Revenue up to £3.61bn for housebuilder Persimmon

Housebuilding group Persimmon saw revenue grow from £3.33 billion in 2020 to £3.61bn last year.

File photo dated 24/11/05 of Persimmon flags on a new housing development. The chairman of Persimmon has apologised "unreservedly" to shareholders over the housebuilder's handling of executive pay. PRESS ASSOCIATION Photo. Issue date: Wednesday April 25, 2018. Nigel Mill, chairman on an interim basis, said at the company's annual general meeting that the debacle was a matter of "profound regret". It comes after boss Jeff Fairburn's pay packet sparked outrage among politicians and shareholders. See PA story CITY Persimmon. Photo credit should read: Chris Radburn/PA Wire

The group, which has its West Midlands office in Stafford Park, Telford, increased home completions from 13,575 in 2020 to 14,551.

Average selling price was up from £230,534 to £237,050.

Chief executive Dean Finch said: "Persimmon's performance has been excellent through the year, delivering high quality growth. I would like to thank my colleagues and our wider workforce for their hard work and commitment in achieving the group's strong performance."

"We have continued to secure high quality land opportunities, bringing over 20,500 new plots into the business in 2021 representing in excess of 140 per cent of current consumption levels. This strong pipeline provides excellent momentum for the group's future growth. Our teams are working diligently to bring these sites into construction as soon as possible to enable us to deliver much needed homes across the UK," he added.

The group delivered 2,533 new homes to its housing association partners representing 17.4 per cent of total homes – an increase from 16.3 per cent from the previous year.

"Whilst the industry continues to face the ongoing operational and economic challenges as a consequence of the pandemic, particularly as the Omicron outbreak unfolded in the last six weeks of the year, the group continues to manage these ongoing challenges comprehensively. The long term fundamentals of the UK housing market remain strong and I am confident of Persimmon's future success," said Mr Finch.

Persimmon made a commitment a year ago that leaseholders in buildings constructed by Persimmon, including all those above 11 metres, should not have to cover the cost of cladding removal.

It has constructed only a very small proportion of buildings affected by this issue. In common with the rest of the housebuilding industry, Persimmon will shortly begin paying the cladding levy announced in the Budget.

Persimmon entered the new year with the value of the group's total forward sales at £1.62bn compared to £1.36bn in 2019. There are 75 new outlets forecast to open in the first half of 2022.