Housebuilder Vistry (VTY) confirmed its full-year profit guidance despite flat revenue and housing completions.
For the 12 months to the end of March 2026, the firm expects pre-tax profit of £270 million, slightly up on last year. Revenue is expected to be flat at £4 billion while completions are seen at 15,700, down around 9% on March 2025
However, the market took the update badly sending the shares down over 7% after their recent rally.
| Share price: 629.5p -7.7% | P/E: 11.2x |
| Market Cap: £2bn | Yield: n/a |
TRUSTED PARTNER
Vistry operates a different model to most homebuilders as around 75% of sales are ‘partner funded’ not private sales.
The firm partners with local authorities, registered providers and the private rental sector to develop ‘communities’. This protects it to an extent from the vagaries of the open market, although pre-Budget uncertainty delayed some partner deals.
Reinforcing its position, the firm was awarded £50 million of Homes England grant funding. Moreover, it expects to have a key role in the government’s 2026-2036 Social and Affordable Homes Programme (SAHP).
Like Persimmon (PSN) yesterday, Vistry is making positive noises but we’re not convinced now is the time to buy housebuilders.
The firm operates a different model to most developers meaning it’s not that useful a benchmark when analysing the market.
Meanwhile, bidding for work under the SAHP starts now and the firm is hopeful allocations will begin in the second half. With £4 billion of forward sales, and some contribution from the SAHP, it should at least deliver on its 2026/27 targets.
Read the press release here: https://www.vistry.co.uk/investors/
Read related news here: https://sharesify.com/persimmon-raises-2025-earnings-forecast/
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