Persimmon Plc today announces Final Results for the year ended 31 December 2021.
Trading performance
Strong demand throughout the year with the Group’s average private weekly sales rate being
c. 9% higher than 2020, a year significantly impacted by pent up demand brought about by the
pandemic, and c. 22% ahead of 2019.
Average selling prices increased by 2.8% since 2020 reflecting a combination of the mix of
homes sold in the year and the increased proportion of homes sold to our housing association
partners.
Effective supply chain management, cost control and the Group’s vertical integration, together
with strong selling prices, mitigated build cost inflation of c. 5.0% and delivered an industryleading underlying operating margin5
of 28.0% (2020: 27.6%).
Strong net cash generation of £1,209.8m (2020: £1,066.8m) before capital returns of £749.6m
and net land spend of £447.7m.
Strengthening our development pipeline
Added over 20,750 plots of land, both from on market purchases and our strategic land
holdings, with industry-leading embedded margins.
High quality land holdings, with 88,043 plots owned and under control at 31 December 2021
(2020: 84,174 plots).
Continued investment with gross land spend of £460m in 2021.
Build quality – ‘build right, first time, every time’
An unrelenting focus on ‘build right, first time, every time’, further enhancing the Group’s build
quality and customer service.
Achieved pre-Covid build rates throughout the year, whilst building better quality homes in line
with the ‘Persimmon Way’, the Group’s construction excellence programme, which is fully
operational across the business.
Build rates have further improved in the early part of this year as we continue to see the benefit
of the Persimmon Way in our build programmes and the Group’s vertical integration facilities.
All warranty provider scores have significantly improved over the last year, with a 17% year on
year improvement in the number of NHBC Reportable Incidents6
.
Customer service
Achieved a 92.0%4
customer satisfaction score for the survey year ending 30 September 2021.
We believe we will achieve a five-star rating when the HBF’s annual results are published later
in March 2022 for the first time in the company’s history.
FibreNest, the Group’s ultrafast, full fibre broadband service, currently supports over 21,000 of
our customers across over 270 developments. (2020: over 12,500 customers across 198
developments).
Supporting sustainable communities
Our private average selling price of £259,231 for the year to 31 December 2021 is over 20%7
lower than the UK national average.
Investment of £490m in local communities in 2021, including the delivery of 2,533 new homes
for lower income families to our housing association partners.
Over £1.8m donated to local charities and community groups.
Challenging science-based carbon reduction targets – net zero homes by 2030 and net zero
operations by 2040 – now set and independently accredited by the Science Based Targets
initiative.
Pilot projects, utilising innovative carbon reduction technologies, are underway to determine
the most effective methods of delivering net zero carbon homes in use at scale.
And later;
Shareholder returns .
Dividends of 125p (£398.7m) and 110p (£350.9m) per share paid on 26 March 2021 and 13
August 2021 respectively.
Payment of regular annual instalment of 125p per share to be made on 1 April 2022 (brought
forward from July 2022) with payment of 110p of surplus capital in July 2022, subject to
continuous review, in line with the Group’s strategy.
The Directors propose to return 125p of surplus capital to shareholders for each ordinary share held on the register
on 11 March 2022 with payment made on 1 April 2022 as an interim dividend in respect of the financial year ended
31 December 2021. The Directors intend to return surplus capital of 110p per ordinary share as an interim dividend
with respect to the financial year ended 31 December 2021. This distribution to shareholders is anticipated to be
made in July 2022 subject to continuous Board assessment in line with the Group’s strategy. The total anticipated
distributions to shareholders is 235p per share (2020: 235p per share) in respect of the financial year ended 31
December 2021.
https://www.persimmonhomes.com/corporat ... t-2021.pdf