Keepmoat Annual Report 2020

CHAIRMAN’S STATEMENT

CHAIRMAN’S STATEMENT 70% of the homes we sell on the open market are being sold to first time buyers With an average selling price of £165,000, Keepmoat helps customers achieve their aspirations of owning their own homes. 6 KEEPMOAT.COM

STRATEGIC REPORT Chairman’s statement Last year Keepmoat Homes¹, and indeed the whole country, faced unprecedented challenges that none of us could ever have anticipated due to the Coronavirus Pandemic. But I am delighted to say that the business performed strongly throughout and is well positioned to deliver our future growth plans. I am extremely proud of the way the Executive Team, led by Tim Beale, have steered the business safely through the crisis with the support of our highly competent senior management team. I would like to thank the Executive Board and the wider Leadership team and Regional Directors, across the business, who also showed their support by taking a voluntary 20% salary reduction for the period that our sites had to be closed during the first national lockdown. This was an act of outstanding leadership and clearly demonstrates their commitment to Keepmoat Homes. The value of our Partnership Business model was once again demonstrated last year when it was tested under extreme circumstances, with the strength of our relationships with our Partners helping us to steer the business safely through the Pandemic. The Board and our lenders are confident that our unique Partnership Business Model will continue to drive our future success. This was clearly demonstrated last year when we were able to increase our credit facilities by £27.5 million and our shareholders signalled their continued support with an injection of additional equity, and the business embarked on a programme of significant investment in new IT infrastructure. Keepmoat Homes is a different type of home builder which is uniquely placed to serve the needs of the UK today. It is the UK’s largest partnership focused home builder committed to building sustainable communities in places where people want to live. We put our customers first and deliver high quality affordable homes, using a mix of tenures across the country. We are a trusted partner of Homes England, local authorities and registered providers, with many of these relationships enduring for over 20 years. These trusted and lasting partnerships underpin our multi-tenure strategy and our position as a top 10 UK home builder. Our work with registered providers and the build-to-rent market (or private rented sector) is important to us, as our partners want to see more multi-tenure developments. Furthermore, as the UK’s leading brownfield homebuilder with 80% of current developments on brownfield sites, our work goes beyond the delivery of new homes. By regenerating urban and brownfield land, we create thriving new communities and we are delighted to see continued support for bringing forward brownfield land from the public sector. Finally, I would like to thank each and every one of our people for all their hard work every day, our reliable supply chain and our strategic business partners for their commitment to Keepmoat Homes. Stephen Stone Non-Executive Chairman One of Keepmoat’s defining features is its quality product at affordable prices. With an average selling price of £165,000, Keepmoat helps customers achieve their ambitions of owning their own homes, with 70% of the homes we sell, on the open market, being sold to first time buyers. I am delighted that during the last financial year our customer score increased to over 90%, giving the Group five-star builder status across all our developments. ¹ Keepmoat Homes refers to the trading activities of the Keystone JVco Limited Group. ANNUAL REPORT & FINANCIAL STATEMENTS 2020 7