Flagship Finance Plc
Issued: 16 February 2024
Flagship Housing Group Limited ('Flagship' or 'Flagship
Housing Group') performance update
"FLAGSHIP GROUP DELIVERS STRONG PERFORMANCE"
Flagship Housing Group,
East Anglia's leading provider of housing, today
announces its trading update for the 9-month period to 31 December
2023 (the "Period").
Headline results and key highlights
·
Turnover of £189m year to date, of which £137m
(72%) is turnover from social housing, up from 65% in
2022/23;
·
Operating margin (including asset disposals and
gain on joint ventures) of 39% compared to 33% in
2022/23;
·
Operating surplus of £74m compared to £64m in
2022/23;
·
465 new affordable homes delivered year to date
compared to 353 in 2022/23;
·
Arrears percentage remains steady year-on-year and
void loss is at lowest point since before the pandemic;
·
60% of our homes are at EPC C or above;
·
Social lettings interest cover increased to 244%
from 231% in 2022/23; and
·
Gearing continues to fall, down to 43% from 44% in
2022/23.
We continue to track favourably
against key financial performance metrics delivering against our
annual budget priorities as we head toward the end of our financial
year.
Our purpose is to provide homes and
create sustainable communities. Our 5-year plan includes c.£0.5bn
investment in our existing homes and c.2,500 new affordable homes,
testament to our robust financial viability which enables us to
continue building new homes and improving our existing homes
despite the economic challenges all registered providers are
facing.
Message from Chief Financial Officer
Jonathan McManus, Chief Financial
Officer, Flagship said:
"We continue to deliver strong financial performance in line
with our budget and longer-term business plan. Our disciplined
approach means that we can continue to invest in our properties and
services to customers.
"So far, this financial year, we've invested over £74m in our
existing stock and more than £90m into building new homes. Our
arrears have continued to reduce since 2021, despite cost-of-living
pressure on our tenants. This is primarily due to our data-driven
approach that empowers us to identify trends at an early stage,
allowing us to offer a supportive response to those in arrears.
Additionally, by proactively engaging with new tenants from the
outset, we've been able to help them thrive in their
tenancies.
"We have our lowest level of voids since before the pandemic,
and have confidence in our long-term investment plans, following
the completion of our programme to enhance our stock condition
survey position. We also believe that our tenant satisfaction
scores are competitive against our peers.
"Our performance continues to be underpinned by our focus on
great people doing great things and spending money wisely and
together with our sound leadership, delivers solid governance and
robust financial viability."
Please find a link to our latest Investor update recording
which has been published on our website. www.flagship-group.co.uk/performance-update
If
you would like a separate 121 session or have any specific
questions, please contact our investor relations team on
IR@flagship-group.co.uk
