Posted By Global Banking and Finance Review
Posted on January 15, 2025
By Aby Jose Koilparambil and Chandini Monnappa
(Reuters) – UK housebuilder Vistry kept its 2024 earnings forecast on Wednesday after issuing three profit warnings since October, and said it would reduce its operating divisions from six to three.
The company cautioned that market conditions remained uncertain as the housing sector navigates affordability and broader economic issues.
While the pace of recovery of the British housing sector has been in doubt due to slower-than-expected interest rate cuts, tax rises and higher labour costs, a surprise fall in December inflation and banks resisting mortgage rate hikes are expected to benefit the sector.
Vistry shares were up as much as 10% to 566.50 pence by 1055 GMT on Wednesday, as housing stocks benefited from UK’s inflation data.
Vistry’s stock slumped about 38% in 2024.
“It is a relief rally (for Vistry)… the…
