Bellway says order book swells on strong demand

LONDON, Feb 11 (Reuters) - British housebuilder Bellway said higher sales and robust house prices boosted first-half revenues by 41 percent, as strong buyer demand helped its orderbook swell to 783 million pounds ($1.28 billion).

The housebuilder, which has benefited from an upturn in the wider housing market since the government extended help to buyers, said on Tuesday housing revenue over the six months to the end of January increased 41 percent to 690 million pounds.

It completed the sale of 3,245 homes over the period, up 25 percent on last year, and said the average selling price of homes rose 13 percent to 212,000 pounds on the back of the sale of a number of particularly high value London flats.

Bellway (LSE: BWY.L - news) said it had taken an average of 137 reservations per week in the period since Aug 1. Its orderbook at Jan. 31 comprised 3,836 units, representing an increase in value of almost 73 percent to 783 million pounds.

The company said it expected to achieve an operating margin of more than 15 percent for the period thanks to the growing proportion of completions from higher margin land.

It also said it had invested 240 million pounds in land in the six months, adding that its low debt level of 16 million pounds, along with bank facilities, would allow it to continue acquiring.

Shares in the company, which have risen about 38 percent over the past year, closed at 1,612 pence on Monday, valuing the group at 1.96 billion pounds.