Henry Boot expects better profits

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PROPERTY and construction firm Henry Boot is forecasting full year pre-tax profits ahead of market estimates, sending its shares up four per cent this morning.

But the Sheffield-based company warned of a 14 per cent fall in revenues for the year, adding that the current property valuation is expected to be slightly below that of June 2011, reflecting a weaker market.

Data from researcher Investment Property Databank, the benchmark index for UK property, recently showed values weakened in 2011 and the outlook for 2012 was “less than ideal”.

In November the company said some of its land sales generated better-than-expected profits.

Last year the group sold a shopping centre in Ayr for £33.8m.

Henry Boot expects revenues for the year ended December 31 to be about £113m, compared with £131.9m last year.