11 February 2026

BARRATT REDROW plc

 

26-week results for the period ended 28 December 2025

 

Resilient performance; focused on disciplined execution as Redrow integration completes

 

Commenting on the interim results, David Thomas, Chief Executive of Barratt Redrow plc, said:

"During the first half we delivered a resilient performance in a subdued market while making strong progress integrating Redrow. As that integration nears completion, our focus is on disciplined execution. We are embedding our proven operating model across the enlarged group, delivering operational excellence, strengthening efficiency, and positioning Barratt Redrow to deliver volume growth, margin progression, and capital returns through the cycle.

"With a strong land bank, solid forward sales and synergy delivery in line with our targets, we are well positioned to deliver sustainable medium-term growth. However, while progress made on planning reform is encouraging, a stable and supportive demand environment is essential to enable increased delivery at scale across the sector."

 

Financial highlights

·	Resilient operational performance delivering 7,444 total home completions, 4.7% ahead of the 7,107 aggregated total home completions in the comparable period.
·	Adjusted operating profit, before the impact of PPA adjustments1, at £210.2m, 0.3% below the £210.8m adjusted aggregated operating profit in the comparable period and margin at 8.0% (HY25: 8.9%A and 9.3%R).
·	Adjusted profit before tax and the impact of PPA adjustments1 at £199.9m, 13.6% below the £231.4mA adjusted aggregated profit before tax in the comparable period.
·	Statutory profit before tax of £156.2m (HY25: £113.4mR and £85.0mA) with a reduced impact from Redrow transaction and integration costs and purchase price allocation adjustments.
·	Redrow integration progressing well, delivering in line with the Group's £100m cost synergy2 target and strong progress on revenue synergy sites through planning.
·	Strong balance sheet, with net cash of £173.9m, after dividends and share buybacks.

 

Operational highlights

 

·	Underlying net private reservation rate of 0.55, compared with 0.54A for the aggregated performance in the comparable period. The overall net private reservation rate of 0.57, compared with 0.59, reflecting fewer private rental sector and other multi-unit reservations in the period.
·	Continued industry leadership on quality, customer satisfaction, and sustainability:
-		115 NHBC Pride in the Job Awards across the combined Group, maintaining our position ahead of any other housebuilder for 21 consecutive years;
-		Rated '5 Stars' by our customers in the HBF customer satisfaction survey for 16 consecutive years; and
-		Recognised by CDP as a Climate A List organisation for a fourth successive year

  

Current trading and outlook

·	Our net private weekly reservation rate from 29 December 2025 to 1 February 2026 was 0.59 (2025: 0.60), with no contribution from private rental sector and other multi-unit sales in either period.
·	Forward sales3 at 1 February 2026 were 11,168 homes (2 February 2025: 10,903 homes) at a value of £3,407.8m (2 February 2025: £3,350.3m) with 7,277 homes of these total forward sales either exchanged or contracted (2 February 2025: 7,702 homes).
·	The FY26 out-turn remains dependent on sales activity through the Spring selling season. Based on our forward sold position and solid reservation activity, we expect to deliver total home completions of 17,200-17,800 in FY26, including c. 600 JV completions, in line with previous guidance.
·	Full year adjusted profit before tax and the impact of PPA adjustments, but after the reclassification of legacy building safety provision finance charges as adjusted items, is expected to be within the current range of consensus estimates4.

 

Notes:

(1) In addition to the Group using a variety of statutory performance measures, alternative performance measures (APMs) are also used. Definitions of APMs and reconciliations to the equivalent statutory measures are detailed in the Glossary and Definitions. During HY26, the Group has reconsidered the presentation of legacy property provision finance charges. These are now presented as an adjusted item. This change has resulted in an increase in adjusted profit before tax in the period of £19.6m. The HY25 comparatives have been restated with an impact of £18.4m, of which £17.1m relates to previously reported legacy property imputed interest finance costs and £1.3m relates to an additional PPA adjustment reflecting completion of the fair value position with respect to Redrow plc. These adjustments apply to reported and aggregated results. The Group continues to include APMs which allow for the assessment of the performance of the combined Group, before the impact of PPA adjustments. Measures before PPA adjustments are presented as if the assets and liabilities recognised, as a result of the acquisition of Redrow plc, had been initially measured at their carrying values in the underlying Redrow financial records, rather than at their fair values in accordance with IFRS. Net cash definition is included in Note 12.

(2) Synergies: Integrating the Barratt David Wilson and Redrow housebuilding operations results in cost reductions in three main areas:

(1) Optimisation of the divisional office structure, reducing the number of divisions from 41 to 32;

(2) Consolidation of central and support functions, including Board, senior management, compliance and third-party costs; and

(3) Harmonisation of purchasing terms and additional rebates related to volume for the enlarged business, focused primarily on direct materials purchases.

(R) Reported denotes a Barratt Redrow plc reported metric based on the reported performance of the Barratt Redrow plc in the comparable reporting period, with metrics for the 26 weeks to 29 December 2024 restated for the final assessment of the fair values of assets and liabilities recognised through the acquisition of Redrow, as detailed above.

(A) Aggregated denotes an aggregated metric based on the reported performance of Barratt Redrow plc in the comparable reporting period from 1 July 2024 to 29 December 2024 including the performance of the legacy Redrow plc group ("Redrow Group") 1 July 2024 to 21 August 2024, the period prior to acquisition, to provide comparability on operational and financial performance.

Redrow Group data for the period 1 July 2024 to 21 August 2024 is based on Redrow plc's standalone accounting policies and therefore excludes any impact of policy alignments made since the acquisition. The impact of policy alignment is not material. Aggregated adjusted measures are also presented, prepared on the same basis. The aggregated value comparatives have not been audited or reviewed by Barratt Redrow plc's auditors. No adjustments relating to legacy property provision finance charges have been made to Redrow plc's standalone results included in the aggregated comparative for the period 1 July 2024 to 21 August 2024.

(3) Including JVs in which the Group has an interest.

(4) The company compiled consensus range for FY26 adjusted profit before tax on 10 February 2026 was £558m to £617m excluding the impact of purchase price allocation adjustments. This range does not reflect the Group's reclassification of legacy property provision non-cash finance charges as an adjusted item finance charge.

 

Note on forward looking statements:

 

Certain statements in this announcement may be forward looking statements. By their nature, forward looking statements involve a number of risks, uncertainties or assumptions that could cause actual results to differ materially from those expressed or implied by those statements. Forward looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Accordingly undue reliance should not be placed on forward looking statements. Unless otherwise required by applicable law, regulation or accounting standards, the Group does not undertake to update or revise any forward looking statements, whether as a result of new information, future developments or otherwise.

 

There will be a results meeting at UBS, 5 Broadgate, London, EC2M 2AT at 8.30am today.

The results presentation will also be webcast live with the Q&A. Please register and access the webcast using the following link: 

https://investorbrand.brunswickgroup.com/Barratt-Redrow-plc-HY26-Results/en

An archived version of the results webcast will also be available on our website later this afternoon and further copies of this announcement can be downloaded from the Barratt Redrow plc corporate website at www.barrattredrow.co.uk or by request from the Company Secretary's office at: Barratt Redrow plc, Barratt Redrow House, Cartwright Way, Forest Business Park, Bardon Hill, Coalville, Leicestershire, LE67 1UF.

For further information, please contact:

Analyst / investor enquiries John Messenger, Group Investor Relations Director	07867 201 763
Media enquiries Tim Collins, Group Corporate Affairs Director	01530 278 278
Brunswick Rosie Oddy / Peter Hesse	020 7404 5959

 

Barratt Redrow plc LEI: 2138006R85VEOF5YNK29

 

The Group's next scheduled announcement will be a trading update on Wednesday 15 April 2026Chief Executive's Statement

 

Chief Executive's Statement

Overview

We have delivered a resilient operating performance for the 26 weeks to 28 December 2025, supported by the hard work and commitment of our employees, sub-contractors and supply chain partners in what remains a subdued trading environment for the housebuilding industry.

