Sheffield-based affordable house builder MJ Gleeson said on Tuesday the expected sale of a site by its Gleeson Land business “is unlikely to complete in the current financial year.”
Gleeson said further that delays by national housebuilders in their decision making and acquisitions of land will likely delay the timings on two smaller transactions.
Shares of MJ Gleeson fell around 3% to £2.36 and are down about 44% in 2026, cutting its stock market value to around £137 million.
The Sheffield firm said: “As previously communicated, Gleeson Land has been extensively engaged in the sale of a site which would account for approximately 50% of the total forecast plots to be sold in FY2026.
“Whilst significant progress has been made in respect of this site, the transaction is unlikely to complete in the current financial year.
“The majority of conditions required to achieve formal technical approval have been agreed, and the Group expects to conclude the remaining conditions soon. Completion of the transaction is now anticipated during the first half of the new financial year.
“The board notes the recent commentary regarding the national housebuilders reviewing their land buying strategies given the current market environment.
“Delays in their decision making and acquisitions of land will likely impact the timings on two smaller transactions, originally expected to complete in FY2026, which are also now expected to conclude in the first half of FY2027.
“However, we continue to expect the sale of one further site in June 2026. Notwithstanding the timing differences on completions of the above sites, the Group is encouraged that demand remains solid for high quality sites.
“Trading in Gleeson Homes is in line with management’s expectations for the full year. The impact of the Gleeson Land transactions being deferred into FY2027 is expected to result in Adjusted Group PBT for the year being approximately £7.5m lower than current market expectations.”
MJ Gleeson CEO Graham Prothero said: “The Gleeson Land team have cleared almost all of the technical hurdles to facilitate the disposal of the major site and it is frustrating that completion will now fall into the next financial year. The progress to date should not be underestimated and represents a strong performance by the team.
“There is no doubt that housebuilders, in the south of England, are reviewing and reappraising their land buying strategies and we anticipate these conditions will continue through the next financial year.
“The good news is that there is continuing demand for the highest quality developments, which is where Gleeson Land is now focused with a portfolio of prime sites. Transactions will take longer but we are confident that sales of prime sites will continue.”
MJ Gleeson’s company compiled consensus of adjusted group profit before tax for the year ending June 30, 2026, is £17.8 million with a range of £16.4 million to £18.5 million.