MJ Gleeson reiterates outlook on 'steady' trading

(Sharecast News) - Housebuilder MJ Gleeson reiterated its full-year guidance on Friday, despite Budget uncertainty and the weak economic backdrop weighing on demand. Updating on trading ahead of its interim results, the FTSE All-Share firm said demand for new homes had remained "subdued but steady" in the first half.

It flagged weak consumer confidence, which had been compounded by uncertainty in the run-up to November's Budget.

However, MJ Gleeson continued: "With Budget concerns fading and following the interest rate cut in December, we expect to see an improvement in open market sales through the Spring selling season.

"On that basis, we remain confident in our forecast for the 2026 full-year."

Consensus is currently for annual group pre-tax profits of £24.3m and 1,958 Gleeson Homes completions.

Gleeson Homes sold 848 properties in the six months to 31 December, up 6% year-on-year. The forward order book stood at 978 plots at the period end, of which around 650 sales are expected before the year end.

That compares to a forward order book of 597 plots on 31 December 2024.

Net reservation rates were also higher, at 0.75 per site per week, against 0.55 a year previously.

Graham Prothero, chief executive, said: "We are pleased to have delivered a solid performance in a subdued market.

"Meanwhile, we are working hard on operational efficiency and effectiveness to ensure Gleeson Homes is in the best shape to capitalise on the significant growth opportunities we see ahead."

MJ Gleeson is due to publish interim numbers on 11 February.