Following robust housing demand, Persimmon’s revenues shoot up

Following robust housing demand, Persimmon’s revenues shoot up

Persimmon, otherwise known as the UK’s second-largest housebuilder, had a very successful 2017 to the point they reported a 9% boost to their revenues, as both demand for new homes and house prices in general continued to rise. 

The group claimed that their revenues for 2017 were at a whopping £3.42bn in a training update, partially down to the fact that completion of new homes flew up 6% to 16,043. Elsewhere, the average selling price of their homes also rose by 3%, taking it to £213,300. 

Persimmon ended 2017 with their forward sals being up 10% from 2016 as well, with their forward sales now being worth around £1.4bn.

In addition, Persimmon added that they plan on continuing their growth in regional markets in order to “support the government’s desire to increase housing supply across the UK.”

The company added, “we remain mindful of market risks including those associated with the uncertainty arising from the UK leaving the EU. However, we are keen to deliver further improvement in our housing output and remain ready to invest wherever the local planning environment is supportive.”

In December 2017 however, the group’s chairman decided to quit the company in the aftermath of a director bonus scheme – that put chief executive Jeff Fairburn in line to pick up more than £100m – as it was admitted that it was designed poorly. 

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