Social Media Marketing Explained – A Bit of Humour in an Infographic

A bit  of Marketing Humour with this Infographic… made me chuckle

They could have added Google or Bing on ‘How to find my Pee’

On details on where you can find this infographic please follow the link on the Humour Page

Berkeley Talk of Major Sites in London and Home Counties

House Builder Berkeley Group published and Interim Statement this week with a lot talk of land purchases some of which were discussed previously in this blog back in December see our post Berkeley Group Increases Landbank details in the statement about the land deals are given below:

The Berkeley Group Holdings plc

Interim Management Statement

Period from 1 November 2010 to 28 February 2011

18 March 2011
The Berkeley Group Holdings plc (“Berkeley”) today announces its Interim Management Statement in respect of the period from 1 November 2010 to 28 February 2011.
Overall sales reservations achieved in the period were some 25% ahead of the comparable period last year and cancellation rates are at historically low levels.  The average numbers of visitors per site since the beginning of the year has been consistent with the same period last year, reflecting the current mortgage market conditions, with an increase in the number of outlets leading to the higher levels of sales overall…..
In the period, Berkeley has acquired a further 1,000 plots across 8 new sites bringing the total number of plots acquired in the year to 3,500 across 21 sites.  These include: a site in the City with an existing planning consent for some 750 new homes, a 337-bed hotel, 601 student bedrooms and 100,000 sqft of commercial space; a site in Kensington acquired by St Edward (our joint venture with Prudential) in close proximity to the existing 375 Kensington High Street development; and a number of sites in the Southern Home Counties and Oxfordshire for up to 20 homes each.
Berkeley has also obtained planning on two of its key London development sites in the period.  A planning consent for 752 homes and 140,000 sqft of recreational and commercial space which will include a hotel, gym, spa, bars and restaurants has been received at Tideway Wharf in the heart of the Nine Elms Regeneration Area and a planning consent for One Tower Bridge, a site jointly owned with the London Borough of Southwark, has been obtained for 400 homes, along with 90,000 sqft of cultural and retail space.  In addition, in February 2011, Berkeley announced an agreement to build a new station for Crossrail at its site at Royal Arsenal which will facilitate the delivery of 4,500 new homes and represents a major investment in the regeneration and infrastructure of the area.
 

A full copy of the statement from Berkeley Group can be obtained from their website http://www.berkeleygroup.co.uk/investor-information

If you are a house builder and need assistance with your commercial requirements or a subcontractor looking for an introduction to major house builders such as Berkeley Homes then contact Andrew Fella at Onyx Construction Consultants Ltd. Tel:01473 743682 or email andrew.fella@onyxconstruction.co.uk


 

Bovis Increases Landbank to 13,766 Plots and Potential 17,325 Plots of Strategic Land

More good news from another House Builder – Bovis Homes Group PLC today announced its preliminary results for the financial year ended 31 December 2010

A full copy of the Statement can be seen by following the links at the bottom of this post but the high lights on its land / site purchases and housing stock are posted below details regarding its trading figures and profit can be seen on our Onyx Consultants blog site:

Overview

Financial Highlights:

·      Pre tax profit increased to £18.5 million (2009: £7.5 million pre exceptional items)

·      Basic earnings per share increased to 10.6p (2009: 4.4p pre exceptional items)

·      Recommencement of dividends with a proposed payment of 3.0p for 2010 (2009: Nil)

·      Improvement in gross margin at 17.9% (2009 pre exceptional items: 16.1%)

·      Increase in operating margin to 7.2% (2009 pre exceptional items: 6.2%)

·      £52 million of net cash at 31 December 2010 (2009: £112 million)

·      Strong trading cash inflows during 2010 of £93 million

·      Net land expenditure of £137 million

Land Highlights:

·      Significant progress with land investment strategy with acquisitions located mainly in the south of England:

·      c3,700 consented plots added in the year

·      Terms agreed at 31 December 2010 to acquire a further 2,500 plots, of which 875 plots have been acquired as at the date of this announcement

·      Strong land bank with significant future margin potential:

·      13,766 plots of land with planning consent as at 31 December 2010, with potential gross profit of £461 million, calculated using current sales prices and current build costs (31 December 2009: 12,042 plots)

·      17,325 potential plots of strategic land (2009: 16,363 potential plots) with 822 plots converted to consented land bank in 2010

The Group has been successful with land investment in 2010 with the addition of c3,700 high quality consented plots to the land bank at a cost of £203 million. Approximately 80% of these plots are located in the south of England.  These plots have an estimated future revenue of £711 million and an estimated future gross profit potential of £181 million based on current sales prices and current build costs, delivering an estimated future gross margin of over 25%.  Of the plots added to the consented land bank, 822 plots were delivered through conversion of strategic land.

