Taylor Wimpey Share Discussion Threads

[sir rational] 25/2/2011 14:31

Tax

The pre-exceptional Group tax rate for 2009 was 14.9% (2008: 31.3%), resulting
in a tax charge of GBP14.3 million (2008: GBP23.4 million). During the year,
the group has also recorded a significant exceptional tax credit of GBP73.6
million, comprising a UK tax credit of GBP25.4 million relating to the
reinstatement of the pension deferred tax asset and a US tax credit of GBP48.2
million relating to the 5 year net operating loss carryback introduced in
November 2009 as part of an economic stimulus package. In 2008, an exceptional
tax credit of GBP100.0 million was reported, comprising a net credit of GBP91.6
million in respect of UK inventory write downs and deferred tax movements and a
net credit of GBP8.4 million relating to US inventory write downs made in the
year.

During 2009, we have recognised GBP112.9 million of deferred tax asset on the
balance sheet, which relates to the UK pension deficit. As a result of the
revised financing arrangements and the successful equity raise concluded during
2009, we now consider it appropriate to recognise this asset. The remaining
deferred tax assets of GBP663.5 million, which relate predominantly to trading
losses incurred by the Group during the economic downturn, will be recognised on
the balance sheet once there is a greater certainty regarding the timing of the
Group's return to normal levels of profitability.

In total, the Group has unrecognised potential deferred tax assets as at 31
December 2009 in the UK of GBP375.1 million (2008: GBP248.3 million), in the US
of GBP267.0 million (2008: GBP303.6 million) and GBP21.4 million in other
jurisdictions (2008: GBP17.3 million), providing a significant buffer against
future tax charges.

[sir rational] 25/2/2011 14:25

Plus another £300 million to come this year

[sir rational] 25/2/2011 14:17

Given the return to profit of our UK Housing business and the stable market outlook in the UK, we expect to be in a position to recognise approximately GBP300 million of our UK deferred tax asset in our year end results. In addition, we are making good progress in respect of our ongoing tax reviews with the respective revenue authorities and will update the market with our year end results.

[sir rational] 25/2/2011 14:15

I'd like to see whether they are anticipating taking back the full tax credit thingy (what is it called again?)

[smurfy2001] 25/2/2011 14:11

SR, maybe, depends if they are effectively debt free or not and if we turn a profit this year. Divi could come a year early...

1p for the full year would suffice.

[sir rational] 25/2/2011 13:56

Once they sell TM, we'll get a divi

[sir rational] 25/2/2011 13:55

Bricks and mortar
At least a couple of us here at the Fool think that some building and construction companies are looking a bit cheap at the moment, with a couple having announced results last week. We've got some more coming next week.

Keller Group (LSE: KLR), which bills itself as a "ground engineering specialist" will kick it off on Monday. The company does things like piling and foundations, and has suffered a bit in the downturn. We're expecting a second year of falling profits, but a turnaround is forecast for 2011.

Housebuilder Persimmon (LSE: PSN) will report on Tuesday, and while there is only a small pre-tax profit rise forecast, stronger growth is expected in 2011.

Two more housebuilders will report on Thursday. The property market is still going to be uncertain for quite some time, but Balfour Beatty (LSE: BBY) is expected to have brought in a nice rise in profit in 2010, with a 3.5% dividend forecast -- and a prospective P/E of 9.5 for 2011.

And Taylor Wimpey (LSE: TW) is expected to have bounced back from two loss-making years into a modest profit, although no dividend will be expected for another couple of years yet.

[sir rational] 25/2/2011 13:43

Could be one of the larger holders taking profits

[barf2] 25/2/2011 13:36

Trades gone a bit chunky all of a sudden.Might be a clearing of this mornings backlog.

[sir rational] 25/2/2011 13:29

Weekend papers probably going to leak it. $1.2b?

[sir rational] 25/2/2011 13:25

News about TM sale leaking?

Much more than $1b???

[sir rational] 25/2/2011 13:24

Steady progress Barf

[barf2] 25/2/2011 13:23

Isn't that a copy and paste from most weeks SR?

[sir rational] 25/2/2011 13:21

All set for 40p next week

[sir rational] 25/2/2011 12:30

Run up to the good news next week

[spennysimmo] 25/2/2011 12:26

I see. Thanks

[jibba_jabba] 25/2/2011 12:15

No, but i thought the BDEV holders here might like it...

[spennysimmo] 25/2/2011 11:58

JJ, I don't see TW mentioned on the analyst recs you have posted from IG?

[smurfy2001] 25/2/2011 11:51

LOL, so the lights are on but no body is at home.

Great stuff....

[sir rational] 25/2/2011 11:48

Admin Message: The Stock Exchange issue has been resolved. Read more here.

System's up, just not running

[smurfy2001] 25/2/2011 11:43

Er, not on IG it is, and they use multiple exchanges...

[sir rational] 25/2/2011 11:41

System back up

[cougaruser] 25/2/2011 11:37

Nice while it lasted, only showing + 2.4% now, but still nice.