Housebuilder Westbury is sticking by its aim to significantly boost sales over the next five years despite reporting a 26 per cent drop in half-year profits.
The Cheltenham-based group says tough trading conditions in the housebuilding sector had not changed its target to deliver 7,000 houses a year by the end of the decade.
It describes a fall in pre-tax profits to £45.5m for the six months to August 31 as "satisfactory" given the fact that the market was weaker than expected, particularly during the summer.
Chairman Geoffrey Maddrell said: "Although this is proving a difficult year for our industry, the fundamentals are still sound with potential demand exceeding supply. We firmly believe that our strategy through volume growth is achievable over the coming years."
The group's Westbury Homes division sold 1,934 houses during the six months, down from 2,087 in the same period last year. Revenues fell to £415.3m from £427m.
Despite the fall, the group remained confident of hitting its target of 7,000 homes a year by 2010. It sold 4,361 during its last financial year.
Westbury said its ability to win Government contracts to build affordable housing would boost sales. This was demonstrated by its recent success in clinching deals in Coventry and Telford.
The group's confidence was underlined by its decision to raise the interim dividend by 15 per cent. Along with other housebuilders, Westbury has been hit by the slowdown in the home market.
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