Taylor Wimpey PLC (LSE:TW.) has said full-year trading matched expectations but that cost pressures were anticipated in 2025.
Completions were towards the top-end of guidance at 10,593, against 10,848 in 2023, over the year just gone, the FTSE 100-listed housebuilder reported on Thursday.
Operating profit was set to meet guidance of £416 million, on a roughly 19% gross margin, after average private selling prices dipped from £370,000 to £356,000 year on year.
Forward orders sat at £1.995 billion come the year-end, up from £1.772 billion in late 2023, reflecting deals on 7,312 new homes.
However, pricing on future orders was down 0.5% due to stretched affordability in the South of England, while cost pressures were seen mounting into the new year.
“Whilst price negotiations for 2025 are ongoing, we anticipate increased build cost pressure as a result of the changed economic backdrop, including as suppliers seek to factor in the impacts of the recent UK Budget,” Taylor Wimpey said.
Taylor Wimpey added it remained “well placed” to grow volumes in 2025, “dependent on the evolution of mortgage rates and their impact on affordability”.
Shares dropped 2.3% on Thursday.