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olivLaw · European equity research

Persimmon Plc PSN.L

United Kingdom · London Stock Exchange · ISIN GB0006825383 · Vertical: Listed companies from United Kingdom

13.03GBP−0.04% · 1 dayClose 05 Nov 2026

Persimmon Plc is a UK housebuilder that builds and sells homes across the United Kingdom, with a focus on affordable pricing and vertical integration of its supply chain. Its 2025 annual report stresses circular-economy and decarbonisation commitments as the sector moves toward the new Future Homes Standard, which could change construction costs. The average selling price of Persimmon Homes private homes is £286,145, around 19% below the UK national average.

At the close of 05 Nov 2026, Persimmon Plc (PSN.L) stock was 13.03 GBP (−0.04% on the day), with market capitalisation 4.2 bn GBP, P/E 14.8 on diluted EPS of 0.88 GBP over the last 12 months, dividend yield 4.61%, beta 0.85, 52-week range 9.99–15.44 GBP.

Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.

Market cap
4.2 bn GBP
shares as of 31 Dec 2025
P/E (TTM)
14.8
Diluted EPS TTM 0.88 · TTM to 31 Dec 2025
E/P (TTM)
6.77%
TTM to 31 Dec 2025
Dividend yield
4.61%
DPS 12m 0.60
Beta (2y)
0.85
Volatility (1y) 37%
52-week range
9.9915.44

Price history

Loading chart…

Technical reading

RSI (14)
59.1
strong (55–70)
Bollinger (20, 2)
11.97 – 13.23
in the upper half of the band · %B 0.83 · band width 10.0%
SMA 50 / 200
12.11 / 11.87
uptrend (price > SMA50 > SMA200)
MACD (12, 26, 9)
0.21 / 0.20
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyEURO STOXX 50vs EURO STOXX 50Vertical median
1 month+5.0%−0.6%+5.7 pp—
3 months+12.7%−4.2%+16.9 pp—
6 months+17.9%+4.3%+13.6 pp—
Year to date−4.1%+7.5%−11.6 pp—
1 year+8.0%+9.9%−1.9 pp+5.8%
3 years+20.4%+49.8%−29.4 pp+26.3%
5 years−51.5%+42.8%−94.3 pp—
Max drawdown (1y)
−35.3%
18 Feb 2026 → 08 Jul 2026
Max drawdown (5y)
−66.7%
04 Jan 2022 → 25 Oct 2023
Compound annual growth (5y)
−13.5%
EURO STOXX 50 +7.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 33 percentile of its own 3-quarter history (min 14.5, median 15.4, max 17.5; quarters with earnings only).

Fiscal years

Fiscal year202320242025
Revenue2.8 bn3.2 bn3.8 bn
Revenue YoYunavailable+15.4%+17.2%
Net income255.4 m267.1 m285.7 m
Net income YoYunavailable+4.6%+7.0%
Diluted EPS0.800.830.88
Diluted EPS YoYunavailable+4.0%+6.7%
net %9.2%8.3%7.6%
Free cash flow-166.2 m52.6 m-11.1 m

Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
117.0 m GBP
Financial debt
unavailable GBP
Net debt
unavailable GBP
Equity
3.6 bn GBP
Total assets
5.3 bn GBP
Debt / equity
unavailable
Current ratio
3.99x
ROE
8.0%
ROA
5.6%
FCF margin
-0.3%

Financial statements (source on every figure)

Revenue and net income (GBP)

