Karbon Homes reports £35.7 million surplus for fiscal year 2025

Published 01/08/2025, 17:22
Karbon Homes reports £35.7 million surplus for fiscal year 2025

NEWCASTLE - Karbon Homes, a housing association operating across the North East of England and Yorkshire, announced a surplus after tax of £35.7 million for the fiscal year ending March 31, up from £32.4 million in the previous year, according to a press release statement.

The group, which owns or manages nearly 34,000 homes, reported a turnover of £219.0 million, excluding housing sales and asset disposals, representing a 14.4% increase from £191.4 million in 2024.

Operating surplus reached £53.0 million, compared to £49.7 million in the previous year, while the operating margin improved to 24.4% from 23.0%.

Karbon Homes maintained its G1/V1 regulatory status following a stability check by the Regulator for Social Housing in December 2024, and retained its ’A’ credit rating from S&P Global.

The housing association completed 707 new homes across the North East and Yorkshire during the fiscal year, supported by funding from its Strategic Partnership with Homes England. The group also expanded its portfolio by welcoming Leazes Homes, a Newcastle-based housing provider with 759 properties, as a subsidiary in June 2024.

The organization invested £99.6 million in planned and responsive property maintenance, focusing on building safety and improving energy efficiency across its housing stock.

Gearing, a measure of financial leverage, increased slightly to 36.7% from 35.7% in the previous year, while return on capital employed rose to 3.6% from 3.3%.

The group has established a new subsidiary, Graphite Living, which is currently seeking registration with the Regulator of Social Housing to help deliver additional affordable housing in the region.

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