Taylor Wimpey (TW) H2 2024 earnings summary

Executive summary

• Delivered strong 2024 results, meeting guidance with a net private sales rate of 0.75 per outlet per week, up from 0.62 in 2023, and group completions (including JVs) of 10,593 units, despite a lower starting order book and mixed market conditions.

• Achieved highest-ever construction quality and customer satisfaction scores.

• Maintained reliable dividend payouts, with a 2024 dividend per share of 9.59p and a final ordinary dividend of 4.66p to be paid in May 2025, subject to approval.

• Entered 2025 with a significantly improved order book of £1,995m (7,312 homes), positioning for growth.

Financial highlights

• Group revenue for 2024 was £3,401.2m, down 3.2% year-over-year.

• Operating profit before exceptionals was £416.2m, with exceptional items totaling £98.2m, mainly due to an £88m fire safety provision and a £14m JV exit charge.

• U.K. completions totaled 9,972, near the upper end of guidance.

• Blended average selling price was £319,000, with a 3.8% reduction in private pricing due to mix and some deflation.

• Net cash at year-end was £564.8m, despite increased land and WIP investment.

Outlook and guidance

• 2025 U.K. completions (excluding JVs) guided at 10,400–10,800, up 4–8% year-over-year, with about 45% in H1.

• Group operating profit expected to align with consensus of £444m; net finance charges to shift to a £20m expense in 2025.

• Order book as of late February 2025 stands at 8,021 homes, up from 7,402 a year earlier.

• Blended average selling price in H1 2025 expected to rise to around £330,000.

• Market remains underpinned by strong demand, stable mortgage rates, and population growth.