LAGAN Homes Group, the house-building business owned by Kevin Lagan, has reported that pre-tax profits have almost doubled to £6.2 million, with turnover rising by 23 per cent to £95 million for the calendar year 2020.
EBITDA, which is earnings before interest, taxes, depreciation, and amortisation, and is a measure of a company's overall financial performance, also soared from £6m in 2019 to £8.9m last year, and net current assets of £96m include cash balances amounting to £28m.
Headquartered in Belfast, with operating divisions across Ireland and in Britain, Lagan Homes continues to grow its footprint with high quality land bank acquisitions across all three regions.
Powered by the £455m sale of his construction materials group to Breedon plc in April 2018, Kevin Lagan and the family investment vehicle, Lagan Investments, have embarked on a managed growth strategy with all of the businesses retained, including Lagan Homes Group.
This focus on growth has involved substantially expanding the core Northern Ireland and England divisions of Lagan Homes, as well as starting a new Irish housing business to cater for the Greater Dublin commuter belt.
Lagan Homes has also strengthened its senior management team to underpin this growth agenda.
Kevin Lagan said: “We have a focused and targeted commitment to build quality homes with a strong development pipeline and future build programme to help address the growing demand within the new family homes market.
“We have invested in our teams and supply chains to ensure that our processes match our sustainability agenda."
He added: “While there are some market challenges ahead, including planning process delays, ongoing effects of Covid and the well reported supply chain issues, our objectives remain focused on consistent, quality and timely delivery on our commitments to our customers, suppliers and, of course, to our key resource, our people.
“Long-standing relationships with our industry suppliers and subcontractors, combined with high levels of customer satisfaction, positions us very well to deliver strongly again in 2021, allowing house reservations to reach an all-time high, with profitability ahead of our 2020 results."
Over the trading year Lagan has invested in sustainable modular timber frame operations in FastHouse (Limavady) and, more recently, in Frame-Tech Structures (Huddersfield).
These businesses have the combined capacity for more than 3,000 housing units a year, servicing markets across GB and Ireland.
