Taylor Wimpey saw its profits plummet last year and has slashed its dividend for shareholders.
In its annual results, the group said ‘uncertainty’ ahead of the late Autumn Budget affected sales through the second half of 2025 and its order book coming into 2026.
And chief executive Jennie Daly flagged ‘continuing market uncertainty and more recent geopolitical events’ as the housebuilder reported a 54 per cent fall in pre-tax profits to £146.5million. It came despite revenue climbing 13 per cent to £3.8billion.
The London-listed business announced a final dividend of 2.95p per share, down by more than a third from 2024’s 4.66p per share payout, but also launched a £52.3million share buyback scheme.
The FTSE 250 firm said: ‘We recognise the importance of cash returns to shareholders and have demonstrated our commitment to making significant distributions.’
Results: Taylor Wimpey saw its profits plummet last year and has slashed its dividend for shareholders
Taylor Wimpey, which flagged the tone of today’s results in a January update, said that while affordability for buyers was ‘slowly improving’, demand remained ‘muted’, particularly in the south of England and among first-time buyers.
Britain’s third-largest housebuilder sounded the alarm over its profit margins in January, warning they looked set to come in lower this year than last year.
The group said this week that the average selling price on private completions in the UK came in at £374,000 last year, up from £356,000 in 2024.
It reported an increase in home completions, having built 10,614 new-builds in 2025, six per cent more than the previous year.
It expects to complete 10,600 to 11,000 new-builds this year, suggesting a 4 per cent drop compared to 2025.
The group said: ‘We enter the next stage of the housing cycle with ongoing customer affordability constraints, but with positive planning reform to drive greater supply of much needed new homes.’
Housebuilders have been rocked by turbulence this week.
On Wednesday, Vistry shares plunged by 20 per cent after the group announced its executive chairman and chief executive, Greg Fitzgerald, would step down over the next year. The group said its annual results were broadly in line with forecasts.
Barratt Redrow said on Wednesday also announced that it was replacing its chief executive, David Thomas, with former infrastructure boss Dean Banks.
Taylor Wimpey shares rose 3.03 per cent or 3.09p to 104.99p on Thursday morning, having fallen around 5 per cent in the past year.
Oli Creasey, head of property research at Quilter Cheviot, said: ‘Taylor Wimpey’s full year results contained few surprises this morning. Having already guided to completions, revenues and operating margin in a January trading statement, this morning’s announcement has largely confirmed those figures.’
He added: ‘The company has reiterated medium term guidance for 14,000 completions per year, and a profit margin between 16-18 per cent. However, both metrics are some way below 2025 figures, and with deterioration expected in 2026, it is becoming increasingly difficult to see those targets reached within the expected three to five year timeframe.’
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