Whilst subdued, the trading backdrop was stable during the period with a less volatile mortgage lending environment supporting customer demand. However, consumer confidence remained low, economic and political uncertainty was high, and affordability challenges remained an issue for many customers, in particular first-time buyers. The scheduling of the Budget on 26 November, which was later than usual, created an extended period of significant uncertainty for homebuyers, but we benefited as customers decided to complete ahead of Christmas once Budget uncertainty was removed.

Highlights

·	Total home completions were 7,444, an increase of 4.7% on the 7,107 completions delivered by Barratt Redrow on an aggregated basis in HY25.
·	We delivered adjusted gross profit before the impact off PPA adjustments of £394.8m (HY25: £405.3mA and £386.6mR) with the adjusted gross margin before PPA impacts at 15.0% (HY25: 17.0%). The reduction in gross margin reflected the impacts of the incremental use of sales incentives and build cost inflation, notwithstanding the operational gearing benefit of increased home completions in the period.
·	Statutory gross profit, including an adjusted item gain of £13.4m and a reduction for PPA adjustments of £13.5m, was £394.7m (HY25: £354.9mA and £336.2mR).
·	Adjusted operating profit before the impact of PPA adjustments was £210.2m (HY25: £210.8mA and £211.8mR) with the operating margin at 8.0% (HY25: 8.9%A and 9.3%R). Reduced administrative expenses, in combination with increased completions, limited operating margin erosion relative to that experienced on gross margin.
·	We delivered adjusted profit before tax before the impact of PPA adjustments of £199.9m (HY25: £231.4mA and £232.1mR). Adjusted profit before tax has also been restated to exclude the imputed interest related to legacy building safety provisions. This restatement resulted in the reclassification of imputed interest of £19.6m in HY26 and £18.4m in HY25 as adjusted item charges.
·	Statutory profit before tax was £156.2m (HY25: £113.4mR and £85.0mA). Statutory profit before tax included total adjusted item charges of £30.1m (HY25: restated £68.3mR and £96.0mA) and a reduction at operating profit for PPA adjustments of £13.6m (HY25: restated £50.4mR&A).
·	Statutory ROCE improved by 10 bps to 8.2% (HY25: 8.1%R).
·	Adjusted earnings per share before a reduction for PPA adjustments was 10.0 pence, 21.9% lower than the restated 12.8 pence reported in HY25.
·	Basic earnings per share increased by 28.6% to 7.2 pence (HY25: restated 5.6 penceR).
·	Proposed interim dividend of 5.0 pence per share (HY25: 5.5 pence per share).
·	Our balance sheet remains strong with period-end net cash of £173.9m (HY25: £458.9m) after dividend payments of £171.8m (HY25: £170.5m), share buyback activity of £50.4m and significant seasonal investment in construction work in progress supporting both FY26 completion growth and our targeted growth in sales outlets.

 

In the next table we detail our key financial performance measures for HY26, as well as the restated comparables for performance in HY25 aggregated to include Redrow plc from 1 July 2024 to aid year on year comparability. For completeness we also include the reported restated performance in HY25 which included Redrow plc from 22 August 2024.

 

Barratt Redrow plc1 £m (unless otherwise stated)	HY26	HY25 aggregatedA	Change (%)	HY25 reportedR
Total completions (homes)	7,444	7,107	4.7%	6,846
Revenue	2,632.1	2,381.9	10.5%	2,280.8
Adjusted gross profit before the impact of PPA adjustments	394.8	405.3	(2.6%)	386.6
Adjusted gross profit margin before the impact of PPA adjustments (%)	15.0%	17.0%	(200) bps	17.0%
Statutory gross profit	394.7	354.9	11.2%	336.2
Adjusted operating profit before the impact of PPA adjustments	210.2	210.8	(0.3%)	211.8
Adjusted operating profit margin before the impact of PPA adjustments (%)	8.0%	8.9%	(90) bps	9.3%
Adjusted profit before tax and the impact of PPA adjustments	199.9	231.4	(13.6%)	232.1
Statutory profit before tax	156.2	85.0	83.8%	113.4
Adjusted earnings per share before the impact of PPA adjustments (pence)	10.0			12.8
Basic earnings per share (pence)	7.2			5.6
Interim dividend per share (pence)	5.0			5.5
Net cash	173.9			458.9
ROCE (%) before the impact of PPA adjustments	9.1%			9.1%
ROCE (%)	8.2%			8.1%
Tangible assets per share (pence)	433			434

Note:

In HY26, the Group has reclassified legacy property provision finance costs of £19.6m as adjusted items. These were unadjusted in prior periods. The Group believes that users of the financial statements will gain better transparency on the full financial impact of the Group's legacy property liabilities if they are visible and classified as adjusted items, in particular given the scale of provision imputed interest finance costs. The explanation and impact of adjusted items on the Group's principal statutory financial measures is shown through note 4 of the condensed interim financial statements (pg. 26) and the definitions of alternative performance measures (APMs) and reconciliation to IFRS (pg. 41). Adjusted measures in this document remove the impact of legacy property provision imputed interest finance costs for both HY26 and from prior period comparative measures.

 

Our customers

We continue to help support our customers in accessing attractive mortgage products, working closely with lenders to ensure that the products they offer new home buyers are competitive and appropriate.

For first time buyers we continue to offer a variety of schemes to help buyers onto the housing ladder which include our Deposit Boost, Key Worker Deposit Contribution and Armed Forces Contribution schemes as well as the Rezide Equity Loan Scheme launched in the period.

For existing homeowners looking to buy a new Barratt Redrow home, we now offer part-exchange across all three brands. In the current affordability environment, and amid concerns around property chains, this has proved particularly appealing, with 23% (HY25: 14%^A) of private reservations in the period using our part exchange offer.

Our industry leadership in quality and customer service is fundamental to our success. Both Barratt and Redrow have been awarded the maximum 5 Star rating by our customers in the HBF customer satisfaction survey. The Group has achieved this for the last 16 years. Our site and sales teams remain focused on delivering for our customers at every stage of their journey, supported by comprehensive training programmes delivered throughout the year.

We constantly strive to improve the design and layouts of our homes to meet customers' desires and expectations, while improving water and energy efficiency to unlock lower lifetime housing costs for our purchasers. In FY25, over 99% of our home completions were EPC rated 'B' or above, a level of energy efficiency shared by just 3.5%⁵ of the existing housing stock. We continue to work with lenders to encourage more attractive "green mortgage lending", reflecting the lower running costs, higher reliability and limited maintenance expenditure required for many years with the purchase of new build homes.

Our people

Our second combined Barratt Redrow employee engagement pulse survey, completed in October 2025, delivered a strong engagement score of 77.0 (April 2025: 74.9). Against a backdrop of significant change, this was a particularly positive result and was accompanied by increased employee participation, with 70% of employees completing the survey, up from 67%.

We continue to operate as an accredited real Living Wage Employer and we promote the payment of the real Living Wage within our UK supply chain through our standard sub-contractor terms and conditions.

With the industry facing a longstanding skills shortage it is ever more important to attract and retain the best people. We continue to run numerous award-winning schemes including those for graduates, apprentices and degree apprentices, and former Armed Forces personnel. At 28 December 2025 we had 492 employees on our development programmes.

Keeping people safe

Barratt Redrow is committed to achieving the highest industry health and safety standards to provide a safe working environment for all of our employees and subcontractors. In the 12 months to 28 December 2025 Barratt Redrow operations' injury incidence rate ("IIR") showed a strong improvement, reducing to 240 (2024: Barratt 292, Redrow 326) per 100,000 workers. We have a continual focus improving our site-based processes and procedures, challenging unsafe behaviours across our sites and production facilities and looking at how we can minimise injuries and accidents with the added opportunities to share experience and best practice between Barratt and Redrow colleagues.

Land approvals and strategic land submissions

After significant land approval activity in the second half of FY25, we approved new land acquisitions totalling 1,545 plots (HY25: 7,727^R plots) across 15 sites (HY25: 45 sites^R) at a cost of £119.2m (HY25: £471.8m^R) in the period.

