National housebuilder Persimmon has reported an 11% growth in its official 2025 annual pre-tax profits to almost £400m.
The company also expressed its hope that the Iran conflict would be short, which would allow the company to grow further in 2026.
The company recorded a £397.3m pre-tax profit for the year ended December 31, 2025 (2024: £359.1m) and total group revenue of £3.75bn (2024: £3.2bn) – the latter representing a 17% increase.
Its new home completions for 2025 were also up – rising 12% to 11,905 (2024: 10.664), while the average new sales price was £278,203 (2024: £268,499), up by 4%.
Persimmon’s current private forward sales position is £1.25bn, up 9% on a year ago.
It posted a 3% growth in outlets to 277 as it progressed towards a target of at least 300 outlets, with average outlets in the year up 4% to 271 (2024: 261).
The company also continues to invest in growth, with £541m net spend on land in 2025 (2024: £437m); strong strategic land pipeline, up 10% to over 77,000 potential plots, and investment in strategic capabilities.
Looking forward, Dean Finch, Persimmon group chief executive, had a word to say about the Iran conflict.
“Sales in the opening weeks of the year have been strong and the build to rent market is recovering from the slowdown around November’s Budget,” he said.
“Whilst we have good visibility of both our costs for 2026 and our demand from registered providers and BTR, the impact of the Iran conflict on customer sentiment remains to be seen. Assuming the conflict with Iran and its impact is short, Persimmon is set to grow again in 2026.”
Assuming the Iran conflict is short, Persimmon expects to deliver between 12,000 and 12,500 completions in 2026, with underlying operating profit towards the upper end of current consensus.
Mr Finch described the group results as “strong”, reflecting sustained investment in the business and our commitment to self-help, enabling us to grow in a challenging market.
Persimmon said market conditions have been supportive – including greater mortgage availability and real wage growth – which, when combined with the company’s increasing outlet base, has underpinned growth. It welcomed the “beneficial “changes to the planning environment that the Government has introduced, “which should support further outlet growth over time”.
In the first nine weeks of 2025, net private sales rate per outlet per week was 0.73, up 9% compared to the same period last year (2025: 0.67). The private average selling price in the order book is up 6%. Total forward sales as at March 1, 2026, have increased by 6% to £1.80bn (2025: £1.69bn).
