Partner Article

Healthy profits for Persimmon Homes

Persimmon Homes have announced pre-tax profits of £59.7 million in the first half of this year, a healthy figure in the face of the difficulties facing the construction industry.

During the first six months of 2011, figures were up 52 percent on the previous year’s figure of £39.4 million. Underlying operating profits were also up 9 percent at £64.2 million, demonstrating a small improvement.

Persimmon also completed 4,439 home sales with an average price of £162,647, down 3.7 percent due to a change in the mix of property types sold. Sales revenues in Q1 and Q2 were slightly down on last year, but forward sales, including legal completions are up 10 percent at £1,005million over the period/

David Jenkinson, regional chairman of Persimmon Homes North East and Teesside, said: “As we have a wide geographic spread of development sites throughout Teesside and the North East, we are placed in a position that allows us to benefit from current market conditions.

“We continue to develop on our existing sites, as well as new developments throughout the region and are able to offer broad product range, from two-bedroom apartments through to large five and six bedroom detached family homes, utilizing a wide variety of sales incentives including Shared Equity, Part Exchange, Parent Payback and the government’s new FirstBuy scheme.

The company is now committing itself to improving margins and cash generation through focusing on the basics of house building within each of its local markets.

This was posted in Bdaily's Members' News section by Ruth Mitchell .