Homebuilder Glenveagh Properties has reported a fall in full year revenues for 2023 as its profits edged higher after it included a first time contribution from its Partnerships business segment.
In a trading update for the 12 months to the end of December, Glenveagh said its revenues slipped by 6% to €608m from €645m in 2022, while its operating profit was about €71m, up from €70m.
The company noted that excluding the 2022 disposal of the East Road site for approximately €63m, that did not recur in FY 2023, there was a modest increase in group revenue.
Earnings per share increased by 5% to eight cents, at the top end of group guidance.
The company said it completed a total of 1,328 suburban homes during the year, down 1% on the 1,354 homes completed in 2022.
But it finished the year with 680 suburban units contracted or reserved for the full year of 2023, up from 408 the previous year.
Glenveagh said that the long-term demand outlook for the Irish residential housing market remains "very positive", supported by a resilient domestic economy, a fast-growing population and supportive State initiatives.
"Given our proven operational capability and our established expertise in partnership and urban development models, we are very well placed to grow as a scale operator in the market," it added.
It said that as well as urban revenue from already contracted projects, Glenveagh anticipates a renewed focus on urban development activity in 2024 as new opportunities emerge to partner with multiple state agencies as part of the Government's supply-side housing initiatives.
"Significant additional funding has been proposed for the Land Development Agency (LDA) and we have been successfully shortlisted to participate in its development programme that will be advanced in early FY 2024," it added.
Glenveagh's chief executive Stephen Garvey said the company is strongly positioned for a pivotal year in 2024.
"We effectively responded to the challenges at the start of 2023 by delivering on key strategic priorities and this progress provides a solid platform to deliver at significant scale this year," he said.
"Our healthy land portfolio and forward order book means that in 2024 we will provide the keys to approximately 2,700 new homes across the business. This is all underpinned by our proven operational and manufacturing capabilities that embrace sustainability and modern methods of construction," he added.
Mr Garvey said the State is also providing a positive backdrop of targeted and effective input, in the form of supportive initiatives on both the demand and supply side, which are making a real difference to increasing supply.
"This is aided by encouraging improvements in the planning policy and system. As the biggest source of landbank for the development of new homes and with the extent of its funding capacity, the State will continue to be the major driver in resolving Ireland’s accommodation shortage, in partnership with the housebuilding industry," the CEO added.
Glenveagh Properties also said today it has appointed Cpl CEO Lorna Conn as an independent non-executive director with effect from 1 February.
The company also said that Max Steinebach will join the board as a non-executive director from February. Mr Steinebach is an Investment Director at Teleios Capital Partners, an investment firm operating from offices in Switzerland and the UK.
