Our clear strategy has delivered growth and a number of outstanding projects over the last year. We have maintained existing relationships and developed new ones, and refined our housebuilding capabilities so that we continue to compete with other housebuilders. However, we have still retained the essence of what makes us uniquely Inland.

Description

Purchases range from sites ready for immediate development, to tactical acquisitions of sites which open up the potential of neighbouring land, to areas which will become key housebuilding terrain in the future. All of these purchases are funded by our careful financial strategy, which balances loan finance, joint venture funding and equity released from operations.

Progress over past year

  • The size of the land bank has still increased since last year end despite the sale of 837 plots and 275 homes during the year. The Board also made the decision not to purchase any significant new sites due to the number of plots being processed through the planning system by the Group.
  • Planning permission or resolution to grant planning permission was obtained on 594 plots during the year.

Focus for the future

Continue to secure more planning consents and acquire sites with excellent potential to add value.

Connected KPI

  • Undiluted EPRA net asset value per share
  • Net gearing
  • Number of plots with or without planning consent
  • Total residential plots sold
  • Planning permissions gained during the year

Description

Having proved our credentials as a quality housebuilder with award-winning developments such as Meridian Waterside in Southampton and Carter's Quay in Poole, we continue to build momentum and develop our quality portfolio. Our housebuilding capabilities have bolstered our reputation and attracted some substantial transactions; for example the project in Chapel Riverside, Southampton. It has also led to significant Partnership Housing deals with Housing Associations such as Church Road, Ashford with A2 Dominion.

Progress over past year

  • Further investment in staff to increase the capacity and level of construction expertise within the Group.
  • We have 682 residential units under construction across 13 sites including 117 within joint ventures.
  • Residential sales increased by 46% in the year to 275 homes.
  • Partnership Housing equivalent units increased by 114% in the year to 79 homes.

Focus for the future

Our Private and Partnership Housing developments are expected to increase in number.

Connected KPI

  • Revenue
  • Profit before tax
  • Total residential units sold
  • Planning permissions gained during the year

Description

As our planning team adds value to land through securing planning permissions, we are able to make attractive short term returns through land sales to developers and Housing Associations. In this strong housebuilding climate there is high demand for quality land, which means that we are well poised to take advantage of this and generate strong revenue streams and cash flow to fund our land buying and development programme.

Progress over past year

  • 797 plots with planning permission and 40 plots without planning permission were sold during the year generating revenue of £59.3m.
  • 1,708 plots with planning permission in land bank.

Focus for the future

Selective disposal of sites to other developers and Housing Associations

Connected KPI

  • Revenue
  • Profit before tax
  • Undiluted EPRA net asset value per share
  • Net gearing
  • Number of plots with or without planning consent
  • Total residential plots sold
  • Planning permissions gained during the year

Description

Our varied range of financing options gives us flexibility. Our business plan includes the sale of consented land, which we can tailor to our cash flow requirements as well as forward sales of homes and construction contracts in hand that provide consistent cashflow. Additionally, we have a bank of properties, which are providing a steady stream of rental income and cash that provides a contribution towards our overheads.

Progress over past year

  • EPRA net gearing at 38.6%
  • Cash balances of £40.4m
  • Gross borrowings of £120.1m.

Focus for the future

The Group has set a target to maintain its EPRA net gearing below 40%.

Connected KPI

  • Profit before tax
  • Net gearing