Persimmon’s full-year revenue jumped 17% higher to £3.8bn. The uplift was driven by a 12% increase in completions to 11,905 new homes, and a 4% rise in average selling prices to £278,203.
Underlying pre-tax profits rose 13% to £446mn (£440mn expected).
Free cash flow fell from an inflow of £57mn to an outflow of £8mn, due to a rise in inventory. The net cash position fell from £244mn to £102mn.
In 2026, assuming the conflict in Iran is short, the group expects to complete between 12,000-12,500 new homes. Underlying pre-tax profits are expected to land in line with current market forecasts, pointing to growth of around 5% to £470mn.
A final dividend of 40p per share was announced, taking the full-year total to 60p (2024: 60p).
The shares rose 9.9% in early trading.
Our view
HL view to follow.
Persimmon key facts
All ratios are sourced from LSEG Datastream, based on previous day’s closing values. Please remember yields are variable and not a reliable indicator of future income. Keep in mind key figures shouldn’t be looked at on their own – it’s important to understand the big picture.
This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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