Our strategic land teams submitted 56 planning applications in the period encompassing 16,985 plots. At 28 December 2025 we had a total of 103 planning applications, equating to more than 27,500 plots, submitted and awaiting local planning authority consideration across our strategic land bank.

Sales outlet evolution

In the period, in line with our expectations for the year, we operated from an average of 405 active sales outlets, including JVs, a decrease of 6.0% on the aggregated average of 431 outlets in the comparable period. In the half we launched 65 new sales outlets, including JVs, (HY25: 42^R) and at 28 December 2025 we were operating from 409 active sales outlets including JVs (29 December 2024: 426).

We continue to anticipate average sales outlets will be broadly flat through FY26 in line with our guidance. Looking to FY27, the combination of organic outlet growth and the opening of Redrow synergy sales outlets, is expected to create an average sales outlet position of between 425 and 435 active sales outlets, including JVs.

Our build performance

Through calendar year 2025, Barratt Redrow once again maintained an industry leading position amongst the major housebuilders, with the Group registering Reportable Items (RIs) per NHBC inspection⁶ at 0.14 (2024: Barratt 0.12, Redrow 0.24).

Our build quality and site standards continue to be recognised through the NHBC Pride in the Job Awards for site management, where site managers across the Barratt and Redrow operations secured 115 awards in the most recent judging period, more than any other housebuilder for the 21 consecutive years.

The adoption of MMC, primarily through our increased use of timber frame construction, is increasing build speed and mitigating the risks around labour cost movements on our sites, as well as reducing embodied carbon and waste. Across the Barratt Redrow operations, we completed 34.7% of our homes (HY25: 30.4%^R, 31.5%^A) using MMC and 30.6% of our home completions utilised timber frame construction (HY25: 27.6%^R, 26.6%%^A).

We anticipate that construction activity will increase modestly during the second half of FY26 due to the increased level of home completions anticipated from the balance of FY26, as well as ongoing investment in developments to deliver the sales outlet expansion planned for FY27 and FY28.

Responsible development

Building safety

During the period no issues were identified which required an increase in the building safety provision, with the total expected cost of remediation remaining within the Group's estimates. The building safety provision totalled £828.9m at 28 December 2025 (29 June 2025: £886.4m). Provision spend in the period was £73.4m which was partially offset by imputed interest of £15.9m.

We continue to make progress through the buildings covered under the Building Safety Self Remediation Terms across the Barratt Redrow legacy property portfolio. During the 26-week period, through inspections, testing and contact from building owners regarding potential issues, we added three buildings potentially requiring remedial works to our active portfolio. We also added six buildings on existing active developments to align external reporting. As a result, we recognised nine building additions (HY25: 14^R buildings) and seven buildings were completed or assessed as needing no remediation (HY25: 12^R buildings). There were 280 buildings in our active portfolio at 28 December 2025 (29 June 2025: 278 buildings) with 194 buildings of these buildings at tender or site mobilisation, or in the process of being remediated (29 June 2025: 192 buildings).

Around 95% of the Barratt Redrow active portfolio has been assessed under the Fire Risk Assessment of External Walls and will have an appropriate PAS 9980 assessment in place.

The Group signed the Scottish Government's Safer Building Accord, on 31 May 2023 and the Housing (Cladding Remediation) (Scotland) Act, passed on 21 June 2024. The building safety provision is recorded on the basis that the standard of remediation required in Scotland is consistent with England and Wales. This will be determined when the final contract with the Scottish Government is signed and the industry is continuing to work with the Scottish Government to finalise the required standard of remediation in Scotland.

 

Reinforced concrete frames

Our remediation activities with respect to reinforced concrete frame design and construction continued during the period in line with plans and with the total expected cost of remediation remaining within the Group's estimates.

The provision with respect to reinforced concrete frames totalled £186.7m at 28 December 2025 (29 June 2025: £187.4m). Provision spend in the period was limited at £4.4m with most of this spend offset by imputed interest of £3.7m. Significant remediation spend is set to follow in FY27 and FY28 once detailed non-linear analysis and building modelling is completed.

The portfolio of reinforced concrete frame buildings totalled 165 at 28 December 2025 (29 June 2025: 165). Of this total portfolio, 76 have been identified as not requiring remediation (29 June 2025: 75), 17 have had remediation works completed (29 June 2025: 17), 21 are currently under review (29 June 2025: 22) and 51 have had remediation issues identified and are at various stages in the remediation process (29 June 2025: 51).

CMA investigation concluded

On 9 July 2025, the UK Competition and Markets Authority ("CMA") announced that Barratt Redrow, along with six other UK housebuilders, had offered voluntary commitments to the CMA as part of its ongoing investigation into the housebuilding sector. Following a period of public consultation, on 30 October 2025 the CMA accepted the voluntary commitments and closed its investigation. The CMA did not make any finding that Barratt Redrow had infringed UK competition law and the commitments offered by Barratt Redrow do not constitute an admission of any wrongdoing. Under the terms of the commitments, Barratt Redrow has, made a payment of £29.0m to the Government, upon which Barratt Redrow has agreed to waive tax deductibility. This payment is part of the total combined £100m payment from the seven housebuilders, will be disbursed to affordable housing programmes across the United Kingdom.

Redrow Pension scheme buyout

The acquisition of Redrow plc included the Redrow Staff Pension Scheme which, in part, comprised a defined benefit pension plan. The Trustees of the Scheme entered into a bulk annuity buy-in contract with the insurer, Standard Life, on 27 January 2023. The buy-in did not change the obligations of Redrow Limited (formerly Redrow plc) in relation to the Scheme but reduced the future funding risk.

On 6 October 2025 the insurer assumed responsibility for the previously bought-in benefits of the Scheme members through a buy-out. This transaction has resulted in the discharge of all Scheme liabilities from the Group and surplus net assets of £3.2m remain in the scheme.

Charitable giving

In FY25, we donated £6.7m (FY24 £6.4m) to charitable causes through the Barratt Redrow Foundation and employee fundraising.

During the first half of FY26, the Foundation donated more than £2m to good causes and has approved £2.6m in multi-year future commitments to charity partners.

The Barratt Redrow Foundation also celebrated its fifth anniversary in January 2026 and, celebrating this milestone, commissioned a short film "5 Lives for 5 Years" which brings to life the real stories of young people whose lives have been transformed through the work of our charity partners. This film can be viewed Celebrating 5 Years of the Barratt Redrow Foundation.

The Foundation's charitable giving programmes are accessible to all Barratt Redrow colleagues creating a wide range of fundraising activities and volunteering opportunities to colleagues throughout the Group's operations.

Board changes

On 5 November 2025 as planned, Jock Lennox, stepped down as a Non-Executive Director and as the Group's Senior Independent Director. Jock joined the Board on 1 July 2016 and became the Senior Independent Director on 4 May 2021. The Board and everyone at Barratt Redrow wish Jock well for the future.

From 5 November 2025 Jasi Halai took over from Jock as Chair of the Audit and Risk Committee and Nicky Dulieu became the Group's Senior Independent Director.

On 13 November 2025, by mutual agreement, Mike Scott stepped down as Chief Financial Officer ('CFO') and as an Executive Director. Mike was available for transitional support until 31 January 2026. The Board would like to thank Mike for his contribution since joining the Group in December 2021 and wish him well for the future. A search and selection process is currently underway with respect to the appointment of a CFO.

Reporting dates

We have a Trading Update scheduled on 15 April 2026. Our FY26 52-week results will be reported to 28 June 2026 with a trading update planned for Wednesday 15 July 2026 and the full results released on Wednesday 16 September 2026.

 

Our financial performance

Reservation performance

Our net private reservation rate was 3.4% lower at 0.57 compared to 0.59^A on a like-for-like aggregated performance basis for Barratt and Redrow in the comparable period. However, our underlying private net reservation rate, excluding private rental sector and other multi-unit sales, was slightly ahead at 0.55 compared to 0.54.

