Home news Bovis says it will fix home faults by end of 2017

Bovis says it will fix home faults by end of 2017


Housebuilder Bovis says it will have fixed the problems with its faulty homes by the end of 2017.In its half-year results statement, the firm said it had identified the issues and they were “all very fixable”.Some Bovis customers had complained about homes being sold unfinished, and had reported plumbing and electrical faults in new properties.The firm, which has already set aside more than £10m for the problem, saw profits fall 31% to £42.7m.It said this was due to several issues, including fixing the faulty homes, as well as the costs of defending itself from two takeover bids this year.Earlier this year, Bovis was a takeover target for two rivals – Galliford Try and Redrow. However, Bovis rejected both of their bids and eventually the two suitors abandoned their takeover attempts.Announcing its results, Bovis said it was “strongly cash generative” and would be returning £180m to shareholders through special dividends over the next three years.The average selling price of its homes rose 9% to £277,400. Bovis is aiming to complete about 4,000 properties a year, which is down from a previous target of between 5,000 and 6,000 completions. The company is also restructuring some of its operations, such as planning, design and engineering, and is cutting 120 jobs. Bovis shares rose 6% following the results.
Source: BBC