Good morning, and welcome to Redrow's Full Year Results Presentation. I'm very pleased to say that in 2022, Redrow's underlying profits have returned to the record levels we achieved in 2019 prior to COVID-19. At the same time, we have grown the business whilst continuing to evolve our successful strategy based on our market leading Heritage Collection and prime locations. Redrow's disciplined approach in delivering its proven strategy and effectively managing both house price and build cost inflation has underpinned these record results. We have improved the customer experience, driven efficiency, and pushed forward on improvements to our product range, in part to incorporate our climate change objectives. Today's agenda follows the usual format. I will open the presentation with an overview. Barbara will then pick up the financial review before I conclude with the operating review and outlook. Starting today's presentation with a summary of our record results, turnover increased by 10% on 2021 to GBP 2.14 billion and was in excess of the pre-pandemic record set in 2019 of GBP 2.11 billion. Underlying profit before tax at GBP 410 million was up 31% year-on-year and just above the previous record set in 2019 of GBP 406 million. Underlying earnings per share has increased to GBP 0.96 in 2022 from GBP 0.923 in 2019. Our full year dividend per share has also increased to GBP 0.32 compared to GBP 0.305 in 2019. This is in addition to our previously announced GBP 100 million share buyback we began in July. House price inflation was a major feature of the market, something we recognized very early. The average selling price of our private reservations increased by 12% during the year, reflecting house price inflation, geography, and product mix. Throughout the year, we effectively managed the balance between volume and price. Customers appreciate the value of our highly desirable products and places which are perfect for the market. During the financial year, we focused our land buying mainly on land replacement with some moderate growth all at our normal average hurdle rates. At the same time, we maintained our disciplined cost control. Once again, we secured a five-star NHBC eight-week customer recommending rating with a score of 94.5%. We have made excellent progress on our climate objectives and kickstarted a number of projects to deliver our strategy. We signed the government's voluntary building safety pledge and have set aside GBP 200 million provision to remediate any buildings in scope, regardless of the role we played in their construction. More details of these areas later in the presentation, but for now, I'll hand over to Barbara for the financial review. Thanks, Matthew. I'll start with the financial highlights. I'm delighted to report that we've produced a record underlying operating profit of GBP 414 million in the 2022 financial year. This, together with control of working capital, resulted in a return on capital employed for the year of 24.54%, up from 18.53% last year and just below our target of 25%. We generated GBP 128 million of cash in financial year 2022, which ended with net cash of GBP 288 million. This was due to the record profit and lower spend on land than expected. This excellent performance for the year, combined with the regular review of our cash needs to achieve our long-term growth plans and the prevailing share price, which was at a significant discount to net asset value, led to the launch in July of a share buyback of up to GBP 100 million. To the 11th of September, we have so far spent just under GBP 33 million on the buyback. This is returning to shareholders cash which is surplus to that needed for growth and our normal dividend. Speaking of which, in line with our payout ratio of 33% of underlying earnings, we are proposing a final dividend of GBP 0.22 per share, making GBP 0.32 for the year, an increase of 31% on that paid for 2021. Now moving on from the highlights, let's go through the financial results in more detail, starting with the income statement. Homes revenue was up 11% with a 9% increase in blended average selling price and 2% increase in volume. Other revenue was lower in 2022, as one would expect, because in 2021, it included the sale of the London sites we decided not to build out. Gross profit was GBP 516 million with a gross margin of 24.1%. This is in line with our expectations with price increases more than covering build cost inflation. It is slightly below the first half margin due to the higher proportion of affordable homes turnover in the second half. Operating expenses increased by GBP 9 million to GBP 102 million. This is due to both cost inflation in the second half and the ramp-up of the Southern division, and it represents just under 4.8% of revenue. We generated an operating profit of GBP 414 million, which is an operating margin of 19.3%, in line with our published guidance and close to our long term average target of 19.5%. With interest expense at GBP 4 million, our underlying profit before tax was GBP 410 million, up 31% on last year. Now moving on to the private plots in cost of sales. The private plot cost and cost of sales increased in the year to GBP 86,000. However, it reduced by one percentage point to 20% of average selling price. I'll now review revenue by geography. Revenue has grown substantially in all the regional