UK's Vistry cuts FY24 profit outlook, shares tumble
Removes extraneous text
Shares fall as much as 36.3% to lowest since Dec 2023
2024 profit forecast cut by 80 mln pounds
Company says South division understated costs
By Aby Jose Koilparambil
Oct 8 (Reuters) -British housebuilder Vistry VTYV.L on Tuesday slashed its annual profit forecast after discovering that one of its divisions had understated the cost of some of its developments, sending the company's shares plunging about a third in value.
Britain's largest homebuilder by annual output said cost projections at nine developments in its South division had been understated by about 10% of total build costs and the adjustment would cut its adjusted profit before tax forecast for 2024 by 80 million pounds ($105 million) to about 350 million pounds.
It also warned of hits of about 30 million pounds and 5 million pounds for fiscal 2025 and 2026.
Vistry shares slumped as much as 36.3% to their lowest since December 2023, erasing almost all their gains this year. The stock was the biggest percentage loser on the benchmark FTSE 100 .FTSE index.
The profit warning comes as British housebuilders are hoping for a turnaround in fortunes after a cut in UK interest rates in August lifted homebuyer confidence.
Investec analyst Aynsley Lammin said that the key issue was whether the overstatement was a one-off, as outlined by the company.
Shares in rivals Barratt BTRW.L, Persimmon PSN.L, Taylor Wimpey TW.L and Berkeley BKGH.L were down by 1.8% to 2.2%.
Lammin said that could be attributed to the weakness in the broader market and to some extent by the cost concerns highlighted by Vistry. Britain's main stock indexes fell in a broad sell-off led by losses in miners.
Vistry, which has about 300 developments across six divisions and makes most sales from partnerships with local authorities, housing associations and government providers, last month forecast a 2024 profit above 2023's 419.1 million pounds.
($1 = 0.7639 pounds)
Reporting by Aby Jose Koilparambil in Bengaluru; Editing by David Evans and Mark Potter
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
