OREANDA-NEWS. Results for 2015/16 and comparatives reported below for financial year 2014/15 reflect accounting standards now applicable to Registered Providers of Social Housing (FRS 102 and SORP 2014).

We show continuing improvement to the profitability of our core social housing business. This is principally due to two factors (1) cost efficiency measures and (2) strategic decisions made in recent years to exit unprofitable business lines of supported housing ("Casa Support") and temporary accommodation ("Avenue").


·     Operating surplus ?49m (2014/15 ?44m)

·     Surplus before tax ?39m (2014/15 ?32m)

·     Operating margin 28%, (2014/15 26%)

·     Net interest costs ?32m (2014/15 ?32m)


We monitor operational performance against five high level Key Performance Indicators, agreed with our residents because they are widely used in our sector and cover key areas of resident concern. Results to 31 March 2016 are below. Against these measures we are the best performing landlord with over 10,000 homes in the UK, based on the most recent comparisons we have available.

Resident Satisfaction: 98.5% (2014/15 97.5%)
Satisfaction with Complaint Handling: 97.3% (2014/15 95.2%)
Satisfaction with Repairs: 98.8% (2014/15 98.0%)
Average Re-Let Times: 10.1 days (2014/15 12 days)
Satisfaction with ASB Handling: 98.2% (2014/15 96.5%)

Mergers and Partnerships

Discussions with Viridian Housing have reached a significant level of maturity, though our timetable has slipped by a few months. We'll start to engage with lenders and residents for consultation and consent once key appointments are announced.

We continue to work with Southwark and London Diocesan Housing Association ("SLDHA") and other stakeholders to implement a transfer of engagements this Summer, which will see SLDHA's homes, residents and staff joining AmicusHorizon.

Investment and Sales

We are now in contract to deliver 382 homes across 13 sites, with remaining capital commitments on these sites of ?60m. At 31st March 2015 contractual capital commitments were ?42m. Within the next 12 months we will be seeking contractual commitment on a further 360 homes and total expenditure on new build homes during the year approximately double the ?33m achieved during 2015/16.

We completed 101 new homes during 2015/16 down from 540 the previous year, which was the final year of the grant funding cycle. We expect new completions to peak again in 2017/18 at a similar level to 2014/15, reflecting the current grant funding cycle.

The last six months have seen significant rises in tender prices, and less significant but still meaningful increases on land costs. This has made it harder for us to find viable sites and has introduced some delay to our development programme. Expenditure during 2015/16 was lower than we had expected at the start of the year.

At 31st March we had 24 (2014/15 20) Shared Ownership 1st tranche properties unsold, of which 10 were reserved.


During the quarter we agreed a further ?25m loan facility from Affordable Housing Finance. Total undrawn facilities are now ?55m. We ended the financial year with ?102m cash and deposits available. Our outstanding debt balance at the year end was ?678m.

Unaudited Financial Results

Unaudited financial results for the year ended 31 March 2016 are below, together with restated comparatives for the prior year.

Statement of Consolidated Income


2015/16 (?m)

2014/15 (?m)




Cost of Sales



Operating Expenditure



Operating Surplus




Gain on disposal of property



Interest receivable



Interest and financing costs



Increase in investment property valuations



Surplus before taxation