Bovis shares are down after it admitted housebuilding slowed at the end of this year
Shares in Bovis fell this morning, after it admitted it completed on fewer homes than expected at the end of this year.
Shares were down 4.9 per cent at 814.5p in early trading, after the housebuilder said it expected volume delivery for 2016 to be lower than previously expected, at between 3,950 and 4,000 homes, with 180 completions deferred into early 2017.
It added it expects land sales to generate revenues of £30m this year, down from £26m last year, while profits will fall to £7m, from £7.8m last year.
However, it said average prices in 2016 were 10 per cent higher than last year.
That will put profits before tax in a range of £160m to £170m for the year, from £160.1m in 2015.
Brexit blip
In November the company said it was on track to meet expectations, despite uncertainty following the EU referendum.
Housebuilders were hit hard in the days and weeks following the vote, with shares in some of the UK's largest firms falling as much as a third.
Experts have suggested house prices will fall when Article 50 is triggered next year, with research by analysts at Liberum suggesting prices will fall as much as 2.5 per cent.
Today Bovis said it has been "disciplined" in its land investment during the year, focusing on high-quality consented land outside the capital.
It added it was confident of delivering its final dividend of the year.