Shares in Taylor Wimpey PLC (LSE:TW.) climbed over 2% after it reported underlying profits ahead of expectations but made an increased cladding fire safety provision of £88 million.
It said this provision was mostly due to cost inflation on new tenders received and increased project admin costs.
UK completions excluding joint ventures came in at 4,512, down 7% on a year ago, with average selling prices of £317,000.
This led to group sales of £1.5 billion, in line with City analysts forecasts.
Adjusted operating profit came in at £182 million, up 22.6%, boosted by £18.6 million in land sales profits.
Profit before tax and exceptional items of £188 million was up 21%, well above consensus forecasts.
Net cash at June 2024 was £584 million at the half-year stage and an interim dividend was declared at 4.8p.
Management has guided to full-year volumes towards the upper end of the previous guidance range of 9,500-10,000 home completions, expects to meet current consensus for operating profit of £416 million and have net cash of around £550 million at year-end.