Measuring our progress

Financial highlights

Total home completions

Target: Growth to 22,000 in the medium term.
Status: On track
Definition: Legally completed homes during the year, including the homes legally completed within the JV’s in which the Group has an interest.
Why it’s a KPI: Reflects activity and growth. Monitors business capacity.

Adjusted gross margin
(Gross margin)

Target: Achieve minimum 23% adjusted gross margin, rising to 24% after synergies from the Redrow combination are realised.
Status: Below target
Definition: Gross profit divided by total revenue, expressed 𠊊s a percentage.
Why it’s a KPI: Key internal metric for assessing site profitability. Enables consistent comparison of land acquisitions.

Adjusted profit before tax (£m)
 (Profit before tax (£m))

Target: Informed by consensus at the start of the year.
Status: Achieved
Definition: Profit before tax including the applicable share of profits from JVs and associates.
Why it’s a KPI: Shows the profitability of the Group relative to market expectations.

Key metric for assessing performance for Executive Directors’ remuneration.

Return on capital employed

Target: Minimum 20%
Status: Below target
Definition: Earnings before amortisation, interest, tax, operating charges relating to the defined benefit pension scheme and operating adjusted items for the year, divided by average net assets adjusted for goodwill and intangibles, tax, net cash, derivative financial instruments and provisions in relation to legacy properties.
Why it’s a KPI: Ensures efficient and effective use of capital.

Key metric for assessing performance for Executive Directors’ remuneration.

Net cash (£m)

Target: Year-end net cash.
Status: Achieved
Definition: Cash and cash equivalents, bank overdrafts, interest-bearing borrowings and prepaid fees.
Why it’s a KPI: Monitors business liquidity, resilience to risk and ability to take advantage of opportunities, including investments and land acquisition.

Allows for distribution to shareholders.

Adjusted basic EPS (p)
(Basic EPS (p))

Target: Informed by consensus at the start of the year.
Status: Achieved
Definition: Profit for the year attributable to ordinary shareholders divided by the weighted average number of ordinary shares in issue during the year, excluding those held by the EBT on which no dividend is paid.
Why it’s a KPI: Shows profit attributable to each share.

Key metric for assessing performance for Executive Directors’ remuneration.

Total Shareholder return

Target: To grow total shareholder return against FTSE companies within 50 above and 50 below the Company in the index.
Status: Below target
Definition: Total financial gain/(loss) for shareholders from share price appreciation and dividends.
Why it’s a KPI: Shows the appreciation and income a shareholder receives from holding each share.

Key metric for assessing performance for Executive Directors’ remuneration.

Non-financial highlights

HBF 5-Star customer satisfaction

Target: HBF 5-Star customer satisfaction.
Status: Achieved
Definition: A 5-Star rating is awarded if the average score from the National New Homes Customer Satisfaction Survey exceeds the threshold set by the HBF.
Why it’s a KPI: Delivering a best-in-class customer offering is a strategic priority and fundamental to our business.

The National New Homes Customer Satisfaction Survey is an industry recognised independent indicator of customer service and build quality.

Key metric for assessing performance for Executive Directors’ remuneration.

Average active sales outlets

Target: Grow sales outlets to support our medium-term target of 22,000 total home completions.
Status: On track
Definition: The average number of sites with at least one plot available for sale during the period, including JVs.
Why it’s a KPI: Growing the number of active sales outlets, including through the deployment of multi-branded developments, increases the range of homes we can offer to customers and trade through sites more quickly to reduce cost.

Scope 1 and 2 carbon emissions
(tCO2e)

Target: Reduce absolute scope 1 and 2 greenhouse gas emissions by 46.4% by FY35 and 90.0% by FY45, 𠊏rom a FY25 baseline.
Status: On track
Definition: Tonnes of greenhouse gas emissions associated with our scope 1 and scope 2 (market-based) emissions, which include energy and fuel use on our sites, in our offices and in our company vehicles.
Why it’s a KPI: Monitors the environmental impact of our business activities and our exposure to climate-related transition risk.

Scope 1 and 2 carbon emissions intensity is a key metric for assessing performance for Executive Directors’ remuneration.

SHE audit compliance

Target: Over 94% SHE audit compliance.
Status: Achieved
Definition: The percentage of internal inspections which are compliant with SHE guidelines.
Why it’s a KPI: Demonstrates compliance with safety standards  on our sites. Lead indicator highlighting areas  of SHE focus.

Key metric for assessing performance for Executive Directors’ remuneration.

Waste intensity
(tonnes per 100m2)

Target: Reduce construction waste intensity (tonnes per 100m2 of housebuild equivalent build area) to 4.11 by 2026.
Status: Achieved
Definition: Tonnes of waste generated from above ground construction for every 100m2 of housebuild equivalent build area.
Why it’s a KPI: Monitors the efficiency of operations and the use of materials in the construction process.

Employee engagement

Target: Exceed 75^th percentile score in the engagement survey.
Status: Achieved
Definition: The percentage level of satisfaction of our people measured using the last independently conducted survey before the reporting date.
Why it’s a KPI: Monitors employee engagement and satisfaction, whilst also providing a forum for view sharing, to ensure we retain and invest in the best people and focus on their development and success.

Our path to net zero

70.8%

Operational emissions

reduction achieved in Scope 1 and 2 absolute emissions since 2021

34.7%

Value chain emissions

reduction achieved in Scope 3 absolute emissions since 2021

Net zero

Long-term net zero by 2045

Supporting our people

78.7%

Employee engagement score

82%

Employees that are proud to work for Barratt Redrow

526

Participants in graduate, apprenticeship and trainee programmes in FY26

Charitable giving and the Barratt Redrow Foundation

£7.1m

Donated to charitable causes through the Foundation and employee fundraising in FY26

560

Charities supported in FY26

3,254

Volunteer days used by our employees

£0.8m

Raised by employees for  good causes

£0.7m

Match funding provided

£21m

Donations from the Barratt Redrow Foundation since it was launched in 2021

Downloads

Read the latest financial statements

Link to Financial statements