businesses, ranging from 14% in the north to 31% in the central. Despite outlets constraining volume growth, we've increased revenue due to product and geographical mix, both within and across regions, together with house price inflation. In fact, homes revenue from the ongoing business is up 20% for the full year. Revenue from the London build out sites reduced significantly as those sites are now coming to an end. There will be around GBP 45 million of revenue from the build out sites in the 2023 financial year, and then nothing after that. Now, this slide takes us from geography to product. Revenue from private houses was up GBP 314 million, or 23%. Apartments were down GBP 90 million or 28% as the regional businesses increased their revenue more than offsetting the scale down of the London apartments business. Affordable revenue was marginally down at GBP 207 million due to the timing of legal completions. It represented 10% of homes revenue. We expect affordable revenue to increase to 11% of homes revenue in 2023. Looking at revenue from private homes, you can see the Heritage Collection represented 88% of private revenue in the year. This was up from 79% last year due to the strategic shift to being a regional builder of quality homes in primary locations. Also, for that reason, the average selling price of our Heritage homes has risen by 10% to GBP 433,300. This reflects geographical mix, house price inflation and a large increase in customers personalizing their homes with extras, sales of which have more than doubled to GBP 41 million. Help to Buy completions totaled 566 homes, a reduction of 70% on the previous year. This comprised less than 13% of private legal completions. Now moving on to the cash flow statement. EBITDA was up 28% year-on-year at GBP 419 million. We continue to invest in land with a net cash investment of GBP 102 million. Work in progress increased by GBP 43 million due to the higher level of activity. Other working capital movements were marginally cash positive due to an increase in trade creditors as a result of the higher activity level. This generated an operating cash flow of GBP 318 million. The cash conversion at 76% was below last year, but above our expected level. The other cash movements are the usual outflows on tax and dividends. Plus, there was a purchase of shares by our employee benefit trust to fund our employee share schemes. Our average monthly net cash balance was GBP 250 million, compared to GBP 142 million last year. We expect our net cash at the end of the financial year to be about GBP 150 million-GBP 200 million due to the share buyback and expenditure on life critical fire safety. Let's see how that flows through to the balance sheet. Land has increased by GBP 184 million, as you saw from the cash flow. Land creditors now stand at GBP 376 million or 22% of gross land value. The payment profile for those land creditors is 77% in the next 12 months, 13% in 2024, and 10% beyond that. Work in progress is very similar to last year end at around GBP 1 billion. The other working capital creditor has increased mainly due to the fire safety provision, plus slightly higher trade creditors. The capital employed at the year end is at a similar level to last year. The net cash balance, however, has gone up by GBP 128 million. Therefore, the net assets have increased by GBP 78 million to GBP 1.95 billion, a net asset value per share of GBP 5.54. You've seen from the previous slide the company has a strong balance sheet, and I thought it would be worth reconfirming our published capital allocation policy. When reviewing our medium term plans and evaluating our cash requirements, our first priority is to use capital to grow the business. We operate on the basis we can achieve organic revenue growth of 5%-6% a year and allocate cash to acquire the land needed to achieve this, given the time it takes to obtain planning. Having allocated sufficient cash to land and its associated work in progress, our second priority is to deliver a normal dividend to shareholders on the basis of a payout ratio of 33% of underlying earnings. Finally, if both of the above actions have completed, we believe we still have sufficient surplus cash, which we define to be at least GBP 100 million. We will return that to shareholders. We have used two methods to do this in the last four years. B Share Scheme of GBP 111 million in 2019 and a share buyback of up to GBP 100 million, which is currently in progress. As we've previously reported, our preferred method to return cash is through a B Share Scheme, as it treats all shareholders equally and is tax efficient for private individuals. However, in 2022 we chose to undertake a share buyback. This is because our shares are trading at a price which is significantly below tangible net asset value. Finally from me, an update on our 2024 guidance. We continue to believe we will achieve revenue of between GBP 2.3 billion and GBP 2.4 billion. We are guiding an operating margin of around 19.5% in line with our long term target. The main change to the guidance is in the earnings per share and dividends per share. The increase in both of these is due to the benefit of the share buyback. Our guidance on average outlets remains unchanged at 134. Plus, we continue to aim to return to our medium term ROCE target of 25%. This guidance is of course subject to any changes