Springfield’s H1 update reiterates current year expectations and reinforces our confidence in the medium-term outlook for the Group.
Momentum in private housing reservations was sustained through the first half, whilst the affordable housing business achieved a significant increase in gross margin driven by contracts won in the prior year.
Affordable housing providers have been more hesitant in awarding contracts in recent months but last week’s Scottish budget confirmed a material increase in funding for affordable homes delivery in FY25/26, which should stimulate activity into FY26. Springfield continues to engage with stakeholders in the major infrastructure projects planned for the North of Scotland, where it has a significant landholding.