Edinburgh-based upmarket home builder Cala Group (Holdings) Ltd said its profit before tax — before exceptional items — fell 30% to £78.2 million in 2024 from £112.3 million in 2023.
The number of homes sold by Cala in 2024 fell to 2,861 compared to 2,917 in 2023, a 2% reduction.
This resulted in turnover before exceptional items of £1.168 billion, down 6.6% year on year.
“This reduction is due to a combination of less unit completions in the year, a lower average selling price on private units due to sales mix and a number of site starts that were delayed due to planning, therefore delaying their contribution to the financial results,” wrote Cala Group CEO Kevin Whitaker.
The private average selling price (ASP), excluding affordable housing, fell to £463,000 from £495,000.
Cala Group was acquired in September 2024 from Legal & General Group Plc by investment firm Sixth Street Partners and Patron Capital, a pan-European institutional investor focused on property-backed investments. The sale has an enterprise value of £1.35 billion.
CEO Whitaker added: “We traded very well due to our market position, product offering in the first half of 2024.
“In the second half, a slight shift in consumer confidence, unsettled by political change, economic uncertainty and the prospect of higher interest rates over a longer period, created a more normalised trading environment.
“Our high-quality, energy efficient, well-designed homes in desirable locations remain attractive to homebuyers and our talented sales teams worked closely with customers to facilitate their move.
“We took a measured approach to pricing strategies, offering targeted support including mortgage pay, part exchange and stamp duty payments.”