Housebuilder Crest Nicholson has pointed to signs of improving sales in the first months of the year, after it slumped to a loss in 2024.
Open market sales climbed to 0.61 per site per week in the 10 weeks to March 14, an improvement from 0.50 through the whole of last year.
The improving sales rates pushed shares up 10% on Thursday morning, after the company had booked a £143.7 million loss last year.
Crest has struggled with operational problems, while high interest rates and a poor construction market have hit the broader housebuilding industry in recent years.
But chief executive Martyn Clark, who took the reins in June 2024, said he saw “early signs of progress from our operational and sales improvement initiatives”.
He said that reflects “our continued commitment to strengthening the Group’s performance and delivering value”.
“While it is still early days, these efforts are beginning to make a positive impact.”
Nonetheless, the company added that the housing market remains “susceptible to weak consumer confidence”.
Crest Nicholson said that while mortgage rates are improving, it could yet be hampered by stubborn inflation and slower interest rate reductions.
It comes as the Bank of England is set to announce it is holding interest rates at 4.5% on Thursday.
Policymakers have pushed for a cautious approach to rate cuts, and with inflation on the rise again in the early months of this year, experts think this will slow down the speed of reduction further.
Meanwhile, the company also pointed to “broader global macroeconomic uncertainty”.
