Shares in Henry Boot (BHY) rose nearly 5 per cent after the land development and construction group revealed that construction activity is expected to exceed earlier expectations, while demand for consented land from housebuilders is growing in the wake of the government's move to assist first-time buyers.
Indeed, the land bank has been expanded to 9,700 acres, and the value of this will be enhanced significantly once it is brought through the planning process, which should be easier now that planning regulations have been partially eased.
Moreover, the group's construction division expects to have secured 60 per cent of budgeted turnover for 2014 by the end of this year, while further revenue continues to come in from the 30-year PFI project to maintain the A69 road link.
Analysts at Numis Securities are forecasting pre-tax profits of £16.1m and EPS of 8.1p in 2013, rising to £22.6m and 11.9p in 2014.
