Financial information & KPIs

Definition

This represents revenue that is predominantly generated through the sale of new private, affordable and partnership homes and, to a lesser extent, revenue from the sale of land, where it is capital-efficient to sell a portion of larger sites, and revenue from external sales generated by Walker Timber.

Performance

Revenue increased by 34% in 2025. This was mainly due to a 29% rise in core completions and a 4% increase in ASP. With private sales rates being largely unchanged year on year, the rise in completions was driven by increased sales outlets largely attributed to the St. Modwen Homes acquisition.

Definition

This represents revenue from new home sales, divided by the total number of core completions. In line with standard accounting practice, this excludes revenue from homes sold through joint ventures, the profit on which is shown within “share of result in joint ventures”. It measures movements in revenue per home completion caused by house price inflation, location or mix changes.

Performance

This is the new Average selling price Performance copy: ASP increased by 4% to £295,500 (2024: £282,900), which reflected an increase in the proportion of higher value private home completions to 62% (2024: 57%). Private ASP was largely unchanged at £346,700 (2024: £346,500), which reflected a 3% increase in the selling price per square foot, offset by a 3% reduction in the average unit size as a result of the St. Modwen Homes acquisition. The ASPs of partnership and affordable homes increased to £237,200 (2024: £221,600) and £179,200 (2024: £169,200) respectively, which reflected the location of homes sold in the year.

Definition

This represents gross profit, excluding exceptional items, divided by revenue. It measures the Group’s underlying profitability before administrative expenses.

Performance

Despite the negative impact of cost inflation which was not capable of being offset by house price inflation, which was largely flat, gross margin remained in line with the prior year. This was due to the positive impact of higher site margins from sites acquired in the last two years.

Definition

This represents operating profit, excluding exceptional items, divided by revenue. It measures the Group’s underlying profitability after administrative expenses.

Performance

The increase in 2025 principally reflects improved recoveries of administrative expenses, which as a percentage of revenue reduced to 6.4% (2024: 7.1%) with gross margin unchanged.     

Definition

This represents adjusted operating profit expressed as a percentage of average tangible capital employed, which is the average of the opening and closing balances of tangible capital employed for each financial year.

Tangible capital employed of £777.5m (2024: £690.1m) represents net assets of £701.6m (2024: £627.8m) excluding loans and borrowings of £823.1m (2024: £787.4m), cash of £232.2m (2024: £234.3m), lease liabilities of £7.5m (2024: £8.4m), a foreign-exchange swap asset of £13.8m (2024: liability of £9.5m), intangible assets of £551.7m (2024: £551.7m) and deferred tax on intangible assets of £43.0m (2024: £43.0m).

Performance

The improvement from last year reflects the 40% increase in adjusted operating profit combined with the favourable financing terms for the St. Modwen Homes acquisition, with over 60% of the purchase consideration deferred for 30 months.

Definition

This represents the net cash outflow in the year of £2.1m, excluding cash flows from financing activities of £3.4m, investing activities (other than transactions with joint ventures of £70.1m, corporation tax paid of £14.6m and interest paid of £67.4m.

Performance

Free cash generated in the year equated to an EBITDA conversion ratio of 68%, which is lower than the Group’s medium-term target of 50% as a result of the accelerated land investment arising from the St. Modwen Homes acquisition.

Definition

This represents the number of reservations (net of cancellations) for private homes (including those sold via joint ventures), divided by the average number of sales outlets and further divided by the number of weeks in each financial year.

Performance

The private sales rate fell marginally by 2% in 2025 to 0.64, which is still in line with the average sales rate for the previous decade. It is also considered a commendable performance in light of the increased number of new development launches in 2025, which typically experience a lower sales rate prior to showhome opening.

Definition

This represents land from the Group’s owned and controlled landbanks. All land in the consented landbank benefits from at least an outline planning consent, or a resolution to grant planning consent.

Performance

The owned landbank rose by 14% to 13,969 plots (2024: 12,219 plots) through a combination of acquiring 20 sites (3,216 plots) and the St. Modwen Homes acquisition which added a further 3,290 plots across 18 sites. This resulted in 6,506 plots being added to the owned landbank. The controlled landbank increased to 2,360 plots (2024: 1,476 plots) leading to an overall consented landbank of 16,329 plots (2024: 13,695 plots).

Definition

This represents land the Group has secured via either an option to purchase at a future date or a promotion agreement triggered on receipt of an implementable planning consent. The land currently does not benefit from a planning consent, although it may have been allocated for residential development in the relevant local plan.

Performance

The strategic landbank increased to 50,655 plots (2024: 43,317 plots), primarily due to the plots added from the St. Modwen Homes acquisition.

Definition

This represents the value of new home reservations and contracts exchanged at each financial year end for all three tenures, which are anticipated to result in core and joint venture completions in the following 12-month period.

Performance

Forward sales increased by 40% to £635m (2024: £455m). This reflected a combination of a 33% increase in units combined with a 32% increase in ASP. Approximately 50% of the unit increase is due to the St. Modwen Homes acquisition, which took place on 31 January 2025.

Definition

This represents an external assessment performed by the National House Building Council (NHBC) on behalf of the Home Builders Federation (HBF) and measures our customers’ overall satisfaction after eight weeks from home purchase. This represents the combined performance of both Miller Homes and St. Modwen Homes for 2025, whereas the prior year comparative solely relates to Miller Homes.

Performance

The Miller Homes-only score improved to 96%, with the combined Group score including St. Modwen Homes unchanged on last year at 95%.

Definition

This represents the total number of accidents reportable (AIR) under RIDDOR, as expressed by 100,000 employees and subcontractors.

Performance

There was an 11% improvement on the AIR score in the year. This reflected an increased number of employees and subcontractors due to a greater number of sites, with the overall number of reportable accidents increasing marginally from eight to nine.