Berkeley reports 42% pre-tax profit surge in strong recovery from financial crash

Housebuilding company Berkeley reported a 42% rise in pre-tax profit over its financial year to 30 April 2015.

In its final results published on 17 June, the company showed its recovery from the financial crash in 2008 by reporting a 30.8% sales increase.

"This result underlines the benefit of operating the right strategy consistently through the cycle," chief executive Tony Pidgley said in a press release.

"By maintaining our financial discipline Berkeley can apply its unique operating model to develop sites which are complex and where others may perceive that the risk is too great."

Shareholders received 263.6p in adjusted earnings per share, an increase of 18.8% on the year to April 2014.

Berkeley reported that it had sold more 3,355 new houses for an average selling price of £575,000, which is almost three times as expensive as the average UK house price.

The company has been performing very well in the last months and saw a surge in its share price after the Conservative win in the General Election, because the government's Help To Buy scheme, aimed to help first time house buyers, provides stability for housebuilding companies.