George Wimpey issued a trading statement this morning showing that at week 50, the housebuilder group’s forward orderbook for 2007 in its UK housing division stood at £760m, an 11% increase by value as compared with the same time last year.
Wimpey’s full results for 2006 will be revealed on 21 February.
While the UK housing market is fine, Wimpey’s US division is having a tough time.
The US housing market has weakened during 2006. Despite affordability pressures having knocked a hole in demand, a record number of new properties keep flooding onto the market. “Current trading conditions remain very poor,” said Wimpey.
By contrast, Wimpey’s UK housing division has enjoyed a stable housing market, with price increases in most regions. Operating margin moved ahead in the second half of the period.
Wimpey’s UK landbank is at a record high. During 2006, Wimpey won either outline planning permission or a resolution to grant on 4,750 plots from its strategic landbank. “This will help to improve future margins,” said Wimpey.