 

	26 weeks ended 28 December 2025	Barratt and Redrow aggregatedA,1 26 weeks ended 29 December 2024	Change %	Barratt Redrow reported 26 weeks ended 29 December 20242
Average net private reservations per active outlet per week
Wholly owned	0.57	0.59	(3.4%)	0.60
- Of which underlying private	0.55	0.54	1.9%	0.54
- Of which PRS and other MUS	0.02	0.05	(60.0%)	0.06
JV	0.89	0.80	11.3%	0.80
Total	0.58	0.60	(3.3%)	0.61
Average active sales outlets
Wholly owned	396	421	(5.9%)	387
JV	9	10	(10.0%)	10
Total	405	431	(6.0%)	397
Private forward sales roll (homes)
29/30 June	4,781	4,505	6.1%	3,386
Redrow acquired order book				1,358
Reservations	5,842	6,496	(10.1%)	6,061
Completions	(5,877)	(5,705)	3.0%	(5,509)
28/29 December	4,746	5,296	(10.4%)	5,296

 

(1)       Barratt and Redrow included from 1 July 2024

(2)       Barratt and Redrow included from 22 August 2024

 

In the 26-week period, we operated from an average of 405 active sales outlets, including JVs, a decrease of 6.0% on the aggregated average of 431 outlets in the comparable period but in line with our guidance at the start of the year. We launched 65 new sales outlets in the period, including JVs, (HY25: 42) and at 28 December 2025 we were operating from 409 active sales outlets including JVs (29 December 2024: 426).

 

Forward order book	28 December 2025		29 December 2024		Change %
	£m	Homes	£m	Homes	£m	Homes
Private	1,895.6	4,746	2,131.3	5,296	(11.1%)	(10.4%)
Affordable	974.5	4,975	735.9	4,384	32.4%	13.5%
Wholly owned	2,870.1	9,721	2,867.2	9,680	0.1%	0.4%
JV	254.7	719	151.2	396	68.5%	81.6%
Total	3,124.8	10,440	3,018.4	10,076	3.5%	3.6%

 

The total value of the order book, including JVs, as at 28 December 2025 increased by 3.5% to £3,124.8m and total forward sales, including JVs, as at 28 December 2025 increased by 3.6% to 10,440 homes (29 December 2024: 10,076 homes). Reflecting the reduction in average sales outlets and the 3.4% reduction in the reported weekly reservation rate, as well as the increased delivery of private home completions in the period, the private order book reduced by 10.4% to 4,746 homes (29 December 2024: 5,296 homes).

Meanwhile, a slightly improved affordable housing sector backdrop through changes announced with the Affordable Homes Programme including its improved 10-year rent settlement (delivering rental growth of CPI+1%), and the slated introduction of rent convergence measures, has provided a welcome improvement to affordable housing demand. This has resulted in a significant improvement in the Group's affordable order book which increased by 32.4% in value terms and 13.5% in volume to 4,975 homes.

 

Home completions

The Group's completion mix by both volume and average sales price (ASP), are detailed in the following table comparing completions and ASPs in HY26 to the aggregated completions and pricing in HY25. Barratt Redrow's reported performance in HY25 is also included for reference.

	26 weeks ended 28 December 2025	Barratt and Redrow aggregated A (1) 26 weeks ended 29 December 2024	Change (%)	26 weeks ended 29 December 2024R (2)
Home completions (units)
Underlying Private	5,378	5,285	1.8%	5,090
PRS	423	272	55.5%	272
Other MUS	76	148	(48.6%)	147
Total private	5,877	5,705	3.0%	5,509
Affordable	1,428	1,130	26.4%	1,065
Wholly owned	7,305	6,835	6.9%	6,574
% Affordable	19.5%	16.5%	300 bps	16.2%
JV	139	272	(48.9%)	272
Total	7,444	7,107	4.7%	6,846
ASP (£'000)
Underlying Private	401.0	380.6	5.4%	378.3
PRS	311.4	282.4	10.3%	282.4
Other MUS	270.1	286.8	(5.8%)	286.9
Total private	392.9	373.5	5.2%	371.1
Affordable	213.2	177.5	20.1%	178.4
Wholly owned	357.8	341.1	4.9%	339.9
JV	413.5	353.9	16.8%	353.9

 

(1)       Barratt and Redrow included from 1 July 2024

(2)       Barratt and Redrow included from 22 August 2024

 

The combined Group delivered a 4.7% increase in total home completions to 7,444, including 139 JV completions relative to the aggregated 7,107 home completions in HY25, including 272 JV completions. The increase in total home completions in the period was made up of a 3.0% increase in total wholly owned private home completions and a more significant 26.4% improvement in affordable home completions, reflecting a recovery from the sharply lower affordable mix in HY25.

The increase in private home completions reflected the strength in our opening forward order book position despite the reduced level of sales outlets across the period, and our deliberate trading position to drive reservations during the more challenging period of uncertainty prior to the Budget in late November 2025. The improvement in affordable completions was in line with our expectations and reflected the stabilised affordable order book entering FY26, an improved funding backdrop for affordable housing providers and our close relationships with several key affordable housing providers for whom we are a partner of choice.

Our underlying private ASP increased by 5.4% to £401.0k (HY25: £380.6k^A and £378.3k^R). We saw broadly flat underlying pricing across the Group (HY25: broadly flat underlying pricing). Geographic mix changes and a larger product mix within Redrow brand completions contributed to the increase in underlying private ASP.

The total private ASP, including PRS and other multi-unit sales, increased by 5.2% to £392.9k (HY25: £373.5k^A and £371.1k^R). The affordable ASP increased by 20.1% to £213.2k (HY25: £177.5k^A and £178.4k^R), a function of greater proportional delivery from London and modest changes in average square footage of completions outside of London.

Reflecting all of the mix movements, the Group's total wholly owned ASP was 4.9% higher on an aggregated comparable basis at £357.8k (HY25: £341.1k^A and £339.9k^R).

 

Financial results

Gross profitability:

The Group delivered gross profit before the impact of PPA adjustments of £394.8m compared to £405.3m on an aggregated basis in HY25. Minimal underlying sales price inflation, increased non-cash incentives and underlying build cost inflation of just over 1.0%, notwithstanding the operational gearing impact of higher home completions in the period, resulted in a gross margin reduction of 200 basis points to 15.0% (HY25: 17.0%^A).

The purchase price allocation impact in the period reduced gross profit by £13.5m (HY25: £50.4m) and an adjusted item gain in relation to legacy building recoveries of £13.4m resulted in statutory gross profit of £394.7m (HY25: £354.9m^A) with a statutory gross margin of 15.0% (HY25:14.9%^A).

Barratt Redrow plc (1)	HY26	HY25 aggregated	Change (%)	HY25 reported
Adjusted gross profit before the impact of PPA adjustments	394.8	405.3	(2.6%)	386.6
Adjusted gross profit before the impact of PPA adjustments margin (%)	15.0%	17.0%	(200) bps	17.0%
PPA adjustment related charges in cost of sales	(13.5)	(50.4)	73.2%	(50.4)
Adjusted items income / (charges)	13.4	-	-	-
Statutory gross profit	394.7	354.9	11.2%	336.2
Statutory gross profit margin (%)	15.0%	14.9%	10 bps	14.7%

 

Our forward sales at the start of the second half incorporated an estimated 0.8% underlying softening in net sales prices, excluding PRS and other multi-unit sales, on the position a year ago. During the first half, underlying build cost inflation recognised through the income statement was estimated at c. 1%. Against a backdrop of continuing supply chain build cost inflation, we now expect underlying build cost inflation, with the benefit of Redrow related procurement synergies, will be towards the upper end of our previous guidance, at c. 2% for FY26.

During the second half of FY26 we anticipate a proportionally higher share of home completions will improve fixed cost absorption supporting adjusted gross profitability. However, there will also be a modest impact on the Group's adjusted and reported performance from the unwinding of purchase price allocation adjustments. These are expected to reduce reported gross profit by between £2m and £3m in the second half.

Operating profitability:

Adjusted administrative expenses before the impact of PPA adjustments in the period were £184.7m (HY25: £195.4m^A) reflecting inflationary increases in payroll and other expenses, as well as the impact of additional employers' National Insurance costs but with the benefit of £23.2m of incremental synergy cost savings unlocked in the period (HY25: £1.4m). Part exchange net income was £0.1m (HY25: £0.9m income) in the period.

