Berkeley Group Shares Jump as Year-End Results Beat Fears

Shares in Berkeley Group Holdings (LON: BKG) surged 5.2% to 3,626p in early trading on Wednesday after the FTSE 100 housebuilder posted full-year results that landed in line with its own guidance — a reassurance for a market that had feared worse.

The London-focused brownfield developer reported pre-tax profit of £451.4 million for the year ended 30 April 2026, down 14.7% year-on-year from £528.9 million, but squarely in line with the guidance it reiterated when it rephased its Berkeley 2035 strategy on 1 April.

Basic earnings per share came in at 331.6p, broadly matching the analyst consensus of around 334p per share tracked by Yahoo Finance.

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The balance sheet was a key source of relief. Net cash climbed to £363 million from £337 million the prior year — even after £233 million of share buybacks — while bank facilities were refinanced after year-end, boosting total liquidity to £1.8 billion.

Net asset value per share rose 9% to £39.17, sitting well above today’s share price and underlining the ongoing argument for continued buybacks.

Executive Chair Rob Perrins signalled that buybacks will accelerate while the stock trades below NAV. Berkeley has now returned £372 million under its £2 billion Berkeley 2035 shareholder returns programme, with a further £528 million targeted by September 2030.

The company delivered 4,203 homes in the year, 90% on brownfield land, and secured major new planning consents including an 8,000-home masterplan at The Green Quarter in Ealing. Revenue fell modestly to £2.38 billion, with forward sales at £1.0 billion reflecting subdued market urgency.

Berkeley also issued a stark warning that London is building less than 10% of the homes it needs, calling for urgent SDLT reform and regulatory streamlining.