Regional boost for housebuilder

LEADING housebuilder Persimmon said yesterday that a “healthy and competitive" UK housing market had helped it to bank record profits.

LEADING housebuilder Persimmon said yesterday that a “healthy and competitive" UK housing market had helped it to bank record profits.

Pre-tax profits for the year to December 31 jumped 17.5% to £582.1 million, up from £495.4 million last year.

The group, which acquired Westbury at the start of last year, said it had also increased its land bank to 80,095 plots, compared to around 78,000 following the acquisition.

The company added that forward sales were ahead of last year's level at £1.3 billion and, with 120 news sites to open in the next six months, said it was well positioned for a strong year ahead.


You may also want to watch:


The company, which also operates the Charles Church brand, is in the spotlight after rival Barratt Developments struck a £2.2 billion deal to buy Wilson Bowden earlier this month.

There was no update on any potential future acquisitions yesterday, but chief executive Mike Farley said in a statement that the group's strong balance sheet would enable it “to take advantage of any opportunities that will enhance the business”.

Most Read

During 2006, Persimmon increased its completions by 32% to 16,701 homes with a 4% rise in average selling prices to £188,129 helping revenues grew 37% to £3.14 billion.

The group's regional branch, Lowestoft-based Persimmon Homes Anglia, is currently working on 17 developments at locations including Bury St. Edmunds, Diss, Harleston, Lowestoft, Newmarket, Rendlesham and Sudbury.

Alan Hadman, managing director of Persimmon Homes Anglia, said: “Fortunately, the economy remained sound throughout 2006 and this state of affairs has continued into 2007. Therefore, despite some recent increases, interest rates remain at historically low levels and job availability remains high.

“With this benign background, it is not surprising that the housing market as a whole remains robust. Because of that, sales rates on all our sites in Norfolk and Suffolk have been excellent throughout 2006 and January 2007 has been equally good.”

Become a Supporter

This newspaper has been a central part of community life for many years. Our industry faces testing times, which is why we're asking for your support. Every contribution will help us continue to produce local journalism that makes a measurable difference to our community.

Become a Supporter
Comments powered by Disqus