Jump to content
House Price Crash Forum
Its time to buy

2nd Biggest Uk Housebuilder Taylor Wimpey In The Red

Recommended Posts

http://business.timesonline.co.uk/tol/busi...icle3499303.ece

Taylor Wimpey, Britain's largest housebuilder, dismissed any hope of a rapid recovery in the property market as it plunged into the red and said that its order book had fallen by 20 per cent.

The company, formed almost a year ago after the £5.5 billion merger of Taylor Woodrow and George Wimpey, said yesterday that a £405.5 million pre-tax profit in 2006 had turned into a £19.5 million loss last year. George Wimpey last reported a loss 15 years ago in the last housing market crash.

http://www.manchestereveningnews.co.uk/new..._face_ftse_boot

HOUSEBUILDER Taylor Wimpey and pest control firm Rentokil Initial were today facing the boot from London's FTSE 100 Index.

Crash confirmed!

Share this post


Link to post
Share on other sites

And they can be guaranteed that the loss they made in the last crash will not be the same in this crash. This time it will be at least 3 times as bad given the size of the bubble, the world credit crisis and the huge levels of fraud that have fuelled the latest bubble.

Among the world's worst investments as of now are builder shares. Notice how none of them are calling a "spring bounce."

Share this post


Link to post
Share on other sites

A warning why the stock market is volatile -

http://www.sharecrazy.com - type in TW. in the search for share box

That will generate Tayloy Wimpeys information page.

Below on that page is a table of profits and earnings over the last 2 decades

Record turnover, increasing dividends... then bam a big loss out of the blue...

Edit - no direct link to page available

Edited by notanewmember

Share this post


Link to post
Share on other sites
http://business.timesonline.co.uk/tol/busi...icle3499303.ece

Taylor Wimpey, Britain's largest housebuilder, dismissed any hope of a rapid recovery in the property market as it plunged into the red and said that its order book had fallen by 20 per cent.

The company, formed almost a year ago after the £5.5 billion merger of Taylor Woodrow and George Wimpey, said yesterday that a £405.5 million pre-tax profit in 2006 had turned into a £19.5 million loss last year. George Wimpey last reported a loss 15 years ago in the last housing market crash.

http://www.manchestereveningnews.co.uk/new..._face_ftse_boot

HOUSEBUILDER Taylor Wimpey and pest control firm Rentokil Initial were today facing the boot from London's FTSE 100 Index.

Crash confirmed!

Altogether now........poor old Taylor Wimpey :( ..........................................................

............................. :lol::lol::lol::lol::lol::lol::lol:

Share this post


Link to post
Share on other sites

GOOD!

Hope they and their overpriced, rabbit hutch, one tiny size fits all areas of the country, crappy little boxes disappear into a huge hole somewhere never to re-surface and blight the landscape again.

What we need is for one of these moronic companies to have overstretched themselves on the borrowing (are their directors all completely and utterly stupid - did they think it could go on forever?) and to go broke soon.

Barratts are building what will no doubt be overpriced shoeboxes near me at the moment. Peeked in through the gate the other evening. They have the ground floor done on some of them. You look at it (the ground floor) and think ... is that a garage or a house? But I was in the industry long enough to know it is the footprint of a 2 bed terraced house. The back garden will be a patio. The area in front of the house will be parking. I would imagine they'll tart them up by having some mock stone window cills or some such nonsense and maybe even a fibre-glass mock georgian porch. The interiors will, no doubt, be contemporary and the inclusion of a plasticy see-through bathroom sink will no doubt add thousands to the price. The master bedroom (10' x 11') will have an ensuite shower with tiny basin and loo (6' x 2'6")(that's 15 square feet of real valuable real estate) and I would put money on them being priced at about £325k.

It is ****ING madness.

Edited by Lets' get it right

Share this post


Link to post
Share on other sites
Sheesh! What happened to strong demand in the UK housing market, and solid fundamentals? Looks like they left via the back exit sometime around October 2007!

Looks like they've been building with bullsh!t instead of sand and cement.

Which reminds me of something. Back in the 80s it became popular to buy loads of coloured lime mortar - as opposed to buying sand and colouring it. The advantage of buying it ready mixed was that the colour was consistent.

I was on a job once where the bricklaying subcontractor started (gave a job to) a new labourer. A brickie's labourer knocks up (mixes) the mortar and takes it to the bricklayers. After a couple of days the brickie foreman went up to the labourer and asked him when he would need cement to be delivered. The labourer said 'we've still got a couple of ton'. The brickie foremen said 'but you should only have about half a ton left' ... and, after a bit of investigation twigged the labourer had not been adding cement to the lime mortar! Now, you can get away with this because, in years gone by, mortars did not contain cement - they contained lime. But a lime mortar is much weaker than a lime mortar with cement - or a straight sand/cement mortar. The houses in question had quite a bit of detailing on them - dentil courses in the brickwork - so the 'lifts' the brickies had put on were not very high, just half a dozen courses on the houses they had worked on.

The brickie foreman brought the matter to my attention. Do we demolish and do it again with cement added or not? I called Head Office. They did a bit of research with the Building Research mob ... and decided to leave things as they were. Some people in a certain part of the country on a certain housing estate have no idea that some of the mortar holding their houses up has no cement in it.

Even then money talked.

Edited by Lets' get it right

Share this post


Link to post
Share on other sites

how the hell can they make a loss with prices the way they are?????????????????????????????????????

100k to build a 3bed.

average price. 200k

profit 100k

WTF??

prices drop 2% and they are shitting themselves. whats happening?

