St Modwen sees massive surge in profit
BIRMINGHAM-based developer St Modwen has seen its profits leap by 306% on a year on year basis.
Announcing its half year results for the six months to May 31, the regeneration specialist revealed a profit before tax of £203.1m compared to £50m in the first half of 2014.
It realised property profits of £41.3m during the period (H1 2014: £19.1m).
Key project developments during the period included its 57-acre New Covent Garden Market scheme at Nine Elms in London reaching unconditional status, which means it can now be included on the firm’s balance sheet.
Work is also progressing on schedule on its Bay Campus development at Swansea University with the first students due to arrive this September.
And its large scale regeneration of the Longbridge area of Birmingham continues with a 150,000 sq ft Marks & Spencer store due to open in November.
Bill Oliver, chief executive of St Modwen, said: “These record-breaking results are underpinned by the growth in the UK property sector and are testament to our continued belief in the regional marketplace and our long-term approach to regeneration as a whole.
“They are positively supported by our three major projects reaching significant milestones in the period. Most notably the New Covent Garden Market site in Nine Elms, London reached unconditional status in April.
“We continue to increase our levels of both residential and commercial development and to add further value to our major projects and our broader £1.5bn property portfolio, delivering maximum returns for the business and for our shareholders.”
