Homebuilder Cairn posts jump in revenue and swells its order book

In its half year results, Cairn also said that that average sale of one its homes reached €383,000, up 4% on the selling price during the same period a year earlier.

An estimated annual delivery of between 49,400 – 81,400 new homes to 2050 is needed to meet demand especially in a high population growth scenario.

Cairn posted a jump in both revenue and operating profit as the homebuilder continues to tap the chronic demand for housing amid supply shortages.

In its half year results, Cairn revenue increased to €366m, surging 67% on the same period a year earlier, while operating profit rose to €61m, soaring 107%.

Cairn said that the average sale of one its homes reached €383,000, up 4% on the selling price during the same period a year earlier.

The company said its closed and forward order book has swelled to 3,450 new homes with a net sales value of €1.3bn.

Cairn has also acquired and entered into options on six sites in Dublin which will deliver up to 4,500 new homes primarily to its core first time buyer market.

The company’s “stellar half-year performance” is set to be followed by another year of strong volume, revenue and profit growth, Cairn said.

Figures from the Central Statistics Office showed a total of 31,389 new homes were delivered in the 12 months to June, creeping up 3% year on year, with 12,730 new homes completed in the first six months of the year.

Ramped up activity in the housing supply is struggling to catch up to significant structural undersupply of new homes.

An estimated annual delivery of between 49,400 – 81,400 new homes to 2050 is needed to meet demand especially in a high population growth scenario.