Vistry's Market Value Plummets by £1.2bn Following Profit Warning

The housebuilder revealed understated building costs in its southern division, prompting a significant profit forecast reduction.

Vistry has announced that building costs for nine developments in its southern division were understated by approximately 10%, leading to a substantial profit warning.
The company expects a £115 million reduction in profits over the next three years, with £80 million less this year alone.
Shares in Vistry fell by 28%, wiping £1.2 billion off its market value and significantly impacting other companies in the sector.
An independent review is being launched to investigate the cause of the cost overruns, with changes in the management team already underway.
Despite the setback, Vistry remains committed to its partnership model and long-term financial targets, including a £130 million share buyback program.