StockMarketWire.com - British house builder Taylor Wimpey has said it expects to end the year with a net cash balance towards the upper end of its guidance after 'robust' sales in the second half, according to its trading statement.

The company projected it would end 2020 with a net cash balance towards the upper end of its guidance of between £550 million and £750 million, above the cash balance £545.7 million at the end of 2019 - subject to the timing of conditional land purchases. Land creditors are expected to run above normal levels over the next 24 months as additional capital is committed and gradually paid out.

If the market remains broadly stable, Taylor Wimpey expects to deliver 2021 operating profit materially above the top end of the current consensus range.

Chief executive Pete Redfern said: 'We have made good progress in the second half of the year to date, maintaining a robust sales rate and building a strong forward order book. Looking ahead, we are on track to deliver full year 2020 results towards the upper end of market expectations and with strong operational momentum and positive forward indicators, our confidence in 2021 has increased.'

The company expects to recommence ordinary dividend payments in 2021, starting with the payment of the 2020 final dividend. It will review the special dividend in 2021 for payment in 2022.







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