Join our community of smart investors

Booming Bellway

Excellent management of capital resources and strong demand for new homes helped Bellway deliver record profits
October 13, 2015

In a performance likely to be replicated by other housebuilders, Bellway (BWY) kicked off the sector's reporting season with a barnstorming performance for the year to July. Volumes, selling prices and operating margins all set new records for the company, paving the way for a big increase in the dividend.

IC TIP: Buy at 2446p

House completions rose 13 per cent to 7,752, while the average selling price was 5 per cent higher at £224,000. This combination of scale benefits and house price inflation pushed the operating margin up from 17.2 per cent to a record 20.4 per cent.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in