FTSE 100 housebuilder Persimmon (LON:PSN) saw its share price rise by 5.24% to 2,750p (as of 09:45 BST) after posting its results for the half year ended 30th June. While average selling prices had continued to increase, COVID restrictions meant that completions dropped by 34%. Revenues declined by 32% and pre-tax profits sank by 42%.
Looking ahead, CEO Dave Jenkinson commented: “The Group has had an excellent start to the second half with a c. 49% year on year increase in average weekly private sales rates per site since the start of July and a current forward order book of c. £2.5bn, a 21% increase on last year. Our strong opening work in progress position and excellent build rate through the summer give us confidence in a positive second half outturn. We expect that by the end of September, we will have delivered c. 45% of our anticipated second half new home legal completions.
“As a result of the continuing strong performance of the business through this challenging period, together with our cautious optimism on the Group’s prospects for the second half, we are pleased to announce that the Board is proposing a modest interim dividend of 40p per share. Further dividend payments this year will remain under close review“.