Persimmon (PSN) Trading update summary

Trading performance

• Net private sales rate rose 4% YoY to 0.79 per outlet per week, or 0.65 excluding bulk, versus 0.76 and 0.63 in 2025.

• Private forward sales rose 3% to £2.15bn; total forward sales increased 1% to £2.82bn, covering 11,240 homes, down 2% YoY.

• Private forward order book average selling price was ~£301,900, up 2% YoY; incentives averaged ~5%, consistent with H1.

• 77% of expected 2026 open-market private delivery of ~12,500 homes and 77% of planned Build to Rent delivery were exchanged or completed.

• Sales grew against a declining market in a challenging summer; private pricing rose ~2% YoY and incentives were broadly unchanged, supported by affordable positioning, product mix and availability.

Planning, outlets and investment

• Planning approvals reached 8,722 plots in 9M to 30 September, up 12% YoY; 57 outlets had opened, with ~100 expected to open in 2026.

• Average outlets were 263, down 3% YoY; over 100 outlets are due to open in 2027, supporting further outlet growth.

• Owned and controlled land stood at ~81,300 plots at 30 September, down 3% YoY; YTD land spend was £378m versus £336m.

• A new brick factory line is planned, with work starting in the new year and production expected after commissioning in 2028; it will add capacity as current manufacturing is near capacity.

• Land acquisitions are expected to support medium-term margin and returns; roughly half of 2027 units will remain on land affected by 2022–23 build-cost inflation, with the mix unwinding from 2028.

Costs and financial outlook

• 2026 volume and profit growth remain on track to meet market expectations, assuming no further material change in market conditions.

• 2027 inflationary pressures are expected to add £30m–£40m to costs, limiting near-term profit progression; efficiencies, value engineering, design, overhead and procurement actions target full mitigation by 2028, absent further macro deterioration.

• Financing costs are expected to be £40m–£45m in 2026, with some upward risk into 2027; the 2026 restructuring charge is expected to be modest.

• Year-end net debt/cash is expected in line with prior guidance; capital allocation prioritizes the balance sheet, remediation, selective investment and sustainable shareholder returns.

• Volume growth is expected to continue in 2027, supported by land, planning and outlet expansion; medium-term priorities include higher margins, return on capital and cash generation.