The house builder warned losses would be £37.1m in a trading update last September as it launched a strategic review of the business led by financial advisors Lazard & Co.
Predicted losses have now soared again including provisions at the contract income division which delivers partnership housing rising from £15.4m to £28.8m following a further review of all remaining construction projects.
The losses were blamed on “unforeseen costs, cost inflation and extended construction periods” while rising build costs also added to the woes in the house building division where sales and prices were down.
The increased losses mean Inland has breached financial covenants with some of its lenders.
The board also confirmed the sale of its “strategic land portfolio” of 2,822 plots mainly on green belt land raising £9.5m generating a profit of £3.5m.
Last week new Inland chief executive Donagh O’Sullivan resigned after only five weeks in the role.
Chairman Simon Bennett said: “The Group has experienced an extremely disappointing year. However, we continue to see good interest for our new homes and valuable consented land in the South and South East of the UK”
Read More
Grant Prior