Earnings release
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RNS Number : 1795TCrest Nicholson Holdings PLC03 September 2026 Crest Nicholson Holdings plc (the 'Company', 'Group' or 'Crest Nicholson') Trading Update on Positive Debt Reduction Progress and Revised FY26 Expectations This announcement contains inside information Crest Nicholson Holdings plc provides the following trading update: Debt reduction ahead of plan The Group continues to make good progress with the actions announced as part of its cash optimisationprogramme, and has recently concluded a further material fire remediation recovery from a third party. This recovery will be treated as an exceptional profit item in the full year results. The Group has completed one additional land disposal in the second half of the year at a value in line withexpectations and continues to expect that one or two further transactions will be achieved in the remainder of thefinancial year. As a result of this progress, year-end net debt is now expected to be better than previously indicated and lie in the range of £70 to £90m an improvement of c. £30m (previous guidance of £100m to £120m). Outlook and full year profit guidance Market conditions have been more subdued than expected through the seasonally quieter summer trading period,with affordability constraints and competitive pricing continuing to weigh on open market sales rates. Over the lastsix weeks, the Group achieved a net open market sales rate achieved of 0.35. This compares to 0.48 in the first half and 0.55 in the same period last year. Pricing pressure has remained particularly evident in bulk sales, where the Group continues to take a disciplinedand selective approach to transactions. Build cost inflation remains in line with previous guidance of c.3-4%, mostly on materials. Against this backdrop, the Group now expects full-year completions to be in the range 1,350 to 1,400 (previousguidance 1,400 to 1,500) and for EBIT to be a loss of around £10m (previous guidance for EBIT profit of £5m to£10m). The reduction in profitability reflects lower expected completions following weaker open-market demand, and continued competitive pricing, particularly in bulk transactions, also resulting in some further NRV provisionson a small number of sites. Lender update The Group remains in constructive discussions with its lenders to amend its covenants and ensure that it has anappropriate level of funding and liquidity going forwards, although the Group now anticipates some slippage in the current timetable and will provide a further market update in due course. Martyn Clark, CEO commented: "While the trading backdrop has remained difficult through the summer, we are making tangible progress on theactions within our control. Our cash optimisation programme is delivering with the expected year-end net debtposition now materially better. The Group continues to make good progress against its strategic priorities. We are building a stronger operational platform through tighter cost control, improved procurement, disciplined land and WIP management, and acontinued focus on build quality and customer service. Looking ahead, our new house types remain on track to contribute from end of FY27. These homes will supportCrest Nicholson's repositioning towards the mid-premium segment, with a more consistent product range, improved customer proposition and the potential for greater build efficiency and stronger margins over time. Although the timing of a broader market recovery remains uncertain, the Group is taking the right actions to protectliquidity and improve operational execution, while positioning the business for recovery when market conditionsnormalise." For further information, please contact: Crest Nicholson
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Jenny Matthews, Head of Investor Relations +44 (0) 7557 842720 Teneo James Macey White +44 (0) 20 7353 4200 This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authorityto act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this informationmay apply. For further information, please contact rns@lseg.com or visit www.rns.com. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the informationcontained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. Forfurther information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy. END