- 12 per cent rise in annual adjusted pre-tax profit to £51.1m slightly ahead of expectations
- Net cash of £125m, up from £95m in September 2020
- Record residential for rent development pipelines
Watkin Jones (WJG:261p), a developer specialising in purpose-built student accommodation (PBSA) and build-to-rent (BTR) housing, not only exceeded analysts’ earnings forecasts, but a bumper £1.75bn development pipeline and strong institutional demand for both assets classes underpins a ramp up in profits in the coming years.
Analyst Alastair Stewart at Progressive Equity Research expects revenue to rise 28 per cent to £550m in the current financial year and by a further 20 per cent to £659m in 2023. On this basis, expect pre-tax profit to increase to £55m and £75m, respectively, to deliver earnings per share of 17.4p and 22.8p.