Gleeson’s interims confirm another period of excellent progress, the highlight of which is the 31% growth in completions at Gleeson Homes. The Group is well on track for the full year with an increase in new site openings planned for the coming months as management puts the infrastructure in place to build towards its 2,000 home target. We increase our dividend forecasts by c.2% (with more potentially to come) noting a more generous dividend policy. EPS edges up by a similar amount (lower tax rate). Gleeson is in excellent shape with strong growth momentum, a highly impressive management team and income attractions (4%+ yield). It remains a Best Idea for 2018 and we are highly supportive of its unique affordable housing model.
