Persimmon says trading 'well' year-to-date

(Sharecast News) - Persimmon reported in line trading for the year-to-date with its rate of private sales and selling prices having risen.

Its network of outlets meanwhile continued to grow, the company said in an update, for the year to 27 April, published ahead of its AGM.

Chief executive officer Dean Finch added that recent geopolitical uncertainty had not yet had an immediate impact on the business, nor on consumer confidence.

He also reiterated guidance for full-year completions of between 11,000-11,5000 - should the UK housing market stay stable.

Net private sales per outlet, per week, rose 1.0% from the same period of 2024 to 0.74, forward sales were up by 12% to �2.34bn.

The number of outlets meanwhile increased 5% to 275 and its land holdings by 2% to approximately 83,000.

For Aarin Chiekrie at Hargreaves Lansdown, the positive sales momentum helped profits "continue their growth after two prior years of declines".

As well, the analyst noted Persimmon's in-house materials business, labelling it a "key differentiator" that gave it quicker and less expensive access to key materials, allowing it to same about �5,500 per plot.

Its houses are also usually priced more than 20% beneath the newbuild national average, so its sales tended to be more resilient when faced with uncertainty, Chiekrie said.

"With shareholder payouts a key focus and Persimmon's valuation sitting some way below the long-term average, this could mark an opportunity for long-term investors."