Final Results for the year ended 30 June 2015

09 Sep 2015

Another year of excellent progress
£m unless otherwise stated Year ended
30 June 2015 		Year ended
30 June 2014 		Change
Total completions1 (plots) 16,447 14,838 10.8%
Revenue 3,759.5 3,157.0 19.1%
Profit from operations 576.8 409.8 40.8%
Operating margin2 (%) 15.3 13.0 230bp
Profit before tax 565.5 390.6 44.8%
Basic earnings per share (pence) 45.5 31.2 45.8%
Return on capital employed3 (%) 23.9 19.5 440bp

Highlights

  • Significant increase in housing completions with the Group4 responding to strong consumer demand
    across all regions
  • Private average selling price increased by 8.7% to £262,500 (2014: £241,600) driven by further
    changes in mix and house price inflation
  • Profit before tax increased by 44.8% to £565.5m (2014: £390.6m)
  • ROCE up 440 basis points to 23.9% (2014: 19.5%)
  • Strong cash generation resulting in net cash at 30 June 2015 of £186.5m (2014: £73.1m)
  • Continued to secure excellent land opportunities, approving 16,956 plots for purchase and maintained
    a controlled land supply of 4.5 years
  • Significant step up in the delivery of strategic land with 17% of FY15 (FY14: 10%) completions from
    strategically sourced land

Record cash returns

  • Total FY15 capital return of £250m (2014: £102m), equating to 25.1 pence per share (2014: 10.3
    pence per share)
Capital returns for the financial year Year ended
30 June 2015 		Year ended
30 June 2014 		Change
Total ordinary dividend per share (pence) 15.1 10.3 46.6%
Special cash payment per share (pence) 10.0 - -
Total capital return per share (pence) 25.1 10.3 143.7%

Current trading

  • Strong start to the new financial year with net private reservations per week of 257, up by 14.7% on the
    prior year
  • Total forward sales including JV's up by 32.2% as at 6 September 2015 at £2,321.9m compared to last
    year

Commenting on the results David Thomas, Chief Executive of Barratt Developments PLC said:

"The strong operational and financial performance in FY15 reinforces the progress we have made over the
past few years. Alongside our industry leading management team, I will continue to execute on our current
strategy and focus on driving further efficiencies across the business.

The new financial year has started very well; we have a strong forward sales position and are making very
good progress towards our FY17 targets of at least a 20% gross margin and at least a 25% return on
capital employed."

1Includes joint venture ('JV') completions in which the Group has an interest

2 Operating margin is profit from operations divided by revenue

3Return on capital employed ('ROCE') is calculated as earnings before interest, tax, operating charges relating to the defined benefit pension scheme and operating exceptional items, divided by average net assets adjusted for goodwill and intangibles, tax, cash, loans and borrowings, retirement benefit obligations and derivative financial instruments

4 In this Annual Results Announcement, Barratt Developments PLC is defined as the 'Company' and together with its subsidiary undertakings is defined as the 'Group'

Certain statements in this document may be forward looking statements. By their nature, forward looking statements involve a number of risks, uncertainties or assumptions that could cause actual results to differ materially from those expressed or implied by those statements. Forward looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Accordingly undue reliance should not be placed on forward looking statements.

There will be an analyst and investor meeting at 9.00am today at Deutsche Bank, 1 Great Winchester Street, London, EC2N 2DB. The presentation will be broadcast live on the Barratt Developments corporate website, www.barrattdevelopments.co.uk, from 9.00am today. A playback facility will be available shortly after the presentation has finished.

A listen only function will also be available.
Dial in: 0800 694 0257
International dial in: +44 (0) 1452 555 566
Access code: 6411124#

Further copies of this announcement can be obtained from the Company Secretary's office at: Barratt Developments PLC, Barratt House, Cartwright Way, Forest Business Park, Bardon Hill, Coalville, Leicestershire, LE67 1UF.

For further information please contact:

Barratt Developments PLC
David Thomas, Chief Executive
020 7299 4896

Analyst/investor enquiries
Susie Bell, Head of Investor Relations
020 7299 4880

Media enquiries
Patrick Law, Group Corporate Affairs Director
020 7299 4892

Maitland
James Devas
020 7379 5151

09 Sep 2015 Final Results for the year ended 30 June 2015

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