In the second half of 2018 – the first half of the company’s fiscal year – it completed the sale of 691 units, up 16.5% on the 593 units sold in the same period of 2017.
Gleeson Strategic Land sold three sites during the period, as it did in the corresponding six-month period of 2017, but this time around the sites sold were larger and will, therefore, lead to the division's half-year results being considerably higher than those of the prior year comparable period.
For the group as a whole, the board expects the half-year results will be significantly ahead of the same period of 2017 and that full-year results will be at least in line with expectations.
In a note to clients, the analysts at City broker Liberum Capital said: “We maintain our Buy recommendation and see over 30% TSR upside to our unchanged 835p target price, based on the sum of the parts, valuing Gleeson as a small growing business rather than a housebuilder as its target market is much more undersupplied than the overall market and affordability not a constraint at its average selling price of £125,000.”
In late morning trading, MJ Gleeson shares were 10.9% higher at 730p.
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