HOUSEBUILDER Persimmon has revealed a 26% rise in half-year turnover – despite a slowdown in sales even before George Osborne’s austerity budget.
The York-based group said completions for the first half of 2010 rose by more than 16% to 4,657 homes. The average selling price was up by 8% at £168,500 while turnover was ahead by about 25% to £785m.
While sales prices and margins increased on the start of the year, Persimmon said the normal seasonal slowdown in reservations since the start of May was made worse by uncertainty in the run-up to the Chancellor’s emergency budget.
Since then, Persimmon said sales have been in line with expectations.
It said: “While we remain cautious, we have a strong platform for profit growth as and when the housing market improves further.”
Persimmon said cancellations remain at low levels and in line with a year earlier at about 16%.
Total sales, including legal completions and forward reservations, are about £1.5bn against £1.3bn a year earlier.
Persimmon said its debt had fallen to £122m from £494m a year earlier and could fall below £100m by the end of the year.