We continue to expect underlying administrative expenses for FY26 will be c. £400m including intangible amortisation costs of c. £10m and incremental cost synergies of c. £30m.

Barratt Redrow plc (1)	HY26	HY25 aggregated	Change (%)	HY25 reported
Adjusted gross profit before the impact of PPA adjustments £m	394.8	405.3	(2.6%)	386.6
Adjusted administrative expenses before the impact of PPA adjustments £m	(184.7)	(195.4)	5.5%	(175.7)
Part exchange income £m	0.1	0.9	(88.9%)	0.9
Adjusted operating profit before the impact of PPA adjustments £m	210.2	210.8	(0.3%)	211.8
Adjusted operating profit before the impact of PPA adjustments margin (%)	8.0%	8.9%	(90) bps	9.3%
PPA adjustments recognised in reported operating profit	(13.6)	(50.4)	73.0%	(50.4)
Adjusted operating profit £m	196.6	160.4	22.6%	161.4
Adjusted operating profit margin (%)	7.5%	6.7%	80 bps	7.1%
Adjusted items recognised in reported operating profit	(10.5)	(77.6)	86.5%	(49.9)
Statutory operating profit £m	186.1	82.8	124.8%	111.5
Statutory operating profit margin (%)	7.1%	3.5%	360 bps	4.9%

 

Adjusted operating profit before the impact of PPA adjustments was in line with the comparable period at £210.2m (HY25: £210.8m^A). The adjusted operating profit margin before the impact of PPA adjustments reduced by 90 bps to 8.0% (HY25: 8.9%^A) and reflected several impacts:

·	Completion volumes: the increase in wholly owned completions of 6.9%, or 470 homes, created a 40 bps positive impact;
·	Net inflation / incentives: minimal underlying sales price inflation, increased incentives combined with underlying build cost inflation of c.1%, produced a 90 bps negative impact;
·	Completed developments provision: modest changes to this provision in the year created a 40 bps negative margin impact;
·	Synergies: the annualisation of synergies delivered in the second half of FY25 as well as additional synergies unlocked in the period delivered a 90 bps positive margin impact;
·	Administrative expenses and part exchange: Underlying inflation with respect to our administrative expenses and the decline in part exchange income resulted in a 50 bps negative margin impact; and finally,
·	Mix and other items: other items created a 40 bps negative impact.

We absorbed reduced PPA adjustment charges of £13.6m (HY25: £50.4m^R). The adjusted operating profit after the impact of PPA adjustments was £196.6m (HY25: 160.4m^A) and the adjusted operating profit margin improved to 7.5% (HY25: 6.7%^A).

The Group incurred net adjusted items charges of £10.5m (HY25: £77.6m^A and £49.9m^R) in arriving at statutory operating profits. Adjusted item charges in the period recognised further restructuring costs to realise synergies from the Redrow acquisition of £18.1m (HY25: £14.4^R), legal costs incurred in relation to recoveries with respect to legacy properties of £5.8m (HY25: nil), as well as adjusted item income of £13.4m relating to legacy property recoveries from third parties, recognised in cost of sales (HY25: nil).

Looking forward, we now expect to deliver c. £50m of total incremental cost synergies through our income statement in FY26 with the target of £100m being achieved by the end of HY28.

Profit before tax:

The Group incurred £12.4m of finance charges excluding adjusted items (HY25: £11.9m^R and £12.2m^A of finance income) following the reclassification of finance charges in respect of legacy property provision discounting.

The change in finance charges reflected a reduction in the Group's average net cash position, as well as an increased charge in relation to land creditors, where new land creditor imputed interest costs are significantly higher than land creditors being settled. The finance charge excluding adjusted items consisted of £6.8m of net cash finance income and non-cash related charges of £19.2m (HY25: £17.7m^A of net cash finance income and £5.5m^A of non-cash charges).

We now anticipate FY26 net finance costs, excluding adjusted item finance charges relating to legacy property provisions, will be c. £30m, ‎comprising c. £5m of net cash finance income and c. £35m of non-cash finance charges.

In the period the Group's share of JV profit was £2.1m (HY25: £8.4m^R) with JV completion timing impacting JV profitability in the period. As a result, profit before tax before the impact of PPA adjustments was £199.9m (HY25: restated £232.1m^R and £231.4m^A) as detailed in the following table.

Barratt Redrow plc (1)	HY26	HY25 aggregated	Change (%)	HY25 reported
Adjusted operating profit before the impact of PPA adjustments £m	210.2	210.8	(0.3%)	211.8
Adjusted finance (charges) / income £m	(12.4)	12.2	(201.6%)	11.9
JV income £m	2.1	8.4	(75.0%)	8.4
Adjusted profit before tax and the impact of PPA adjustments £m	199.9	231.4	(13.6%)	232.1
PPA adjustment charges recognised in adjusted profit before tax £m	(13.6)	(50.4)	73.0%	(50.4)
Adjusted profit before tax £m	186.3	181.0	2.9%	181.7
Adjusted item charges recognised in operating profit £m	(10.5)	(77.6)	86.5%	(49.9)
Adjusted item charges recognised in finance costs £m	(19.6)	(18.4)	(6.5%)	(18.4)
Statutory profit before tax £m	156.2	85.0	83.8%	113.4

 

The total adjusted impact of purchase price allocation charges was £13.6m (HY25: £50.4m^A) which resulted in adjusted profit before tax of £186.3m (HY25: restated £181.7m^R and £181.0m^A).

After deducting adjusted item charges recognised in statutory operating profit of £10.5m (HY25: £77.6m^A) and an adjusted item finance charge of £19.6m (HY25: £18.4m), with the increased charge due to the increased legacy property provisions recognised at the start of FY26, statutory profit before tax was £156.2m, an increase of 37.7% on the restated £113.4m reported by Barratt Redrow in HY25 and 83.8% ahead of the aggregated profit before tax in HY25.

The adjusted item finance charge relating to legacy property provisions for FY26 is currently expected to be c. £32m.

The Group recognised £53.6m of total tax charges (HY25: restated £40.4m) at an effective rate of 34.3% (HY25: restated 35.6%). The tax charge applicable to adjusted profit before tax before the impact of PPA adjustments was £57.7m at an underlying tax rate of 28.9%.

Adjusted earnings per share before the impact of PPA adjustments reduced by 21.9% to 10.0p (HY25: restated 12.8 pence per share) reflecting both the decline in profitability and an 8.9% increase in the average shares in issue, recognising both shares issued with respect to the Redrow acquisition for the full 26-week period, as well as share buyback activity in the period.

Adjusted basic earnings per share reduced by 7.9% to 9.3 pence per share (HY25: restated 10.1 pence^R per share).

The anticipated tax rate for FY26 remains at 29% on adjusted profit before tax, reflecting both the rates of corporation tax at 25% on profitability after finance costs and RPDT at 4% on profits before finance costs.

Basic earnings per share increased by 28.6% to 7.2 pence per share (HY25: restated 5.6 pence per share).

Maintaining a strong balance sheet

We continue to maintain an appropriate capital structure reflecting our disciplined operating framework to ensure our balance sheet strength and resilience are maintained through the cycle.

The net cash balance of £173.9m (29 December 2024: £458.9m), including cash and cash equivalents of £373.9m (29 December 2024: £655.3m), reflected the resilience of underlying operating cash generation, notwithstanding:

·	A £475.0m increase in working capital in the period (HY25: £480.6mR restated increase) which encompassed:

-       A £339.9m underlying increase in inventories on the balance sheet, which included:

§	An increase in land investment carried of £20.5m;
§	An increase in construction work in progress of £231.7m; and
§	An increase in part-exchange properties held of £74.7m

-       A decrease in land creditors of £42.2m;

-       A reduction in trade and other payables, excluding land creditors, of £64.9m;

-       A decrease in receivables of £39.3m (HY25: £70.5m^R underlying decrease); and

-       Legacy property building safety remediation spend of £77.8m (HY25: £46.5m^R).

