty created by the delay to the Autumn
Budget has been unhelpful, the Group anticipates that the Budget will provide
further clarity on how the Government's housebuilding ambitions will be
supported.

As previously announced, the Group received confirmation in September that it
had secured a grant award of £50m from Homes England as part of the
£2bn injection of additional grant funding announced earlier in the year.
The Group has already made good progress in the allocation of this grant,
which will include the support of delivery of affordable housing schemes
within 2025.

Demand from Registered Providers and Local Authorities has continued to
strengthen over the period. Since the half year results in September, we have
continued to work closely with our partners and are expecting to conclude a
number of new Partner Funded deals in Q4, underpinning full year expectations
and momentum into 2026. Alongside the Affordable Homes Programme, 10-year rent
settlement and the expected reintroduction of rent convergence measures, the
Group remains exceptionally well-positioned to play a leading role in the
delivery of much-needed affordable housing.  We are actively reviewing sites
for transfer into our joint venture with Homes England and we are making good
progress towards initial acquisitions.

We have seen a small improvement in Open Market sales rates since the summer,
broadly in line with historical trends, but remain cautious as to the pace of
demand recovery in the open market amid the short-term economic uncertainty.
To support Open Market sales, the Group continues to utilise targeted
incentives of up to c. 6% of open market price. All Open Market homes for 2025
delivery have been reserved.

The Group's overall sales rate since 1 July is up 11% compared to the same
period last year at 0.81 (2024: 0.73), reflecting continued momentum in the
second half and strengthening partner demand, with a year-to-date sales rate
of 0.85 (2024: 1.02). The Group's forward order book remains stable at £4.3bn
(2024: £4.8bn), unchanged since September as we make strong progress on the
build-out of our active sites, whilst continuing to win new work.

The Group continues to selectively secure new land and development
opportunities whilst actively managing down the overall Group land bank.
 Since 1 July the Group has secured a total of 3,503 (2024: 4,256) plots
across 11 (2024: 16) sites, taking the total secured in the year to date to
6,616 (2024: 12,481) plots across 25 (2024: 47) sites.

Build cost inflation for FY25 remains in line with expectations and is
currently tracking at low single digits, supported by proactive engagement
with our supply chain and the benefits of scale inherent to the Partnerships
model. Material pricing has stabilised, while labour cost pressures are being
managed through improved visibility and continuity of work. The Group
continues to actively assess opportunities to mitigate these pressures through
standardisation, increased use of timber frame construction, and further
efficiencies through Vistry Works.

The Group continues to focus on cash performance, including the management of
work in progress, and expects to deliver a year-on-year reduction in the
Group's net debt position as at 31 December 2025.

 

For further information please contact:

 Vistry Group PLC

 Tim Lawlor, Chief Financial Officer                     020 3048 3396

 Ben Hosking-Smith, Interim Head of Investor Relations

 FTI Consulting

 Richard Mountain / Susanne Yule                         020 3727 1340

 

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