Berkeley in strong cash position

Source: Construction Digital

Date :16/09/2008 11:57:43

The leading house builder has taken advantage of the land opportunities that are coming to the market.

In an interim management statement covering 1 May to 31 August 2008, Berkley Group revealed it is in a strong cash position and will, most importantly, be able to meet its strategic objectives thanks to strong forward sales and a well-bought land bank.

Cash generation, the firm said, has been “ahead of plan”, despite the current tough market conditions.

At the end of August, Berkeley had increased its net cash position to £71 million, compared to net debt of £4.5 million at the start of the year.

The interim management statement said: "Berkeley's strong cash position enables it to take advantage of the numerous land opportunities that are coming to the market.

"These are being rigorously appraised to identify those to which Berkeley can add maximum value for shareholders, with acquisitions only being made on a selective and opportunistic basis."

Berkeley's flexible operating model means that the group can match supply to demand and maximise returns in all market conditions.