Vistry has reported significant declines in both profits and revenue in its first half results, citing a slowdown in demand.

The housebuilder saw its pre-tax profit shrink to £40.9m in the six-month period to 30 June, more than half the £91.2m it reported in the corresponding period last year. Vistry’s H1 revenue was also down by 5% from last year to £1.64bn

After what Vistry called a “challenging” H2 in 2024, the group said it had been focused on “stabilisation”, to maximise market opportunity in the medium term.

Vistry did report it had made good progress with its target of reducing debt levels in H1, with net debt as of 30 June 2025 sitting at £293.1m – down from £322m on 30 June 2024 –significantly lower than expectations.

However, the FTSE 250 listed company saw its share price slip by 8% in this morning’s trading following the trading update, before recovering to 4% down on its starting price.

“The group’s first half performance was in line with expectations and we are well positioned to deliver for the full year,” Vistry chief executive, Greg Fitzgerald, commented.

“Working with our partners, we have a strong pipeline of development opportunities which will drive our second half performance, with an expected significant step-up in completions and profits.”

In the June 2025 Spending Review, the Government announced its new Social and Affordable Homes programme, totalling £39bn of funding over a 10-year period, which Vistry has described as “extremely significant”.

Having cited “lower levels of demand” from its affordable housing partners in H1, Vistry said the Government’s initiative would give affordable housing providers a step-change in financial capacity combined with the visibility to plan long term investment in new affordable housing.

“The new Social Affordable Homes Programme provides an unprecedented level of funding for affordable housing over the next 10 years,” added Fitzgerald.

“Through our partnership model and commitment to mixed tenure development, Vistry is uniquely placed to maximise this opportunity and play a key role in delivering high-quality affordable homes across the country.”

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