Company Trafalgar New Homes PLC
TIDM TRAF
Headline Half Yearly Report
Released 07:00 08-
RNS Number : 1176A
Trafalgar New Homes PLC
18 December 2014
TRAFALGAR NEW HOMES PLC
("Trafalgar", the "Company" or "Group")
Interim Results for the six months ended 30 September 2014
Trafalgar (AIM: TRAF), the AIM quoted residential property developer operating in southeast England, announces its interim results for the six months ended 30 September 2014 ("the Period").
Highlights:
· Turnover for the Period rose substantially to £2,232,500 (H1 2013: £864,000) reflecting the sales of 4 of the houses at the Company's Oakhurst Park Gardens development in Hildenborough, Kent;
· Gross profit of £209,009 achieved, giving a pre-
· EPS of 0.02p (H1 2013: 0.05p); and
· Cash in bank at Period end £287,000.
Commenting on today's results, CEO, Chris Johnson said, "The Period's modest profit was a result of increased costs of completing the Oakhurst development. However, since the Period end, two of the remaining four houses have been sold and with the final two properties now under offer we are confident all houses at the development will be disposed of during the current financial year.
"With the problems associated with the Oakhurst development now behind us, we are able to move forward with the Company's growth strategy through land developments and land and corporate acquisitions. Construction is underway on our sites at Ticehurst, East Sussex and Borough Green, Kent and these two sites are expected to contribute to turnover for the current financial year."
Copies of the interim report will be available on the Company's website, www.trafalgar-
Enquiries:
Trafalgar New Homes Plc
Christopher Johnson
+44 (0)1732 700 000
Allenby Capital Ltd -
Jeremy Porter/James Reeve
+44 (0)20 3328 5656
Yellow Jersey PR Limited
Dominic Barretto/Anna Legge
+44 (0)7747 788 221
Notes to Editors:
Trafalgar New Homes is the holding company of Combe Bank Homes, a successful residential property developer operating in the southeast of England. The founders of Combe Bank Homes have a long track record of developing new and refurbished homes, principally in Kent.
The Company's focus is on the select acquisition of land for residential property development. The Company outsources all development activities, for example the obtaining of planning permission, design and construction, and uses fixed price build contracts. This enables the Company to tightly control its development and overhead costs.
The Company focuses on the regions of Kent, Surrey, Sussex and the M25 ring south of London and targets development sites of up to 20 homes, with sales prices typically ranging from £100,000 to £750,000 per unit, although larger projects are undertaken.
For further information visit www.trafalgar-
Interim Results for the six months ended 30 September 2014
CHIEF EXECUTIVE'S REPORT
I am pleased to present the Company's Interim Results for the six months ended 30 September 2014.
The turnover for the period rose substantially to £ 2,232,500 (H1 2013: £ 864,000) reflecting the sales of 4 of the houses on our Oakhurst Park Gardens Hildenborough, Kent (Oakhurst) development.
A gross profit of £ 209,009 was achieved giving a pre-
This modest profit was as a result of the costs at Oakhurst being above the budgeted figures due to the increased cost of completing the development and the substantial additional financing costs incurred, all as previously reported upon.
Since the half year end, two of the remaining 4 houses have been sold, with the final two houses under offer, so we are confident all houses will be disposed of during the current financial year.
Construction is under way on our sites at Ticehurst, East Sussex and Borough Green, Kent and these two sites are expected to contribute to turnover for the current financial year. We are currently awaiting the results of our appeal against the planning refusal received on our site in Tunbridge Wells, Kent, and are confident of the outcome. This particular site already has an extant planning consent for a 6 apartment development, but our appeal relates to our application for a revised scheme of 4 houses with an enhanced land value and an anticipated increase on development profit.
On our site at Staplehurst, Kent, on the advice of our planning consultants, we are appealing the planning refusal we received and are confident of success.
On the Sheerness, Kent site, we are in the throes of obtaining build contract prices for the six house development scheme for which we have planning permission.
We continue to consider development opportunities presented to us and have no shortage of referrals from our favoured land agents and consultants in addition to those opportunities generated by and through our own investigations. However, we are not prepared to pay unrealistically high prices sought by some land vendors, as we are determined to maintain our development margins.
In conclusion, I do believe that now the problems associated with the Oakhurst development are behind us, we can move forward in furtherance of the Company's growth strategy through land developments and land and corporate acquisitions.
C C Johnson Chief Executive
