Joint Ventures pay off for Hill as housebuilder reports significant business growth

Hill, the award-winning top 20 housebuilder, has announced exceptional annual results for 2017. The company has grown to become the UK’s third largest privately owned housebuilder, and the family run business continues to be overseen by founder and Chief Executive, Andy Hill.

The figures show that Hill has increased turnover to £416 million – a 13 per cent rise on last years’ numbers – while profits have risen by 27 per cent to £47.2 million. The business has achieved stunning growth over the past five years, with turnover rising by 170 per cent and profit by 547 per cent since 2012, setting it well on course to achieve its 2020 strategy targets. The business has also seen growth in the value of its pipeline of new private homes to £1.6 billion.

A large part of Hill’s success in 2017 was driven by the company’s investment in joint ventures, cementing the reputation as the “partner of choice” in the housebuilding sector. Working with housing associations and local authorities in London and the Home Counties, these partnerships have enabled delivery of high quality homes at speed, leveraging Hill’s knowledge and expertise to deliver at pace and scale.

Andy Hill, Chief Executive at Hill, comments:

“Over the last five years we have seen significant growth and have firmly cemented our position as the third largest privately owned housebuilder in the country. Our plans going forward are equally ambitious. We remain incredibly focused on playing our part to deliver more homes to more people and the growth in our pipeline demonstrates our commitment to this challenge.

“The past year has seen us work more closely with local government and we believe this will enable us to achieve further outstanding growth in the coming years. We’re finding that many local authorities are keen to better utilise local land but require our in-house resource and expertise to deliver at scale and speed. We’re able to act as a trusted delivery partner and extension of their team, ensuring that they are able to make best use of their assets and deliver on local needs.

“Our priority for the next year is to continue on our upward trajectory, undertaking larger joint venture projects with a key focus on estate regeneration and community creation. We’ve built up a reputation for delivering high-quality, distinctive homes and this year’s highlight was being awarded 5* housebuilder status in the HBF’s annual customer satisfaction survey. We also expect to take on a significant number of new staff later this year as we look to build further on our success.

“The external environment remains supportive of the delivery of new homes and as a rapidly growing top 20 housebuilder we aim to play our part in delivering desperately needed new homes.”

An overview of Hill’s 2017 financial performance is as follows:

  • Turnover: £416 million
  • Net Assets: £133 million
  • Profit before tax: £47.2 million
  • Private units pipeline: 3,350+
  • Private units pipeline value: £1.6 billion
  • Contract value pipeline: £1.1 billion

Hill’s 2020 strategy will see the business increase the number of homes it completes to in excess of 2,500 per annum by the end of the decade. The housebuilder also intends to grow turnover to £850 million with profits approaching £100 million.