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Despite a lower-than-anticipated profit this year, housebuilder Crest Nicholson has stated it is "well-positioned" to meet housing demand with a new strategy.

The company's revenue dropped six per cent for the full year to October 31, landing at £618m, while operating profit plunged 38.4 per cent to £31.3m, as reported by .

Profit before tax saw a decrease of 53.3 per cent year on year to £22.4m, and earnings per share fell 60.6 per cent to 5.6p. The firm reported an operating loss of £128.7m for the full year, a stark contrast to last year's profit of £29.9m.

This news led to the company’s share price falling nearly five per cent in early trades. Martyn Clark, who took up the role of chief executive in June 2024, described it as a "very tough and disappointing year for the business".

Clark revealed he had conducted a "comprehensive review to understand the business, which has included obtaining both internal and external perspectives."

He added: "This has allowed me to identify the market opportunity and craft a strategy that will allow us to maximise that opportunity and optimise the company for sustainable growth with an appropriately scaled cost base that will enhance profitability and consistent shareholder value creation."

Crest Nicholson has been grappling with a challenging construction environment, with high interest rates, a skills shortage and operational issues all contributing to a "long and frosty winter", according to Julie Palmer, partner at Begbies Traynor.

"[However] we may see some green shoots start to emerge as some of these factors stabilise," Palmer added. "Crest needs to demonstrate it can take advantage of the expected uptick in construction."