The Group held a consented land bank of 13,766 plots at 31 December 2010, an increase of 1,724 plots from 12,042 plots held at 31 December 2009.  Of the 13,766 plots, 69% are located in the south of England, where the housing market continues to show greater robustness.  At the year end, the consented land bank included 3,931 consented plots which have been acquired since the nadir of house prices in the current downturn.  The Group estimates that the gross profit potential on the plots within the consented land bank at the 2010 year end, based on current sales prices and current build costs, has increased to £461 million with a gross margin of 20.0%, compared to the position at 30 June 2010, when the gross profit potential was £412 million with a gross margin of 19.2%.  The increase of £49 million demonstrates the contribution to the Group’s future profits from its recent land acquisitions.

The average consented land plot cost at the start of 2010 was £35,200.  This has increased over the year to £41,000 at 31 December 2010 as a result of a lower number of written down plots held in the land bank at the end of the year (26% of land plots versus 36% at the start of the year) and the addition of new prime southern traditional housing sites where the average plot cost is higher.

As at 31 December 2010, the Group had agreed terms for the acquisition of an additional c2,500 plots.  Of these, 875 plots have been acquired since the year end at a cost of £57 million and with a gross profit potential of £51 million, based on current sales prices and current build costs, delivering a gross margin of over 25%.

Looking forward, the Group’s strong balance sheet, with net cash as at 31 December 2010 of £52 million, together with the Group’s existing £150 million committed bank facility, provides it with the ability to continue its land investment strategy. Further, the Group anticipates selectively selling some of its consented land, particularly on those sites which have a longer trade out period by virtue of their size. This will assist in the funding of new land acquisitions and will improve the spread of the Group’s land bank, which will enhance capital turn and increase return on capital employed in the future.

The further execution of the Group’s land strategy will support the Group in achieving its medium term aspiration of operating from over 100 active sales outlets with consequential growth in volumes and profit margins, based on current market conditions, and thus materially improving shareholder returns.
The strategic land bank at 31 December 2010 amounted to 17,325 potential plots as compared to 16,363 potential plots at 31 December 2009.  The Group added c1,800 potential plots to the strategic land bank during 2010, thus enabling the strategic land bank to grow in size notwithstanding the successful conversion of over 800 plots into the consented land bank.  The Group has for a long time recognised the potential of strategic land investment and, as visibility over the effects of the changes to the planning environment improves, the Group intends to increase its investment in strategic land.

A full copy of the statement from Bovis Homes can be obtained from their website http://www.bovishomesgroup.co.uk/information-on/press-releases/

If you are a house builder and need assistance with your commercial requirements or a subcontractor looking for an introduction to major house builders such as Bovis Homes then contact Andrew Fella at Onyx Construction Consultants Ltd


Taylor Wimpey – Land Aquasitions Driven by Quality and Value

 

In a Final Results Statement issued by Taylor Wimpey this week, The company went in to some detail on how it had improved the quality of its Landbank.

Highlights and details below:

Taylor Wimpey plc

Results for the year ended 31 December 2010

Highlights

Land acquisitions driven by quality and value

– UK short-term land portfolio in excess of 6 years’ supply

– Over 8 years’ supply of strategic land

Continued focus on operational improvement

– Replanning successfully achieved on 63% of suitable sites

– Close engagement with government on Localism Bill and future planning policy

 

Selecting land

 

We have a Landbank with planning consent that is equivalent to more than six years of completions at current levels and a further 77,060 plots in our strategic landbank. We view this as an investment portfolio that we manage actively to create value for shareholders.

 Looking back over the last housing market cycle in the UK, it is clear that the industry shifted towards a strategy of growing profits through growing volumes as the market picked up from the mid-1990s through to 2007. This led to land strategies based on achieving volume targets and increased the risks inherent in a cyclical business. The strength of our existing land portfolio enables us to target our activity in the land market to only the best opportunities. We continue to be highly selective with regard to the types of sites that we buy, in terms of location, product mix, anticipated returns and level of risk. We undertake a series of thorough reviews of each opportunity at all levels during the acquisition process. Only those opportunities that meet our requirements, including level of return on capital, operating profit and risk profile, are submitted for approval.

