Updated / Thursday, 27 Feb 2025 18:18
Home builder Cairn Homes has reported higher revenues and profits for 2024 and said it expects this year to be another strong year for its operations.
Cairn’s revenues for the 12 months to the end of December jumped by 29% to €859.9m from €666.8m in 2023, while its operating profits rose by 32% to €150m from €113.4m.
Its profit after tax rose to €114.6m, from €85.4m the previous year, which it said equated to basic earnings per share of 17.9 cent, up from 12.7 cent in 2023.
Cairn said the average selling price of its homes (net of VAT) during 2024 was €383,000, down from €389,000 in 2023 due to what it said was a “significant” step-up in the delivery of competitively priced social and affordable homes for its State partners.
It closed a total of 2,241 sales last year, up from 1,741 units in 2023.
The compete said its closed and forward order book increased to 2,593 new homes with a net sales value of €989m, compared to a closed and forward order book value of €946m and 2,473 new homes at this time last year.
It also reported over 4,100 new homes commencements – up from 2,162 the previous year – including ten new large-scale developments.
The Cairn Board has recommended a final dividend of 4.4 cent per ordinary share, which, combined with the interim dividend of 3.8 cent per ordinary share, results in a total dividend of 8.2 cent per ordinary share for the year.
The company noted that mortgage market conditions remain positive. It said that recent figures from Banking and Payments Federation Ireland showed that first time buyer mortgage drawdowns for new homes in 2024 were at €3.1 billion, an increase of over 13% in volume and 15% in value compared to 2023.
It said it invested €99.5m on strategic land acquisitions last year, which it said underpinned its future growth. The figure was up from the €57.9m it had spent in 2023.
Cairn said it had a number of starter home launches nationwide last year including its landmark development in Seven Mills in Clonburris, Dublin 22, Graydon in Newcastle, Co Dublin, Sorrel Wood in Blessington, Co Wicklow and its first developments in Kilkenny at Nyne Park and in Cork at Bayly.
“The demand from private purchasers, across all price points, remains exceptionally strong
and has continued into the early months of 2025,” Cairn said.
“The company will meaningfully increase sales to our core FTB market over a multi-year period. In H1 2025 we have 11 new private launches planned, including our first Croí Cónaithe approved apartment
development for owner occupiers,” it added.
Michael Stanley, Cairn’s CEO, said the company made significant progress in its financial performance last year based on a foundation of continuous and substantial investment in the delivery of new homes for private buyers and for the State.
“We will continue to be relentless in driving efficiencies through scale, innovation, digital and sustainable construction to deliver new homes at pace, scale and value for money,” the CEO said.
“We look forward to another strong year of growth in housing output. The newly elected Government has put new home delivery front and centre in its Programme for Government,” he stated.
“While policy makers give due consideration to the strategic challenges surrounding housing delivery in the medium term, there are numerous quick wins that can deliver substantially more homes in the short term. This is the time for the Government to be brave and I have confidence that we and the broader industry will respond in kind,” he added.
Shares in the company ended flat in Dublin trade today.