 

In addition, during the period, net cash was impacted by:

·	The payment of the final FY25 dividend of £171.8m (HY25: £170.5m FY24 final dividend);
·	Tax payments of £50.9m (HY25: £75.6m); and,
·	Share buyback purchases of £50.4m (HY25: nil).

 

We anticipate financial year end net cash of between £400m and £500m with increased build activity in the second half, offset by a greater proportion of completions. Our construction activity will continue to be carefully managed to align with reservation activity, but we will see a continuing impact from up-front construction work in progress invested to bring through the incremental growth in sales outlets planned in FY27 and FY28.

The increased pace of land buying activity has seen land creditors move higher year on year although land creditor funding remains below our operating framework range and land creditors have reduced since 29 June 2025.

At 28 December 2025 land creditors totalled £767.2m (29 December 2024: £594.6m) and equated to 15.0% (29 December 2024: 12.1%) of the owned land bank. Land creditors falling due within the next 12 months totalled £315.3m at 28 December 2025 (29 December 2024: £401.0m).

After deducting land creditor obligations from our net cash balance, we recorded a total net indebtedness of £593.3m at 28 December 2025 (29 December 2024: net indebtedness of £135.7m).

 

Capital structure and operating framework

Our revised operating framework and movements over the last 52-week period is shown below:

	Operating framework	Barratt Redrow Position at 28 December 2025	Barratt Redrow reported Position at 29 December 2024
Land bankA	c. 3.5 years owned and c. 1.0 year controlled	5.0 years owned and 0.6 years controlled	5.0 years owned and 0.6 years controlled
Land creditors	Target 20 - 25% of the land bank over medium term	15.0%	12.1%
Net cash	Modest average net cash over the financial year	£248.2m over the 26 weeks ended 28 December 2025	£605.9m over the 26 weeks ended 29 December 2024
	Period end net cash	£173.9m net cash	£458.9m net cash
Total indebtedness (net cash and land creditors)	Minimal year end total indebtedness in the medium term	Total net indebtedness of £593.3m	Total net indebtedness of £135.7m
Treasury	Appropriate financing facilities	£700m RCF expiring November 2029 £200m USPP maturing 2027	£700m RCF expiring November 2029 £200m USPP maturing 2027
Shareholder returns	Ordinary dividend cover of 2.0x from FY26	FY26 proposed interim dividend of 5.0p based on 2.0x cover   Share buyback of £50m in H2 FY26	FY25 proposed interim dividend of 5.5p based on 1.75x cover   Share buyback of £50m in H2 FY25

(A) Land supply is calculated as total owned (owned land and land subject to unconditional contracts) and controlled (land subject to conditional contracts) land bank plots divided by wholly owned completions in the last 52 weeks.

 

Net tangible assets were £6,183.0m and 433.4 pence per share at 28 December 2025, (29 December 2024: restated £6,290.9m and 433.6 pence per share) of which land (net of land creditors) and work in progress totalled £7,568.9m and 530.6 pence per share (29 December 2024: restated £7,550.8m and 520.4 pence per share).

Land and planning

Throughout the period we maintained our selective approach to investment in land and approved 15 new sites (HY25: net approval of 45^R sites). The approved sites added 1,545 plots, (HY25: 7,727) at a cost of £119.2m (HY25: £471.8m) equivalent to an average approved site size of 103 plots (HY25: 172 plots) and an average plot cost of £77.2k (HY25: £61.1k).

We now expect to approve between 10,000 and 12,000 plots in FY26 rather than replace all plots utilised in the year, a reflection of our strong land bank position and internal actions to optimise our existing land bank portfolio.

We invested £472.5m (HY25: £395.6m^R) on land acquisitions and the settlement of land creditors during the period and we continue to expect to invest between £800m and £900m in land and land creditor settlement in FY26, broadly in line with the £862.5m^R invested by Barratt Redrow in FY25.

Our land bank comprised of 5.0 years of owned land (29 December 2024: 5.0 years^R) and 0.6 years of controlled land at 28 December 2025 (29 December 2024: 0.6 years^R). In the medium term we however continue to target a geographically balanced land portfolio with a supply of owned land of c. 3.5 years and a further c. 1.0 year of controlled land.

The composition and planning status of our land bank at 28 December 2025, 29 June 2025 and 29 December 2024 are detailed in the following table:

Our land bank	28 December 2025	29 June 2025	29 December 2024R
Plots with detailed planning consent	58,544	59,645	57,653
Plots with outline planning consent	23,786	24,072	18,040
Plots with resolution to grant and other	1,370	3,994	7,943
Owned and unconditional land bank (plots)	83,700	87,711	83,636
Conditionally contracted land bank (plots)	10,521	12,293	10,586
Total owned and controlled land bank (plots)	94,221	100,004	94,222
Number of years' owned supplyX	5.0	5.4	5.0
Number of years' controlled supplyX	0.6	0.8	0.6
Total land bank years (exc. JVs)X	5.6	6.2	5.6
JVs owned and controlled land bank (plots)	13,573	8,651	4,359
Total land bank including JVs (plots)	107,794	108,655	98,581
Strategic land bank (plots)	148,005	145,043	148,157
Promotional land bank (plots)	118,407	113,940	105,344
Land bank carrying value	£5,125.4m	£5,104.9m	£4,905.1m

 

(X) Land supply is calculated as total owned (owned land and land subject to unconditional contracts) and controlled (land subject to conditional contracts) land bank plots divided by wholly owned completions in the last 12 months.

 

At 28 December 2025, the current estimated average selling price of plots in our owned land bank was £365,000 (29 December 2024: £352,000; 29 June 2025: £366,000) and the estimated gross margin in our owned land bank, based on the current average selling price and estimated current build costs, was 18.9% at 28 December 2025 (29 December 2024: 18.3%; 29 June 2025: 19.2%).

Barratt Redrow delivered 1,290 (HY25: 1,432^R) completions from strategically sourced land in the period, and we converted 503 (HY25: 1,904^R) plots of strategic land into our owned and controlled land bank. In the medium term we continue to target c. 30% of completions from strategic land.

Share buyback programme

During HY26 we completed the first tranche of the £100m annual share buyback programme with the purchase of 13.2m shares at an average share price of 379 pence at a total cost of £50.4m (including fees). The Group subsequently announced the commencement of the second tranche on 5 January 2026, with £50m expected to be used for share buyback activity from 5 January 2026 through to 26 June 2026.

Interim ordinary dividend

We have declared an interim dividend of 5.0 pence per share (HY25: 5.5 pence per share^R). The interim dividend will be paid on Friday 15 May 2026 to all shareholders on the register on Tuesday 7 April 2026. A Dividend Reinvestment Plan ("DRIP") is provided by Equiniti Financial Services Limited. The DRIP enables the Company's shareholders to elect to have their cash dividend payments used to purchase the Company's shares. Shareholders who wish to elect for the DRIP should do so by 23 April 2026.

More information can be found at: www.shareview.co.uk/info/drip.

In line with our revised dividend policy, we intend to declare an ordinary dividend equating to cover of 2.0 times adjusted earnings per share, excluding the impact of acquisition fair value adjustments in FY26.

FY26 guidance

Looking to the balance of the current financial year our guidance is summarised in the following table. Where guidance has been amended this is highlighted, and previous guidance is included in italics.

