By Joe Hoppe
M.J. Gleeson has reported an improvement in net reservation rates in recent weeks and remains confident that full-year results will meet market expectations. This positive trend can be attributed to the stabilization of mortgage rates.
In the nine weeks leading up to November 3, net reservation rates increased to 0.47 per site per week, or 0.46 excluding bulk sales. This is an improvement from the previous nine-week period ending September 1, when the rates stood at 0.43.
Gleeson Land has successfully completed the sale of one site since the beginning of the fiscal year ending June 30.
With mortgage rates stabilizing and a more certain market outlook, M.J. Gleeson anticipates an upswing in buyer interest during the seasonally strong spring selling season.
Looking ahead, M.J. Gleeson expects its fiscal 2024 results to meet market expectations, although an exact figure has not been provided. According to a FactSet consensus, sales are projected to increase to approximately £358.0 million ($444.5 million) from £328.3 million, while pretax profit is expected to rise to around £32.7 million from £30.5 million.