Persimmon Raises 2026 Target to 12,500 Home Completions

Persimmon raised its full-year outlook for 2026, announcing plans to complete approximately 12,500 homes. This target places the FTSE 100 housebuilder at the upper end of its previous guidance.

For the six months ending June 30, the company reported a 13% increase in new home completions to 5,189 units. Group revenues rose 15% to £1.73 billion, while pre-tax profits increased 15% to £168 million. Underlying operating profit grew 10% to £189.1 million. For the full year, the company projects an underlying operating profit of £491 million and an underlying profit before tax of £454 million.

Chief Executive Dean Finch attributed the results to the company's lower-cost operating model and product mix. However, Finch noted that the industry continues to face build cost pressures and affordability constraints. While net private sales rose 6% in the five weeks ending in June, the company observed a recent softening in open market sales due to wider housing market conditions.

To combat inflationary pressures, including those stemming from conflict in the Middle East which may impact 2027 costs, Persimmon is implementing design optimization and procurement efficiencies. The company also intends to align with the housing supply and consumer cost policies of the United Kingdom government.