Home completions fall for Persimmon
Housebuilder Persimmon has reported a fall in new home completions in the first three months of this year.
They were down 42 per cent from 1,950 in the first quarter of 2022 to 1,136.
Persimmon, which has its West Midlands regional office in Telford, also said forward sales were down 30 per cent to £1.7 billion.
Ahead of Persimmon's annual general meeting, group chief executive Dean Finch said: "Our performance in the first quarter was as we expected and reflects the challenging trading conditions in Q4 2022 and consequent lower forward order book as we entered the year.
"Trading over recent weeks has offered some signs of encouragement with visitor numbers up, cancellation levels normalising and sales rates continuing the steady improvement evident since the start of the year.
"If sales rates continue at the levels seen year to date, we would expect full year 2023 volumes to be toward the top end of the previously indicated range of 8,000 to 9,000 completions. Sales prices remained firm in the period as customers recognised the quality, improved value and energy efficiency of our homes, with a good response to our marketing campaigns driving strong customer interest."
Mr Finch said that looking beyond 2023, Persimmon had a strong platform from which to grow outlets and volumes as the market recovers.
"We have an excellent pipeline of new land opportunities to support growth in 2024, subject to planning, and we are encouraged by the early signs of improved customer confidence. The longer-term demand fundamentals for new homes remain robust and Persimmon has made significant progress over the past two years in building a stronger, more sustainable business for the future."
