Housebuilder Cala has said it plans to double in size by 2017 by entering 'boom areas' in Scotland and England.

In its financial results for the year ending 30 June 2013, the firm said its underlying profits increased by 37% to £12.5m in the year after it completed the sale of 694 homes at an average cost of £335,000.

The company's turnover however, fell by 5% to £240.8m.

With plans to more than double the size of the company over a four-year period, Cala aims to increase its development activity in the east of Scotland and Aberdeen, plus in the south east of England. In its report, the firm said the seasonal slowdown in the housing market had been less noticeable during the summer, with demand being boosted by the impact of the first stage of Help to Buy, and the continuing improvement in the UK mortgage market.


Commenting on the results, Alan Brown, Chief Executive of CALA Group, said: "CALA has delivered another excellent performance during 2013 with a record profit for CALA Homes, improved gross margins and significant further progress in developing the length and quality of our landbank."

Earlier this year, in March, the Edinburgh-based business was bought by insurer Legal & General and private equity firm Patron.

Mr Brown added that the support of two blue-chip financial backers was key to the firm's growth ambitions.

"This investment has already begun to bear fruit and we are now able to develop land within our existing landbank at a faster rate while simultaneously seeking to acquire additional plots in high growth areas such as the East of Scotland and the South of England.

"This in turn is allowing us to take on more staff and open more sites," he continued.

(JP/IT)