Each year, we report to our customers and stakeholders on our income, the cost of providing services and financial performance.
We receive income from a variety of sources, including rents and property sales. In 2023/24, 58% of our income was from social rents, with 20% from property sales and 8% from non-social housing rents.
How did we do?
In 2023/24 we faced a challenging operating environment and were affected by the rise in inflation, including higher utilities and insurance costs. This caused our day-to-day running costs to increase.
At the same time, we invested more in service improvements, and £96.8m into maintaining customers’ homes and building safety works to ensure we comply with regulations.
We have been working to reduce our operating costs and made savings and efficiencies of £5.6m in 2023/24.
So overall, we recorded a turnover of £399.6m (this is our income minus our expenditure) and an overall deficit of £21m.
Although we made a deficit, we remain a financially strong organisation with a healthy balance sheet. This includes a Fitch ‘A’ credit rating, more than £3.5bn of fixed assets and investments, and a reserves position of over £1bn.
Looking ahead, we will balance lowering our costs and continuing to support our increased focus on customer care and investment in homes.
Key investment areas for us include repairs, redevelopment and regeneration of homes and estates and our complaints service.
Ian Wardle, A2Dominion’s Chief Executive Officer, said: “Over the last year we’ve been open and transparent about the need to improve outcomes for our customers, all while dealing with the pressures of financial and regulatory change on the housing sector as a whole.
“Although the Group’s profitability continued to come under pressure from economic constraints, we’ve already taken action to reduce costs and improve income generation.
“But there is still work to do. Our underlying financial strength and potential is strong, and we will return to profitability as part of the improvements we are making.”
For more information, read our Customer Annual Report and view our Corporate Annual Report & Accounts.