Flagship Group Reports Strong Financial Performance for the Year Ending 31 March 2024

Flagship Group has released its audited financial results for the year ending 31 March 2024, demonstrating robust financial health and a continued focus on operational efficiency and growth.

Some key highlights:

·      Liquidity coverage over 180% at 31 March 2024 with £234m liquidity headroom. Subsequently increased to over 220% in July 2024.

·      Interest cover (VFM definition) increased to 136% from 132% in 2023, demonstrating financial stability. Gearing fell from 44.7% in FY23 to 43.8% in FY24 aligned to expectation.

·      A2 stable Moody's credit rating retained.

·      Over £95m invested in existing housing stock, including £50m in capital improvements.

·      688 new affordable homes built during the year, providing more housing options for local communities.

·      The Group reported a Tenant Satisfaction Measure (TSM) score of 71.9% for its rented homes and 58.2% for its Shared Ownership homes, reflecting its commitment to continuous improvement in customer service.

·      62% of the Group's homes are now rated EPC-C or above (up from 59% in FY23), moving towards our sustainability target of all homes achieving this standard by 2030, underscoring our commitment to environmental sustainability.

·      During FY23 we reviewed and improved the process for returning void properties back to rent. Consequently, we ended FY24 with void loss at just 1.2%, and on average 85 fewer homes void at the period end.

·      Current tenant arrears remained unchanged year-on-year at 3.7%, testament to the management and interventions of our housing teams in what remains a challenging economic climate for our tenants.

·      Staff turnover is at its lowest level (excluding year of pandemic) demonstrating that our people strategy makes Flagship a desirable place to work.

Flagship Group remains focused on its core strategy of providing affordable housing and creating sustainable communities while enhancing its financial resilience. With strong liquidity and a stable credit rating, the Group is well-positioned to continue investing in new developments and maintaining its existing portfolio.

The Group's management continues to prioritise operational efficiency, customer satisfaction, and sustainability as key drivers for growth in the coming year.

The Group's financial statements for year ended 31 March 2024 are available here.

Investors who would more information, please email treasury@flagship-group.co.uk.