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| Bovis Homes anticipates FY08 results in line with expectations British builder Bovis Homes Group PLC has issued the following trading update ahead of reporting its preliminary results for the year ended 31 December 2008 on Monday 9 March 2009. The group anticipates that profit before exceptional charges and tax for the 2008 financial year will be in line with the board's expectations. Bovis Homes continues to operate with modest gearing: net debt at 31 December 2008 was £109 million, utilising under 50% of its committed bank facility. The Group owns around seven years of land supply with residential planning consent and started 2009 with a good number of homes at an advanced stage of construction. These homes can be finished quickly when sold, generating strong positive cash flows for the group. As a key enabler, Bovis Homes was pleased to be able to announce on 29 December 2008 a successful renewal of its banking arrangements, together with the agreement of a covenant package more suited to current market conditions. The group has entered into a new committed revolving credit facility, on a syndicated basis, maturing on 31 March 2011. All of the Bovis Homes's pre-existing banks are participating in the new syndicate. The facility totals £220 million, matching the group's previous facilities, with agreed reductions in facility size by £40 million in February 2010 and by a further £20 million in September 2010, providing Bovis Homes with £160 million of facility through the last six months of the facility period. write your comments about the article :: © 2009 Construction News :: home page |