Vistry Group (LON:VTY) Issues Earnings Results

Vistry Group (LON:VTY) posted its quarterly earnings data on Thursday. The company reported GBX (18.80) earnings per share for the quarter, Digital Look Earnings reports. Vistry Group had a net margin of 3.82% and a return on equity of 4.20%.

Here are the key takeaways from Vistry Group’s conference call:

• Negative Sentiment: Vistry reported a first-half loss of £30 million before CEO-review items, with £50 million of discounting used to clear stock. The review also identified approximately £470 million of further site, land and WIP adjustments, alongside a £475 million non-cash goodwill impairment and £79 million building-safety charge.
• Positive Sentiment: Management is refocusing the business on a simpler mixed-tenure model targeting a 60% partnerships/40% open-market split, 12,000 annual units, a 12% operating margin and more than 30% ROCE by FY2031. Owned land is expected to fall from 51,000 to 36,000 plots, with greater investment discipline and lower capital intensity.
• Positive Sentiment: Deleveraging is progressing, with land creditors reduced by more than £100 million in the first half and expected to fall by roughly £300 million during 2026. Vistry targets average daily net debt of £500 million in FY2027 and £300 million from FY2029, while stating that no equity raise is expected.
• Positive Sentiment: Vistry received £350 million of direct funding from the UK’s £9.6 billion affordable-housing grant program, the largest allocation to an individual provider. It also has five strategic development agreements signed, 10 more in advanced discussions and approximately 20,000 committed homes over five years through these partnerships.
• Negative Sentiment: Open-market sales remained weak, with reservations slowing to 0.3 per outlet per week and discounting increasing to about 8% year to date; PRS demand is also being held back by high bond yields. Management expects FY2026 profit before tax to be no more than £125 million before the review impacts and is guiding to £185 million for FY2027, assuming stable open-market conditions and improved partner funding.

Vistry Group Stock Performance

Vistry Group stock traded down GBX 2.42 during mid-day trading on Friday, reaching GBX 257.18. 2,990,024 shares of the stock traded hands, compared to its average volume of 13,213,957. The stock has a market capitalization of £817.46 million, a PE ratio of 6.12, a price-to-earnings-growth ratio of -0.20 and a beta of 1.86. The company has a debt-to-equity ratio of 17.93, a current ratio of 2.52 and a quick ratio of 0.56. Vistry Group has a 12-month low of GBX 220 and a 12-month high of GBX 746.40. The business’s 50-day moving average is GBX 277.54 and its 200-day moving average is GBX 294.59.

Insider Transactions at Vistry Group

In other Vistry Group news, insider Paul Whetsell acquired 15,000 shares of the stock in a transaction dated Tuesday, July 14th. The shares were purchased at an average price of GBX 253 per share, for a total transaction of £37,950. Also, insider Adam Daniels acquired 38,372 shares of the company’s stock in a transaction that occurred on Wednesday, July 15th. The stock was acquired at an average cost of GBX 261 per share, for a total transaction of £100,150.92. Insiders own 1.23% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Jefferies Financial Group reaffirmed a “hold” rating and issued a GBX 274 price target on shares of Vistry Group in a research report on Friday. Royal Bank Of Canada restated an “underperform” rating and issued a GBX 180 price target on shares of Vistry Group in a research note on Friday, September 18th. Finally, JPMorgan Chase & Co. reduced their price objective on Vistry Group from GBX 430 to GBX 210 and set an “underweight” rating for the company in a report on Monday, June 15th. Two equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Reduce” and an average price target of GBX 422.14.

Key Stories Impacting Vistry Group

Here are the key news stories impacting Vistry Group this week:

• Positive Sentiment: Jefferies reaffirmed its “hold” rating and set a GBX 274 price target, modestly above the recent trading level. This suggests the broker sees some potential recovery, although not enough to justify a bullish recommendation.
• Neutral Sentiment: Vistry is closing offices, reducing its building targets and reorganising operations as part of an overhaul. The moves could lower costs and conserve cash over time, but they also indicate a smaller business and weaker expected activity. Vistry shuts offices and cuts building targets in overhaul
• Negative Sentiment: Vistry reported a first-half loss of approximately £661 million, compared with a profit previously, and posted quarterly earnings per share of GBX (18.80). The results reflect significant pressure on profitability and asset values. Vistry Group Turns To H1 Loss; Cuts Annual Profit Outlook
• Negative Sentiment: The company cut its annual profit outlook and announced a major business rethink, increasing uncertainty around earnings, construction volumes and future shareholder returns. The shares remain substantially below their 12-month high, underscoring the loss of investor confidence. Vistry Group Unveils Business Overhaul Amid First-half Loss; Shares Plunge

Vistry Group Company Profile

Vistry Group is a leading homebuilder developing in partnership to deliver sustainable homes, communities, and social value, leaving a lasting legacy of places where people love to live.

Operating across 25 regions, we build homes for those who need them right across the UK. Our partners include Registered Providers, Local Authorities, Homes England and Private Rented Sector providers.

Our timber manufacturing capability, Vistry Works, is at the core of our strategy to deliver more quality homes, faster.

We sell homes on the open market through three respected brands: Bovis Homes, Linden Homes, and Countryside Homes.