- Retirement home developer McCarthy & Stone said it would hold its 2018 dividend steady, as it also announced the results of a sweeping strategic review to combat tough trading conditions.

The company said it had decided to shift its focus from growing revenue to generating better returns on capital and higher margins.

It also said it would 'rightsize' its operating cost base and would target savings of £40m a year by the 2021 financial year.

It wasn't clear from the company's statement if jobs cuts were involved in the plan.

Operating margins were targeted to exceed 15% by 2021, while return on capital employed was targeted to also exceed 15% in the same timeframe, rising to over 20% by 2023.

McCarthy & Stone also confirmed it had appointed interim chief executive John Tonkiss to the role on a permanent basis.

'We are positioning the business to succeed in the current challenging market environment and over the next three years,' Tonkiss said.

At 10:01am: [LON:MCS] McCarthy Stone Plc share price was +8.5p at 129.8p

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