Persimmon’s annual dividend is expected to be 235p.
In the first half of this year, PerSimmons’ (LON:PSN) sales exceeded pre-pandemic levels as the company benefited from a strong housing market.
The FTSE 100 company confirmed its revenue for the first half of 2021 reached £1.84 billion, higher than the £1.75 billion for the same period in 2019.
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UK housebuilders’ turnover in the first half of 2020 was just £1.2bn.
Persimmon has also purchased 10,000 new properties across 48 sites, with a forward order book reaching £1.82 billion, the newspaper reported. The group also has £1.3bn of cash on its balance sheet.
The group also confirmed that it has brought forward its planned 110p dividend payment to August 13, meaning shareholders will receive a 235p dividend for the full year.
“Pre-coronavirus, Persimmon had to adopt a policy of ‘less is more.’ A series of problems with construction quality led to a temporary reduction in the number of homes built to avoid leaving buyers unsatisfied. “We decided to reduce it,” said investment firm Russ Mold. Director of AJ Bell.
“Investors will therefore be relieved that homebuilders have been able to increase construction volumes to pre-pandemic levels without clearly compromising quality.”
“This follows a recent agreement with competition authorities to support customers facing leasehold issues. Following scandals over precarious housebuilding and executive remuneration, Persimmon is becoming a better corporate citizen. We are moving towards.”
“We tend to be generous when our pockets are full, so it’s no surprise that Persimmon, with over £1 billion in cash, is accelerating the return of capital to shareholders.However, Persimmon also We purchased the land at an attractive valuation and are laying the foundations for future profitable growth.”
Persimmon shares fell 4.07% to 2,945p before lunch on Thursday.