Total home completions	c. 17,200 - 17,800 total home completions, including c. 600 JV completions
Private: affordable mix	Affordable mix expected to be c. 20%
Average sales outlet movement	Broadly flat on FY25
Build cost inflation	c. 2% including estimated procurement-based synergies 1% - 2% including estimated procurement-based synergies
Adjusted administrative expenses	c. £400m (including amortisation of intangible assets of c. £10m and incremental synergies of c. £30m)
Synergy savings	Incremental c. £50m within adjusted profit before tax (£70m cumulative) Incremental c. £45m within adjusted profit before tax (£65m cumulative)
Interest cost	c. £30m interest charge for the year (c. £5m cash credit, c. £35m non-cash charges)  c. £50m interest charge for the year (c. £5m cash credit, c. £55m non-cash charges including legacy property provision finance charge)
Legacy property provision finance charge	c. £32m finance charge recognised as a finance charge adjusted item
PPA impacts on adjusted profit before tax	c. £16m charge c. £20m charge
Land approvals	Expect to approve between 10,000 and 12,000 plots in the year Expect to replace plots utilised in the year
Land cash spend	c. £800m - £900m
Land creditors	15% - 16%
Building Safety cash spend	c. £250m
Year end net cash	c. £400m - £500m
Taxation	Tax rate on adjusted earnings anticipated at 29% reflecting current 25% corporation tax rate and 4% RPDT.
Ordinary dividend cover	2.0x ordinary dividend cover based on adjusted EPS before the impact of PPA adjustments.

 

Current trading and outlook

We have had a solid start to our second half. In the five-week period from 29 December 2025 to 1 February 2026 Barratt Redrow has secured 233 net private reservations per week (2025: 248) and we have operated from an average of 398 outlets (2025: 414). This has resulted in a net private reservation rate per active outlet per week of 0.59 (2025: 0.60) with no contribution from private rental sector and other multi-unit sales in either period.

Our total forward sales³ at 1 February 2026 were 11,168 homes (2 February 2025: 10,903) at a value of £3,407.8m (2 February 2025: £3,350.3m). With our private order book 11.2% below the position in 2025, we are now 81%⁷ forward sold with respect to private wholly owned home completions for FY26 (FY25: 86%).

The composition of our forward sales on 1 February 2026 and the order book movement since 28 December 2025 are included in the following tables, along with the performance of Barratt Redrow in the comparable period in early 2025:

	1 February 2026		2 February 2025		Variance %
	£m	Homes	£m	Homes	£m	Homes
Private	2,168.9	5,438	2,459.0	6,126	(11.8%)	(11.2%)
Affordable	978.9	4,994	733.2	4,365	33.5%	14.4%
Wholly owned	3,147.8	10,432	3,192.2	10,491	(1.4%)	(0.6%)
JV	260.0	736	158.1	412	64.5%	78.6%
Total	3,407.8	11,168	3,350.3	10,903	1.7%	2.4%

 

 

	Current Year		Prior Year		Variance %
	Private	Total3	Private	Total3	Private	Total3
28 / 29 December	4,746	10,440	5,296	10,076	(10.4%)	3.6%
Reservations	1,160	1,257	1,237	1,295	(6.2%)	(2.9%)
Completions	(468)	(529)	(407)	(468)	15.0%	13.0%
1 Feb / 2 Feb	5,438	11,168	6,126	10,903	(11.2%)	2.4%

 

The out-turn for FY26 remains dependent on sales activity through the Spring selling season, as well as any impacts from both the Spring statement and political uncertainty or volatility created by the local elections in May. Based on our forward sold position and solid reservation activity, we continue to expect to deliver total home completions of between 17,200 to 17,800 in FY26 (including c. 600 JV completions), in line with previous guidance.

Full year adjusted profit before tax and the impact of PPA adjustments, but after the reclassification of legacy building safety provision finance charges, is expected to be within the current range of consensus estimates⁴.

Whilst we remain encouraged by the Government's focus on housebuilding and its planning system reforms, accelerating delivery will also require action to support demand, which will ultimately drive housebuilding recovery and create the homes, jobs and economic growth the country needs. It is vital that Government policy is focused on creating a positive, stable and predictable environment for both institutional and private homebuyers, as well as homebuilders and our supply chain partners.

We remain focused on the key operational drivers of increasing revenue, controlling costs, maintaining land investment discipline and leading the industry on customer service, build quality and sustainability.

With the Redrow acquisition now substantially integrated, Barratt Redrow is focused on disciplined execution and delivering its medium-term ambitions which include growing total home completions to 22,000 annually. We have embedded our proven operating model across the enlarged group, creating a more resilient business with improved efficiency and a stronger platform to enhance operating profitability and returns through the cycle.

Supported by three leading brands, a strong land bank, a robust balance sheet and solid forward sales, we are well positioned to unlock the full strength of the combined business as we progress through the remainder of FY26 and beyond.

 

 

 

David Thomas

Chief Executive

10 February 2026

 

 

 

 

Notes:

(1) In addition to the Group using a variety of statutory performance measures, alternative performance measures (APMs) are also used. Definitions of APMs and reconciliations to the equivalent statutory measures are detailed in the Glossary and Definitions. During HY26, the Group has reconsidered the presentation of legacy property provision finance charges. These are now presented as an adjusted item. This change has resulted in an increase in adjusted profit before tax in the period of £19.6m. The HY25 comparatives have been restated with an impact of £18.4m, of which £17.1m relates to previously reported legacy property finance costs and £1.3m relates to an additional PPA adjustment reflecting completion of the fair value position with respect to Redrow plc. These adjustments apply to reported and aggregated results. The Group continues to include APMs which allow for the assessment of the performance of the combined Group, before the impact of PPA adjustments. Measures before PPA adjustments are presented as if the assets and liabilities recognised, as a result of the acquisition of Redrow plc, had been initially measured at their carrying values in the underlying Redrow financial records, rather than at their fair values in accordance with IFRS. Net cash definition is included in Note 12.

 

(2) Synergies: Integrating the Barratt David Wilson and Redrow housebuilding operations results in cost reductions in three main areas:

(1) Optimisation of the divisional office structure, reducing the number of divisions from 41 to 32;

(2) Consolidation of central and support functions, including Board, senior management, compliance and third-party costs; and

(3) Harmonisation of purchasing terms and additional rebates related to volume for the enlarged business, focused primarily on direct materials purchases.

(R) Reported denotes a Barratt Redrow plc reported metric based on the reported performance of the Barratt Redrow plc in the comparable reporting period, with metrics for the 26 weeks to 29 December 2024 restated for the final assessment of the fair values of assets and liabilities recognised through the acquisition of Redrow, as detailed above.

(A) Aggregated denotes an aggregated metric based on the reported performance of Barratt Redrow plc in the comparable reporting period from 1 July 2024 to 29 December 2024 including the performance of the legacy Redrow plc group ("Redrow Group") 1 July 2024 to 21 August 2024, the period prior to acquisition, to provide comparability on operational and financial performance.

Redrow Group data for the period 1 July 2024 to 21 August 2024 is based on Redrow plc's standalone accounting policies and therefore excludes any impact of policy alignments made since the acquisition. The impact of policy alignment is not material. Aggregated adjusted measures are also presented, prepared on the same basis. The aggregated value comparatives have not been audited or reviewed by Barratt Redrow plc's auditors. No adjustments relating to legacy property provision finance charges have been made to Redrow plc's standalone results included in the aggregated comparative for the period 1 July 2024 to 21 August 2024.

(3) Including JVs in which the Group has an interest.

(4) The company compiled consensus range for FY26 adjusted profit before tax on 10 February 2026 was £558m to £617m excluding the impact of purchase price allocation adjustments. This range does not reflect the Group's reclassification of legacy property provision non-cash finance charges as an adjusted item finance charge.

(5) Based on EPC registrations to 30 September 2025.

(6) Measured by the NHBC amongst the 14 major housebuilders constructing more than 1,000 homes annually.

(7) Based on mid-point of FY26 total home completion guidance after deducting 600 JV home completions and assuming c. 20% affordable home completions.

 

Principal risks and uncertainties

In pursuing our strategic priorities to create value for stakeholders, we are exposed to risk in many areas of our business that continually evolve. Managing our risks responsibly is key to delivering our strategy in a way that creates value for our customers, shareholders, employees and partners.

Risk management controls are integrated into all levels of our business and across all operations, including at site, divisional, regional and Group level. The Board and Executive set a clear tone at the top regarding the importance of risk management controls and have set out clear responsibilities as part of our enterprise risk management policies.

Reputational risk could potentially arise from a number of sources including external and internal influences relating to the housebuilding sector that, when combined or over a period of time, could create a new principal risk. The Group actively manages the impact of reputational risk by carefully assessing the potential impact of all the principal risks and implementing mitigation actions to minimise those risks. Reputational risk is therefore covered by the management of each of our individual risks and is not presented as a principal risk in its own right.