in housing market conditions. With that, I'll now hand over to Matthew, who will take you through the operational highlights. Thank you, Barbara, and now on to the operating review and outlook. We capitalized on a very strong market during the year. Our quality new homes reflect timeless exteriors with flexible and modern living spaces, perfect for customers post pandemic needs. They appreciate the added value this brings and the unique way they can blend personal and work life to create a better way to live. Cash buyers represented 33% of our reservations as we continue to tap into the resilient downsizer market. Customers upgraded their homes with extras in record numbers, whether that be bespoke flooring, granite worktops or home offices. This continues to be a key point of differentiation for the business, with customers selecting and completing their choices via the award winning My Redrow online service. We ended the financial year with a record total order book of GBP 1.44 billion, of which 76% is exchanged. This gives us an excellent foundation to move forward into the current financial year and beyond. The value of private reservations was GBP 1.82 billion versus GBP 1.79 billion in 2021. Reflecting the differentiation of our premium homes, the reservation value per outlet increased to GBP 311,000 per week as we continue to deliver industry leading reservation rates on a revenue basis. Our average weekly reservation rate for the year was 0.68 per outlet as we achieved a successful balance between volume and price. Our cancellation rate remained flat at 19%. Trading for the first 10 weeks of the current financial year has been positive despite macroeconomic uncertainties. Although the market is moderating, our homes and developments remain desirable and enable us to target both the new home and second hand market. The value of private reservations was GBP 360 million compared to GBP 340 million for the first 10 weeks of last year. The reservation value per outlet per week was GBP 296,000 compared to GBP 294,000 last year. As previously guided, our average outlets were 111, which was in part as a result of our reduced land purchases during the early stages of COVID-19 pandemic, but particularly due to our strong sales rate, which meant outlets closed more quickly than originally expected. We expect next year's average outlets to increase to 120 as a result of our land purchases in 2020, which are now coming on stream. Our buildout sites reflect our previously announced strategy to exit London. With the exception of Colindale Gardens, we expect to have completed our final sales at our remaining buildout sites by the end of 2023. As Barbara has already mentioned, we are guiding an increase in average outlet in to 134 in 2024. During the financial year under review our land buying activity was selective. We focused on land replacement and moderate growth. This was all purchased at our normal average hurdle rates. We were able to do this because of our substantial land investment in 2021, where we added over GBP 3 billion of gross development value to our land holdings with planning. We added just under 6,000 plots with planning across 24 sites in the year with a GDV of circa GBP 2.3 billion. During the year, we also purchased a number of sites which were allocated through the local plan at enhanced margins, reflecting the time risk associated with getting them through the planning process. We expect the majority of these to obtain planning permission over the next few years. Planning remains painfully slow and overly bureaucratic, and it is a constraint not only for the industry, but the whole economy, and urgent action is required to address this and in particular, the shortage of council planning officers. In April 2022, we signed the government's building safety pledge, formally agreeing to the principle that leaseholders should not have to pay for any costs associated with life critical fire safety remediation works arising from the design and construction of buildings of 11 meters and above going back 30 years. We have appointed a project team and scoped the number of buildings that fall within the pledge criteria. We've also written to all responsible entities in relation to the blocks on our provision list. We expect to appoint a specialist subcontractor to bring remediation on as many buildings as possible this year. We repeat our calls for overseas-based developers to be subject to the same funding framework as domestic-based organization. Equally relevant, material providers in the supply chain need to address their responsibilities and contribute towards the cost. It is fundamentally unfair for domestic developers to bear the sole financial burden while overseas developers seemingly evade any sort of contribution. In our annual colleague survey, over 94% were once again proud to work for Redrow. We are delighted with this feedback, reflecting the moves we made to modernize the way we work and the quality of our product and customer experience. Around 15% of our workforce are trainees, as we continue to inspire the next generation to build as part of our Valuing People strategic pillar. Our in-house training team deliver a range of programs to develop our trainees as they progress through the business. Moving on to build. Our first priority is always the safety of everyone connected to our