Housebuilder set to report 17% increase in house sales in 2014

Housebuilder Persimmon built almost a fifth more homes last year than in 2013, the firm said today.

In a trading update ahead of results for the year to December 31, it said it built and sold 13,509 homes in 2014, an increase of 17% on the prior year, and an increase of 36% on the number of homes delivered two years ago.

At the same time as increasing its output, the firm also achieved a higher selling price for its homes, up 5% to £191k. Consequently it grew turnover by almost a quarter, to £2.6bn compared to £2.1bn in 2013.

While the firm said that it saw a return to “a more traditional seasonal pattern to customer activity” compared to the Help to Buy-boosted sales rates of 2013, it nevertheless said it sold well “right through to the end of the autumn season”, with forward sales 7% ahead of 2013 at £973m.

It added it still expected to report improved operating margin in the second half of last year, as anticipated at it half year results. Persimmon is set to announce its results on February 24.

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