Sheffield-based affordable house builder MJ Gleeson plc reported higher revenue for the year but lower profit as average home prices dipped.

The company said it would meet market expectations for the current year and remains on track to create 3,000 new homes a year. 

For the latest 12-month period, Gleeson reported revenue of £345.3 million, up from £328.3 million the previous year. Profit before tax fell to £24.8 million from £31.5 million last year. 

It said underlying selling prices increased by 1.5%, but changes in mix of homes being sold resulted in a 0.3% reduction in average selling prices to £185,700.

“July’s long-awaited reduction in interest rates undoubtedly raised confidence among customers,” the company said. “The Board is hopeful for a more stable economic outlook, notwithstanding the recent commentary from government, which, along with the expected cuts in interest rates and the availability of cheaper mortgages, should see buyer confidence continue to build over the coming months.”