developments. For the fourth consecutive year, accidents resulting in injury have declined. Build cost inflation was around 10%, driven higher as a result of accelerating global inflation and the demands for building materials. In the second half, material availability improved. However, inflation continued due to increasing global energy prices. We expect prices to moderate as supply continues to improve. Furthermore, our strong supplier relationships continue to help us mitigate fulfillment issues. Our site teams worked largely uninterrupted while improving both production output and build quality. We welcome the introduction of the New Homes Quality Code and New Homes Ombudsman, which will help to improve the reputation of the industry and provide additional reassurance for customers. From our perspective, it will help to further differentiate our approach to build quality and customer service. The introduction of our online homeowner support portal with over 90% of customers submitting their move-in incidents online, the launch of our new online complaint system and our extensive colleague training program means we are in an excellent position to embrace the new regime. We are very pleased that 94.5% of our customers would recommend Redrow as part of the NHBC eight-week customer recommendation score survey, and we continue to be rated as excellent on Trustpilot. The NHBC Pride in the Job Awards recognize excellence in on-site management. We're delighted that 24 of those were Redrow site managers, in line with our performance last year. It is pleasing to see some of our site managers appearing on the list again, showing they are delivering consistently as well as the younger site managers coming through. The group is prepared for the introduction of the new Part L regulations and has reflected the additional cost within all land purchases and existing sites. We are currently trialing air source heat pumps as part of our Future Homes Standard plans and have a clear pathway to meeting those standards. Our Redrow 8 placemaking principles, which we have been following for more than three years, are a key point of differentiation for Redrow. They are the heart of what we do and have created a culture of great placemaking within the business, which is instrumental in delivering wider social values and benefits for wildlife, generates a greater well-being for customers, communities and nature. Our purpose is to create a better way to live. We have a robust strategy in place to deliver on this aim, which is based on our three pillars of thriving community, building responsibly, and valuing people. A focus on the activities we believe will create the most value in the long term for our stakeholders. During the financial year, we conducted an assessment using the double materiality approach to ensure that we continue to understand what matters most to our stakeholders. Understanding this, their most pressing issues is crucial to help shape our business strategy. It is clear one of the top issues is the shared goal of addressing climate change and reducing carbon emissions. Steady progress has been made to reduce our Scope 1 and 2 emissions, and we are taking further action this year to make sure emissions continue to come down. We have taken the significant step of setting and submitting for validation our ambitious near-term scientific-based carbon reduction targets for Scope 1, 2 and 3 in line with the goals of the Paris Agreement. In summary, over the last two years, the market has been incredibly strong. With elevated demand, partly resulting from people's changed priorities around working from home, we are now seeing a return to a more normal market where demand is moderating to historic levels. We capitalized on last year's strong market with our focus on house price inflation. This was possible because of our strong differentiated product, and these gains are now embedded in our forward order book. This provides the business with an additional resilience to weather any potential deterioration in the macroeconomic picture. In this market environment, our Heritage Collection remains highly desirable. Our focus on innovative placemaking, and with our premium detached homes, keeps us well-positioned to meet the requirements of our potential customers. The fundamentals of the market remain good. Interest rates, despite recent increases, are at historic low levels. Mortgage availability is very good, and employment levels are strong. We are well aware of the challenges of the increasing cost of living. It's clear our quality new homes will have the growing and additional point of differentiation from the second-hand market around energy efficiency. We've had a strong start to the first 10 weeks trading of the new year. Our revenue per outlet continued to be market leading of GBP 126,000 per outlet per week, demonstrating the desirability of our Heritage Collection. Our colleagues and partners strive every day to create quality homes and places for our customers. I'd like to once again thank them for their dedication, hard work and support, which is so crucial to Redrow's ongoing success. The advantage derived from our people combined with our approach to evolve our proven strategy places Redrow in an excellent position to continue its strong progress. Thank you.
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