Barratt Redrow Shares Drop Further as FY25 Home Completions Lower than Forecast

Barratt Redrow (LON: BTRW) shares extended recent losses on Tuesday after the housebuilder reported fewer home completions than expected for the financial year ended 29 June 2025, citing weaker demand in London and delays in investor purchases.

The company’s shares fell more than 12% at the open, to a low of 362.5p per share. The stock had already declined by over 17% this year. 

Total completions, including joint ventures, decreased 7.8% year-over-year to 16,565, below the group's guided range and the 17,972 delivered in FY24 on an aggregate basis. 

The company said completions were particularly impacted in the fourth quarter by lower-than-anticipated sales to international and private rental sector buyers in the capital.

Chief Executive David Thomas described the performance as “solid” despite market headwinds, noting that “adjusted profits are in line with market expectations.” 

He added that the integration of Redrow is “progressing well,” with cost synergies already ahead of schedule.

Despite the fall in completions, forward sales improved to £2.92 billion, representing 9,835 homes, and average selling prices rose, with private homes achieving around £380,000.

The company expects FY26 completions to rise to between 17,200 and 17,800 homes but warned that buyer sentiment remains fragile, constrained by high mortgage rates and affordability challenges.

Barratt Redrow confirmed it had identified £69 million in cost synergies from the Redrow merger, with £15 million recognised in FY25 and a further £45 million anticipated in FY26.