The Board has completed its assessment of the Group's principal and emerging risks, including those that could threaten its business model, future performance, solvency or liquidity. The Directors do not consider the process of risk management and the principal risks and uncertainties to have changed since the publication of the Annual Report and Accounts for the year ended 29 June 2025.

The current risk profile is within our tolerance range as the Group is willing to accept a moderate level of operational risk to deliver financial returns.

Further details of the Group's principal risks and mitigation of the risks outlined below can be found on pages 68 to 73 of the Annual Report and Accounts for the year ended 29 June 2025, which is available at www.barrattredrow.co.uk.

Principal risks

Political and economic environment

Significant changes in the UK macroeconomic environment, major geopolitical events, or unpredictable unforeseen events may lead to falling demand, tightened mortgage availability, lack of funding for housing associations, reduced new build demand due to increased demand in the second-hand property market, or reduced purchaser liquidity, especially in the first‑time buyer market. These events can cause rapid, severe and prolonged market disruptions beyond normal cyclical patterns. The resultant decline in affordability for both private and rental customers could lead to reduced sales volumes, diminished profitability, and in severe scenarios operational continuity, potentially compromising the Company's ability to deliver planned developments and meet strategic objectives.

Land and planning

Lack of developable land due to delays in planning approval, failure of a clear and consistent Government policy or insufficient consented land and strategic land options at appropriate cost and quality could affect our ability to grow sales volumes and/or meet our margin and site ROCE hurdle rates.

Government regulation

The housebuilding industry is subject to increasingly complex legislation and regulations, Government intervention and policy changes, for example building regulation, legal, NHQC, CMA and environmental regulation. Deviation from current regulations or failure to implement the required changes effectively within our processes could lead to financial penalties, damage to the Group's reputation or increased costs due to inefficient processes.

Construction quality and innovation

Failure to achieve excellence in housebuilding construction and product quality, through insufficient quality assurance programmes or inability to develop, evaluate and implement new and innovative construction methods or be a market leader with changes in technology advancement, could increase costs, expose the Group to future remediation liabilities, and result in poor product quality and reputational damage.

Highrise and complex structures

Failure to build high‑rise and complex structures in line with building regulations, or remediate existing legacy quality issues effectively, could result in remediation delays, reputational damage, increased cash outflow or future remediation liabilities.

Supply chain resilience

Not adequately responding to shortages or increased costs of materials and skilled labour, or the failure of a key supplier in the current economic environment, may lead to increased costs and delays in construction.

 

 

Safety, health and environment

Health, safety or environmental incidents or compliance breaches that fail to protect or adversely impact employees, subcontractors, customers and site visitors, undermining our responsibilities and objectives to be a safe and responsible business for all of our stakeholders, all of the time.

Attracting and retaining high-calibre employees

Increasing competition for skills may mean we are unable to recruit/retain the best people. Having sufficient skilled employees is critical to delivery of the Group's strategy of volume growth whilst maintaining excellence in our other strategic priorities.

Cybersecurity

A successful cyberattack breaching any of the Group's key systems, particularly those for financial and customer information or surveying and valuation, could restrict operations, cause financial losses, regulatory fines and reputational damage or disrupt progress in delivering strategic priorities.

Redrow integration

Without careful management, there is a risk that our objectives to maximise shareholder value by successfully integrating the two businesses to generate revenue growth opportunities, and achieve operational and cost synergies, are not achieved.

Condensed Consolidated Income Statement and Statement of Comprehensive Income

for the 26 weeks ended 28 December 2025 (unaudited)

 

Continuing operations	Notes	26 weeks ended     28 December 2025   £m	26 weeks ended     29 December 20241   £m	52 weeks ended        29 June  2025 (audited) £m
Revenue	2	2,632.1	2,280.8	5,578.3
Cost of sales	3	(2,237.4)	(1,944.6)	(4,793.5)
Gross profit		394.7	336.2	784.8
Administrative expenses	3	(208.7)	(225.6)	(503.2)
Part-exchange income		254.3	178.2	402.5
Part-exchange expenses		(254.2)	(177.3)	(398.6)
Operating profit	3	186.1	111.5	285.5
Finance income	5	12.6	22.7	35.6
Finance costs	5	(44.6)	(29.2)	(64.6)
Net finance costs	5	(32.0)	(6.5)	(29.0)
Share of post-tax profit from joint ventures		2.1	8.4	17.2
Profit before tax		156.2	113.4	273.7
Tax	6	(53.6)	(40.4)	(87.3)
Profit for the period, all of which is attributable to the owners of the Company		102.6	73.0	186.4
Other comprehensive income/(expense)
Items that will not be reclassified to profit and loss:
Remeasurement of employment benefit obligations and assets		0.9	-	(0.7)
Tax on remeasurements		(0.3)	-	0.2
Other comprehensive income/(expense) for the period		0.6	-	(0.5)
Total comprehensive income for the period all of which is attributable to the owners of the Company		103.2	73.0	185.9
Earnings per share from continuing operations:
Basic	7	7.2p	5.6p	13.6p
Diluted	7	7.1p	5.5p	13.3p

(1)  The Income Statement for the 26 weeks ended 29 December 2024 has been retrospectively adjusted to reflect the finalisation of the fair values of assets and liabilities on the acquisition of Redrow plc which were provisionally determined as at 29 December 2024 and finalised at 29 June 2025 and the consequent impact on the income statement, as required under IFRS 3. See note 9 for further information.

 

Notes 1 to 18 form an integral part of these Condensed Consolidated Interim Financial Statements.

 

Adjusted items:	Gross profit			Operating profit			Net finance costs			Profit before tax
See note 4 for further details	26 weeks ended 28 December 2025   £m	26 weeks ended 29 December 20241   £m	52 weeks ended 29 June 2025   £m	26 weeks ended 28 December 2025   £m	26 weeks ended 29 December 20241   £m	52 weeks ended 29 June 2025   £m	26 weeks ended 28 December 2025   £m	26 weeks ended 29 December 20242   £m	52 weeks ended 29 June 20252   £m	26 weeks ended 28 December 2025   £m	26 weeks ended 29 December 20241,2   £m	52 weeks ended 29 June 20252   £m
Reported profit	394.7	336.2	784.8	186.1	111.5	285.5	(32.0)	(6.5)	(29.0)	156.2	113.4	273.7
Cost associated with legacy properties	-	-	106.2	-	-	106.2	-	-	-	-	-	106.2
Legacy property recoveries	(13.4)	-	(15.8)	(13.4)	-	(15.8)	-	-	-	(13.4)	-	(15.8)
Costs incurred in respect of the acquisition of Redrow plc	-	-	-	-	35.5	36.2	-	-	-	-	35.5	36.2
Reorganisation and restructuring costs	-	-	-	18.1	14.4	56.8	-	-	-	18.1	14.4	56.8
CMA commitment	-	-	-	-	-	29.0	-	-	-	-	-	29.0
Legal fees	-	-	-	5.8	-	2.2	-	-	-	5.8	-	2.2
Imputed interest in respect of legacy properties2	-	-	-	-	-	-	19.6	18.4	33.6	19.6	18.4	33.6
Adjusted profit	381.3	336.2	875.2	196.6	161.4	500.1	(12.4)	11.9	4.6	186.3	181.7	521.9

(1)  The reported profit and adjusted profit for the 26 weeks ended 29 December 2024 have been retrospectively adjusted to reflect the finalisation of the fair values of assets and liabilities on the acquisition of Redrow plc which were provisionally determined as at 29 December 2024 and finalised at 29 June 2025 and the consequent impact on the income statement, as required under IFRS 3. See note 9 for further information.

(2)  The adjusted profit for the 26 weeks ended 29 December 2024 and 52 weeks ended 29 June 2025 have been re-presented to show imputed interest in respect of legacy properties as an adjusted item. See note 4 for further information.

 

 

Condensed Consolidated Statement of Changes in Shareholders' Equity (unaudited)