- Reuters / Phil Noble
LONDON – Bovis Homes posted a 31% slide in pre-tax profits on Thursday after fending off a takeover bid and fixing problems in new homes.
The housebuilder said profits were down to £42.7 million in half-year results after it spent a “one-off” £3.5 million addressing building complaints from customers in new homes.
Bovis was criticised earlier in the year after some customers complained they were moved into unfinished homes with plumbing and electrical faults.
The firm said in the statement it would fix the faults by the end of 2017.
It also spent £2.8 million in one-off advisory costs “related to bid approaches.” The firm fended off two takeover approaches from rival builders earlier in the year.
Greg Fitzgerald, the group’s chief executive, insisted the firm has a “strong balance sheet”
A profit slump was priced in by shareholders, as many of the figures reported in a July trading update.
Shares were up 6.18% at 8.20 a.m. BST (3.20 a.m. ET):