Having re-entered the land market during the second half of 2009, we remained active in 2010. We have seen an improvement in the availability of attractive opportunities during the second half of 2010 and have maintained our consistent, disciplined approach to land acquisition. During the year, we have approved a total of 8,713 new plots on 86 new sites with limited use of deferred payment terms (2009: 3,003 plots on 22 sites).

Our UK short term land portfolio, representing owned or controlled land with planning, or a resolution to grant planning, stood at 63,556 plots at 31 December 2010 (2009: 66,089 plots). The average cost per plot in the land portfolio was £31k at 31 December 2010 on the basis of allocating all net realisable value provisions against land value (2009: £30k).

We plan to retain our national coverage, selecting the best opportunities in each region to deliver the best returns. Our current land strategy is weighted towards both the south and houses. However, we believe that a long term strategy with a sensible mix of sites for all consumer groups, including first time buyers, and in all areas where there is significant housing need will deliver long term returns.

We continue to promote our strategic land through the planning process …

22% of our short term land portfolio was originally sourced without a planning consent and we expect to deliver further planning consents from our strategic portfolio during 2011. At the end of 2010, 55% of the land within our short term landbank was fully consented (2009: 57%), which compares favourably with long term averages.

A full copy of the statement from Taylor Wimpey can be obtained from their website http://www.taylorwimpeyplc.com/ or the following link Statement Report

Onyx Construction Consultants are pleased to count Taylor Wimpey as one of its valued clients working with its Bury St Edmunds, Milton Keynes and Borehamwood offices and glad to see that they are doing very well in the current market conditions.

If you are a house builder and need assistance with your commercial needs or a subcontractor looking for an introduction to major house builders then contact Andrew Fella at Onyx Construction Consultants Ltd



Persimmon Acquired 10,200 Plots During Year with Total Landbank at 59,000 Plots

Housebuilder Persimmon today reported underlying pre-tax profits of £95.5m for the year to end-December 2010and with its current Landbank is well placed to take advantage of the upturn in the market when it occurs.

TUESDAY 1 MARCH 2011

FINAL RESULTS ANNOUNCEMENT FOR THE YEAR ENDED 31 DECEMBER 2010

Highlights

·      Underlying pre-tax profits* of £95.5m strongly ahead of prior year (2009: £7.0m)

·      Revenues 10.5% higher at £1.57bn (2009: £1.42bn)

·      Legal completions increased 4.5% to 9,384 new homes (2009: 8,976)

·      Average selling price of £167,249 being 5.7% ahead of last year (2009: £158,272)

·      Underlying operating margin* of 8.2% (2009: 4.0%) – performance continues to strengthen

·      Reported pre-tax profits** of £153.9m following net exceptional credit of £63.0m (2009: £77.8m, after £74.8m net exceptional credit)

·      Basic earnings per share of 38.3p (2009: 24.7p)

·      Continued strong cash generation: £225.6m cash generated from operations (2009: £356.8m)

·      Gearing of 3% (2009: 16%) – net borrowings*** reduced to £51.0m (2009: £267.5m)

·      Net assets per share increased by 7.2% to 579.1p (2009: 540.2p)

·      Good levels of land replacement – c. 10,200 plots acquired during the year

 

·      Strong forward sales of £848m (2009: £898m)

·      Healthy landbank of c. 59,000 plots owned and under control representing c. 6.3 years supply

·      Final dividend of 4.5p per share to bring the total dividend for the year to 7.5p per share

* Stated before goodwill impairment and exceptional items

** Stated after goodwill impairment and exceptional items

*** Stated before finance lease obligations and financing transaction costs

John White, Group Chairman, said: “Despite a continuing low level of mortgage approvals, the Group is achieving improving returns and remains well positioned for the upturn in the housing market when it occurs.”

A full copy of the statement from Persimmon can be obtained from their website http://corporate.persimmonhomes.com/ or the following link Statement Report

Onyx Construction Consultants are pleased to count Persimmon as one of its valued clients working with its Northampton and Witham offices and more than pleased that its doing very well in the current market conditions.

If you are a house builder and need assistance with your commercial needs or a subcontractor looking for an introduction to major house builders then contact Andrew Fella at Onyx Construction Consultants Ltd

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