Hill boasts record year as partnerships margin hits 3%

South East private house builder and housing contractor Hill has delivered another record year after pre-tax profits soared 27% to £47m.

Revenue across the group rose 13% to £415m, mainly driven by the expanding Partnerships housing contracting business.

Andy Hill, group chief executive, said the group was on track to meet its 2020 strategy of building more than 2,500 homes a year.

The house builder also intends to grow turnover to £850m with profits approaching £100m.

Based across five regional offices in Cambridgeshire. Oxfordshire, Norfolk, Essex and West Sussex, Hill said the group’s pipeline of work had grown considerably as it developed relationships with housing associations, local authorities, education authorities and the Ministry of Defence.

Hill’s land bank of £226m comprises more than 1,800 dwellings with full planning and another 1,500 awaiting decisions.

During the year it acquired 11 sites on a private or joint venture basis, including Fish Island in East London and Wing in Cambridge, where 1,500 homes will be built over the next five years.

Revenue at the Partnerships business jumped nearly a third to £363m, seeing pre-tax profit nearly double to £10.7m.

Operating margins also improved at the housing contracting business, up from 2% in 2016 to nearly 3% last year.

The private housing arm Hill Residential delivered a 10% rise in pre-tax profit to £35m on revenue slightly down at £176m.

Continued business growth saw the firms head count rise from around 380 to more than 430 over the year.

from Construction Enquirer http://www.constructionenquirer.com/2018/04/24/hill-boasts-record-year-as-partnerships-margin-hits-3/

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