Miller Homes taking Brexit in its stride

Miller Homes Miller Homes is to press on with its "substantial" land investment programme after booking a sharp rise in interim profits.

Miller Homes houses at The Larches development, Crookston, Glasgow. Picture: Contributed
Miller Homes houses at The Larches development, Crookston, Glasgow. Picture: Contributed

Unveiling a profit before tax of £38.2 million for the six months to the end of June, up 66 per cent on a year earlier, the Edinburgh-based group described market conditions as "buoyant". Investment in land almost doubled, to £80m.

Chief executive Chris Endsor said there had been "no discernible impact" in the run up to the EU referendum on 23 June and highlighted a 20 per cent rise in the company's sales rate during the second half of the year to date.

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He said: "It is too early to evaluate fully the implications of the EU referendum decision, although it is evident that regional housing market conditions and sentiment continue to be strong.

"There remains high underlying demand for quality family homes in our selected regional locations which are outside of London and the south east underpinned by supportive mortgage lenders in a low interest rate environment.

"Whilst we will remain vigilant for any negative signs arising from the EU referendum decision, we have no plans currently to alter our substantial land investment programme and are confident in our continued strong future performance."

During the first half, there was an 11 per cent increase in revenues to £256.1m and a 36 per cent hike in operating profit to £44.5m.

The firm said it had continued to secure planning consents with 44 per cent of plots acquired in the period pulled through from its strategic landbank.

The company shelved plans for a flotation in 2014, attributing the decision to turbulent market conditions, but has not ruled out such a move in the future.

Meanwhile, Aprirose, the property investment company, said it had acquired Miller House in Edinburgh for £10m from Miller Developments, marking its third acquisition in Scotland in the past ten months.

Miller House is a 48,408 square feet office building located in the heart of Edinburgh Business Park, with occupiers including Miller Homes, Miller Developments, Galliford Try Construction and the Royal Society for the Protection of Birds.

Galliford Try acquired Miller Construction in 2014.