Sheffield-based property investment and construction group Henry Boot announced its first-half profit before tax soared 68% to £38.8 million “due to strong performance of residential land sales and industrial development activity” in the six months to June 30, 2022.

Henry Boot reported a 1.9% increase in H1 revenue to £144.4 million “driven by land disposals and property development completions.”

The firm declared an interim dividend up 10% to 2.66p “reflecting the group’s strong operational performance and in line with our progressive dividend policy.”

Henry Boot CEO Tim Roberts said: “We have had one of our best ever first half years with materially rising profits and good progress achieved against our strategic targets.

“Taking advantage of our three key markets we have made significant sales whilst being selective on purchases.

“This has allowed us to keep gearing low, despite continued investment in our high-quality committed development programme and our growing housebuilder, and at the same time increase our interim dividend by 10%. 

“We have worked hard to do our best to adjust to supply restrictions, inflation and an increasingly complex planning system.

“This work, together with our committed team of people and the relatively high level of forward sales for 2023, see us well placed as we enter what seems yet another period of economic uncertainty.”

In his outlook, Roberts added: “The group has begun the second half of 2022 positively and, whilst performance is expected to be heavily H1 22 weighted, we anticipate achieving a year-end ROCE in the upper half of our target range of 10%-15%.

“We are also building up forward sales for 2023 and beyond.”