Persimmon’s average weekly net private sales rate rose 3% to 0.76 over the first four months of the year. Total buyer incentives continued to run at around 4-5%.
The order book rose 5% to £2.5bn. Within that, private average selling prices were also up 5% to around £306,900.
Persimmon said that the ongoing Middle East conflict has not yet had any “material impact” on trading so far. However, there are early signs of increased inflation in its supply chains which are expected to impact the second half.
Full-year guidance was reiterated, with the group expecting to build between 12,00-12,500 new homes. The group’s comfortable with market expectations for full-year underlying pre-tax profits, which point to growth of around 4% to £462mn.
The shares rose 2.5% in early trading.
Our view
HL view to follow.
Persimmon key facts
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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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