Bovis profits surge 150%

Graham_Devon

CLAPTON wrote: »

unbeliveable

Sorry..... what is?

SteveV2

There's a huge shortage of trades at the moment. Wanted at 3 places at once does have it's benefits though

CLAPTON

Bantex wrote: »

How many major builders went bust?

you look up the published accounts of some of the major builders from 2007 and see their profits, their cash flow, their borrowing, the dividends paid to shareholders


then explain how they make such huge profits when they don't build and smaller profits when they do

Bantex_2

CLAPTON wrote: »

you look up the published accounts of some of the major builders from 2007 and see their profits, their cash flow, their borrowing, the dividends paid to shareholders


then explain how they make such huge profits when they don't build and smaller profits when they do

It depends on when and where they build, drip feeding to maximise profits is not always in the interest of the nation as a whole.

Again, which majors builders went bust during the crash?

wotsthat

Bantex wrote: »

How many major builders went bust?

http://www.propertywire.com/news/europe/uk-property-construction-recession-200903172797.html

Meanwhile figures from Pricewaterhouse Coopers show that eight construction companies went insolvent every day in the last quarter of 2008.

According to the consultant's figures, 692 construction firms went bust in the last quarter of 2008, up 28% from 540 the previous quarter.

This took the annual total for 2008 to 2,100 construction insolvencies, a 40% jump on the previous year's figure of 1,500 and the highest level since PwC began tracking these statistics six years ago.

Where were you?

Bantex_2

wotsthat wrote: »

http://www.propertywire.com/news/europe/uk-property-construction-recession-200903172797.html



Where were you?

Were any of these major builders?

Graham_Devon

CLAPTON wrote: »

then explain how they make such huge profits when they don't build and smaller profits when they do

Theres really no need to be silly about this.

No one is suggesting that they make huge profits by "stopping building". You are making up a scenario solely so that you can argue against it.

In any market, with a neccesity such as a house, you can quite easily alter the value of the product by reducing or increasing supply.

For builders, increasing supply will not only reduce the price of the property but cost them more due to increased outlay (wages etc).

Hence why to keep costs down, and prices up, builders build at certain levels. Below demand, but enough to keep them at nice profit levels.

The same is done with gas and petrol. We've seen it in action. Huge taps can been turned one way or another dependant on the price required at the time. Often, like houses, that price is often has a political slant.

wotsthat

Bantex wrote: »

Were any of these major builders?

Why would it matter?

Bantex_2

wotsthat wrote: »

Why would it matter?

Because 1000 one man bands is not very much.

wotsthat

Graham_Devon wrote: »

In any market, with a neccesity such as a house, you can quite easily alter the value of the product by reducing or increasing supply.

Quite easily? You should have worked for Taylor Wimpey - they lost money for 4 or 5 years from 2008.

Next time I see my boss I'm going to claim this idea as my own - 'we've been doing it wrong trying to sell as much as possible - let's sell less and put up prices'.

Graham_Devon wrote: »

Theres really no need to be silly about this.

Haha.