Share this post


Link to post
Share on other sites

I ve made a small error on the size of this company - the Times calls it "Britains largest housebuilder" but I m not sure what measure they are using - If I go by market capitalisation, its the second biggest after Persimmon [and no they are not showing losses in their latest financial statement - YET].

?

Share this post


Link to post
Share on other sites
GOOD!

Hope they and their overpriced, rabbit hutch, one tiny size fits all areas of the country, crappy little boxes disappear into a huge hole somewhere never to re-surface and blight the landscape again.

What we need is for one of these moronic companies to have overstretched themselves on the borrowing (are their directors all completely and utterly stupid - did they think it could go on forever?) and to go broke soon.

Barratts are building what will no doubt be overpriced shoeboxes near me at the moment. Peeked in through the gate the other evening. They have the ground floor done on some of them. You look at it (the ground floor) and think ... is that a garage or a house? But I was in the industry long enough to know it is the footprint of a 2 bed terraced house. The back garden will be a patio. The area in front of the house will be parking. I would imagine they'll tart them up by having some mock stone window cills or some such nonsense and maybe even a fibre-glass mock georgian porch. The interiors will, no doubt, be contemporary and the inclusion of a plasticy see-through bathroom sink will no doubt add thousands to the price. The master bedroom (10' x 11') will have an ensuite shower with tiny basin and loo (6' x 2'6")(that's 15 square feet of real valuable real estate) and I would put money on them being priced at about £325k.

It is ****ING madness.

Yes, they did! Muppets as they are and always will be :lol: Let's hope the parasites follow all the other house builders and Foxtons et al into administration. :P

Share this post


Link to post
Share on other sites
GOOD!

Hope they and their overpriced, rabbit hutch, one tiny size fits all areas of the country, crappy little boxes disappear into a huge hole somewhere never to re-surface and blight the landscape again.

What we need is for one of these moronic companies to have overstretched themselves on the borrowing (are their directors all completely and utterly stupid - did they think it could go on forever?) and to go broke soon.

Barratts are building what will no doubt be overpriced shoeboxes near me at the moment. Peeked in through the gate the other evening. They have the ground floor done on some of them. You look at it (the ground floor) and think ... is that a garage or a house? But I was in the industry long enough to know it is the footprint of a 2 bed terraced house. The back garden will be a patio. The area in front of the house will be parking. I would imagine they'll tart them up by having some mock stone window cills or some such nonsense and maybe even a fibre-glass mock georgian porch. The interiors will, no doubt, be contemporary and the inclusion of a plasticy see-through bathroom sink will no doubt add thousands to the price. The master bedroom (10' x 11') will have an ensuite shower with tiny basin and loo (6' x 2'6")(that's 15 square feet of real valuable real estate) and I would put money on them being priced at about £325k.

It is ****ING madness.

YES ---- ALL THIS CR@P WAS A MASSIVE BUBBLE PUMPED UP AND HELD UP WITH LIAR LOANS.

I HOPE THEY ALL BURN IN HELL.

Share this post


Link to post
Share on other sites

From the Telegraph ...

"Mr Darling's answer is a new system of "kite-marking" that will effectively give every mortgage deal a quality rating.

That would allow mortgage firms to raise money on wholesale markets by offering bonds secured against the home and repayments of their most reliable customers.

In a speech last month, Mr Darling promised a new "gold standard" for covered bonds and mortgage-backed securities. He said the move would help "not just the housing market but wider economic growth in these uncertain times".

However, there are concerns that grading mortgages according to customers' reliability could create a two-tier system for would-be house buyers.

The richest and most secure customers would be able to access cheap loans raised on international markets, which would not be available to poorer customers.

The Council of Mortgage Lenders has warned that a quality-mark system risks "driving a wedge" between different groups of mortgage customers."

Mr. Darling really doesn't get it. It was packaging up debt and selling it on that caused the problem in the first place. Because this means that the same money is lent over and over again to ever riskier people. If you don't want to lend to riskier people, there is no need to keep packaging the debt.

He also doesn't get that prices are set at the margins. And if you make credit cheaper for low risk customers and more expensive for high risk customers (more so than it already is of course) - then the volume of deals will fall and prices with them. No one will be chasing the market higher because there won't be that many market participants. You'll probably see a widening of prices between desirable properties and ordinary properties.

He is a dipstick. Who made him chancellor? Oh yes, the dipstick who presided over the biggest house price boom - and increase in taxation and borrowing - in history.

Step forward Mr. Brown and Mr. Darling and wear your dunce's caps.

Share this post


Link to post
Share on other sites
wonder if they'll do the Barratts directors act of definace and buy shedloads of stock as they get dropped?Yeah,like that was a good call..................... :lol::lol:

I don't think anyone is touching Building Stock(Shares) with a barge pole or anything associated with it. It has DOT.CON written all over it.

Edited by joey

Share this post


Link to post
Share on other sites
Looks like they've been building with bullsh!t instead of sand and cement.

Estate near me from the 70's and early 80's ( tiny houses, wimpey I think) were thrown up so quickly they stopped vetting the tradesmen properly and several had wiring done by people with no training whatsoever, they just followed instructions from their sparky mate that got them the jobs.

Share this post


Link to post
Share on other sites
how the hell can they make a loss with prices the way they are?????????????????????????????????????

100k to build a 3bed.

average price. 200k

profit 100k

WTF??

prices drop 2% and they are shitting themselves. whats happening?

Presumably this loss of £20m is the first sign of properties that have been completed (and so costs have to go through the accounts) not selling (no income being recorded).

I wonder how many more construction projects they have on the go which will be completed soon - their losses could shoot up next quarter.

Does anyone know what they can get away with in terms of recording work in progress i.e. nearly finished houses, in their accounts?

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 295 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.