Cairn Homes’ Revenue Soars to €215m in the First Half of 2023

Cairn Homes reported generating €215m in core revenue during the first half of this year, marking a slight decline from last year’s €240m during the same period.

In addition, the company closed 535 new home sales, which is slightly less than the 547 recorded in the first half of 2022.

Over the course of six months, Cairn Homes agreed to over 1,100 new home sales, while their closed and projected sales pipeline now stands at 2,230 new homes with a net sales value exceeding €800m.

During this period, an additional 300 homes were also added to the pipeline.

Despite inflationary pressures, sales pricing levels remained steady in the period, with Cairn Homes noting a moderation in build cost inflation.

However, the company expects inflation to contribute an additional €10,000 to the cost of each unit this year.

When the interim results are published in September, the Board intends to announce a dividend of 3.1c.

Cairn Homes foresees growth in the second half of the year, with a heavy emphasis on unit closings, profit, and cash generation during this period.

The company maintains its full-year guidance, expecting turnover to exceed €650m from 1,750 to 1,800 new home sales.

Cairn Homes also projects maintaining a gross margin of around 21% for the year, similar to last year’s reported 21.7%.

An operating profit of approximately €105m to €110m is expected, surpassing last year’s €103m.

Cairn Homes also assures that all projected sales for this year and 90% of expected closings for next year already have full planning permission.

“Cairn is delighted to be on track to significantly increase our housing delivery by up to 20%, aiming for between 1,750 and 1,800 new home sales this year,” stated Chief Executive Michael Stanley.