Abbey profits dip as UK market softens, but Irish market strong

Housebuilder Abbey has reported interim before-tax profits of €26.12m, down from €28.81m for the same period last year.

Operating profits were €25.17m, compared to €28.39m for the same six months last year.

Abbey expressed confidence today in the housing market in Ireland, but said a softening market in the UK had impacted on the bottom line.

"Margins were eroded during the period reflecting rising costs and a softening market in England in October. These more challenging market conditions have continued into the winter," Abbey said today.

Abbey completed 353 house sales in the period - 203 in the UK and 150 in Ireland), with a turnover of €88.51m, generating an operating profit of €23.64m.

During the period, the company added 413 plots with planning permission to its approved landbank. In Prague the division has exchanged contracts for the purchase of a small infill site for 16 flats and an office suite.

The company board has declares an interim dividend of 11 cents per share.