Revenue up for company leading Ironbridge Power Station redevelopment

Harworth said it had maintained a strong balance sheet and financial position as it released its full year results for the 12 months ended December 31.

It posted pre-tax profits of £30.9m, compared with £127.2m the previous year but net asset value had risen to £602.7m from £578m, while the group reported net debt of £48.4m.

Harworth said robust housebuilder demand and management actions had driven significant growth in residential plot sales in line with book value, with potential to deliver a further 29,311 plots from pipeline.

This included the first residential serviced land sale at Ironbridge development in Shropshire, to Barratt and David Wilson Homes, for the delivery of the initial 110 of the planned 1,000 houses at the site.

Lynda Shillaw, Chief Executive of Harworth, said: “We continued to make significant operational progress during the year, delivering increased levels of direct development, accelerated land sales and targeted acquisitions in line with our strategy to become a £1bn business by 2027.

"We ended the year in a strong financial position. Following a significant increase in valuations during the first half, we saw market-driven outward yield shifts across our Investment Portfolio and more mature industrial & logistics development sites during the second half.

"Over the course of the year, our management actions have largely offset market movements, and resulted in our valuations remaining broadly flat year-on-year.

“At this early stage in the year we remain cautious about the economic backdrop for 2023. While there have been some recent positive indicators, uncertainty is likely to remain in our markets until interest rates reach their peak, and inflation falls back to manageable levels, creating the conditions for growth and improved investor confidence.

"Against this backdrop, our focus markets of residential and industrial and logistics continue to be drivers of economic growth and have robust fundamentals, while there remains an acute shortage of high-quality consented land.

“Harworth is a long-term through-the-cycle business, which means that we look through near-term market conditions. We control our landbank, where and when we invest, and have a highly experienced management team who are focused

on execution. We are confident that our strategy is the right one to deliver long-term value to stakeholders while progressing our Net Zero Carbon commitments, and our strong financial position, differentiated products, and the scale and mix of our portfolio, position us well to realise the full potential of our sites.”