Cala Group has reported stable company value and an improved cash position in its latest accounts, but the homebuilder is also battling a significant loss in profits and narrower margins.
For the year ended 31 December 2024, Cala Group’s pre-tax profit fell to £13.4 million from £82 million in 2023, while revenue fell slightly to £1.23 billion, compared to £1.24 billion the year prior.
However, the Edinburgh-headquartered home construction company ended the year with net assets holding steady at £533.1 million on its balance sheet (FY2023: £527.3 million), supported by an improved cash position of £17.7 million (FY2023: £10.3 million)
Cala Group operates through nine regional businesses, across the South of England, the Cotswolds, and Scotland.
In October last year, the group was acquired by global investment firms Sixth Street Partners and Patron Capital Advisors. Earlier this month the business brought on board the chief financial officer and director of £780 million turnover Irish homebuilder Glenveagh Properties, Michael Rice, to support Cala’s operations following the acquisition. Rice brings experience in both finance and the homebuilding sector, from the likes of Kingspan and KPMG.
During the financial reporting period, Cala contracted 21 new sites which it projected to deliver 2,287 new homes with a GDV of more than £1 billion and an average selling price of £474,000 (2023: 19 sites, GDV £1.4 billion).
Eight new sites were added to the group’s strategic land bank with a potential GDV of £575 million. The group’s owned and contracted short-term landbank at 31 December 2024 comprised 18,841 plots for private and affordable homes (2023: 20,543 plots).
Cala Group’s operating profit came down significantly during the period, from £115.4 million in 2023 to £57.9 million last year.
The group reported profit for the year of £4.8 million, compared to £60.8 million the year before.
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