A strong and improved half year financial performance for bpha

bpha delivered a strong financial performance and increased its overall operating surplus by 27% to £36.1m.

The core housing business continued its stable performance, reporting an increase of £0.5m, to deliver an operating surplus of £25.1m. The development and sales operation showed an expected rebound and reported an £18.4m increase in turnover on the same period last year to £32.8m.

bpha’s robust financial stewardship and strong operating cashflows from the core housing lettings business has seen its rating outlook improve from A+(negative) to A+ (stable).

Read our flipbook for Half Year Financial Report

CFO, Julian Pearce, said:

“The results are very positive, especially in the face of the ongoing challenges presented by the pandemic and the external environment.

While these challenges will continue, including cost pressures on material supply and labour, our ongoing financial stability will continue to support our mission to build and maintain quality homes and thriving communities to meet the needs of all our customers.”

Summary

Core operating business demonstrated a strong and stable financial performance with an operating surplus of £25.1m which was £0.5m higher than the same period last year
Operating cashflows from the core business increased by £1.9m to £32.1m and comfortably covered interest payments of £19.3m and £6.6m improvements to housing properties, providing a cash surplus of £5.7m to contribute to future development
Credit rating outlook improved from negative to stable
Turnover for the development and sales business of £32.8m was £18.4m higher than the same period last year resulting in a £7.1m increase in the surplus
A substantial 27% increase to the overall operating surplus which has increased to £36.1m