Springfield Properties (SPR) reported 16 per cent growth in completions during the six months to the end of November, although a slight reduction in the average private sales price meant overall revenue rose by only 5 per cent.
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The Scottish housebuilder said the reduction in private sales prices was due to an increased proportion of cost-plus contract sales, where a contractor is paid for all of its allowed expenses, plus additional payment to allow for a profit. However, last year’s acquisition of Walker Group helped push the gross margin up to 19.9 per cent, from 17.2 per cent the prior year period.
