Churchill Retirement Living has received positive full year results after a difficult year during Covid-19. Revenue has increased by 75% up to £160m, compared to the previous year where they made £91.4m. Alongside this, pre-tax profit has recovered from the previous £11.3m loss up to £38.9m and operating profit has risen to £43m. Average selling price also increased to an average of £330,000 compared to £319,000 in 2020 and operating margin significantly improved to 26.9%.
The positive results have been partly due to the government’s stamp duty holiday, which aided sales and Churchill stated that 38% of its sales took place under its part exchange service. The company focused its resources on “protecting the welfare of our apartment owners, the safety of our colleagues and the resilience of the business to protect jobs” and have found that those living in its schemes are three times less likely to catch Covid.
Churchill have a strong pipeline for the next year and have a growth plan in place to achieve 1,000 property sales in 2025, create more jobs and achieve a national presence, which has been supported by the opening on their new region based in Warrington.
Spencer McCarthy, Churchill’s chairman and CEO, said: “I am very pleased to report a strong financial performance and a return to profitable growth after a year dominated by our response to Covid-19.
“During the year we saw a rebound in consumer confidence, with the loneliness of lockdown causing many people to think hard about their living situation and consider the benefits of moving to a safer, lower maintenance home with more support and opportunities to socialise.
“Nonetheless, we continue to face an uphill battle in several areas where reform is desperately needed help to unlock the UK’s housing supply.”