Margins

Income statement · GBP

Revenue
2023
2.8 bn
2024
3.2 bn
2025
3.8 bn

esef· 24 Mar 2026verified

Cost of revenue
2023
2.3 bn
2024
2.6 bn
2025
3.1 bn

esef· 24 Mar 2026verified

Gross profit
2023
520.1 m
2024
580.4 m
2025
616.5 m

esef· 24 Mar 2026verified

Operating income
2023
346.9 m
2024
369.2 m
2025
423.8 m

esef· 24 Mar 2026verified

Interest expense
2023
14.8 m
2024
21.2 m
2025
37.9 m

esef· 24 Mar 2026verified

Pre-tax income
2023
351.8 m
2024
359.1 m
2025
397.3 m

esef· 24 Mar 2026verified

Income tax
2023
96.4 m
2024
92.0 m
2025
111.6 m

esef· 24 Mar 2026verified

Net income
2023
255.4 m
2024
267.1 m
2025
285.7 m

esef· 24 Mar 2026verified

Diluted EPS
2023
0.80
2024
0.83
2025
0.88

esef· 24 Mar 2026verified

Dividend per share
2023
0.80
2024
0.60
2025
0.60

esef· 24 Mar 2026derived

Balance sheet · GBP

Cash
2023
420.1 m
2024
258.6 m
2025
117.0 m

esef· 24 Mar 2026verified

Receivables
2023
182.0 m
2024
167.8 m
2025
249.9 m

esef· 24 Mar 2026verified

Inventories
2023
3.7 bn
2024
3.9 bn
2025
4.5 bn

esef· 24 Mar 2026verified

Current assets
2023
4.3 bn
2024
4.3 bn
2025
4.9 bn

esef· 24 Mar 2026verified

Property, plant & equipment, net
2023
140.5 m
2024
154.6 m
2025
115.4 m

esef· 24 Mar 2026verified

Total assets
2023
4.8 bn
2024
4.8 bn
2025
5.3 bn

esef· 24 Mar 2026verified

Accounts payable
2023
821.7 m
2024
806.3 m
2025
1.1 bn

esef· 24 Mar 2026verified

Current liabilities
2023
948.9 m
2024
923.3 m
2025
1.2 bn

esef· 24 Mar 2026verified

Total liabilities
2023
1.4 bn
2024
1.3 bn
2025
1.7 bn

esef· 24 Mar 2026verified

Equity
2023
3.4 bn
2024
3.5 bn
2025
3.6 bn

esef· 24 Mar 2026verified

Shares outstanding at year end
2023
319.3 m
2024
319.5 m
2025
319.9 m

esef· 24 Mar 2026derived

Cash flow · GBP

Operating cash flow
2023
-129.8 m
2024
84.9 m
2025
29.5 m

esef· 24 Mar 2026verified

Capex
2023
36.4 m
2024
32.3 m
2025
40.6 m

esef· 24 Mar 2026verified

Free cash flow
2023
-166.2 m ≈
2024
52.6 m ≈
2025
-11.1 m ≈

esef· 24 Mar 2026derived

Investing cash flow
2023
-42.9 m
2024
-45.0 m
2025
26.8 m

esef· 24 Mar 2026verified

Financing cash flow
2023
-268.8 m
2024
-201.4 m
2025
-197.9 m

esef· 24 Mar 2026verified

Dividends paid
2023
255.4 m
2024
191.8 m
2025
192.1 m

esef· 24 Mar 2026verified

Share repurchases
2023
1.2 m
2024
200.0 k
2025
2.3 m

esef· 24 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
17.2%
computed by olivLawFY 2025
Revenue CAGR 3Y
unavailable
input data missing
Revenue CAGR 5Y
unavailable
input data missing
EBIT growth (YoY)
14.8%
computed by olivLawFY 2025
Net income growth (YoY)
7.0%
computed by olivLawFY 2025
Net income CAGR 3Y
unavailable
input data missing
Net income CAGR 5Y
unavailable
input data missing
EPS growth (YoY)
6.7%
computed by olivLawFY 2025
EPS CAGR 3Y
unavailable
input data missing
EPS CAGR 5Y
unavailable
input data missing
FCF growth (YoY)
-121.1%
computed by olivLawFY 2025

Profitability

Gross margin
16.4%
computed by olivLawFY 2025
EBITDA margin
unavailable
input data missing
EBIT margin
11.3%
computed by olivLawFY 2025
Net margin
7.6%
computed by olivLawFY 2025
FCF margin
-0.3%
computed by olivLawFY 2025

Returns

ROE
8.0%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROA
5.6%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROIC
unavailable
input data missing
ROCE
10.3%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Payout ratio (EPS)
68.1%
computed by olivLawFY 2025
Payout ratio (FCF)
unavailable
the base of the ratio is not positive

Balance sheet

Net debt
unavailable
input data missing
Net debt / EBITDA
unavailable
input data missing
Debt / equity
unavailable
input data missing
Interest coverage
11.2x
computed by olivLawFY 2025

Liquidity

Current ratio
4.0x
computed by olivLawbalance sheet at 31 Dec 2025
Quick ratio
0.3x
computed by olivLawbalance sheet at 31 Dec 2025
Cash ratio
0.1x
computed by olivLawbalance sheet at 31 Dec 2025

Cash

Operating cash flow
29.5 m GBP
computed by olivLawFY 2025
Capital expenditure
40.6 m GBP
computed by olivLawFY 2025
Free cash flow
-11.1 m GBP
computed by olivLawFY 2025
FCF conversion
-3.9%
computed by olivLawFY 2025
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
20 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Days inventory outstanding
489 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Days payables outstanding
112 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Cash conversion cycle
397 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

Market and valuation

Market capitalisation
4.2 bn GBP
computed by olivLawbalance sheet at 31 Dec 2025
Enterprise value
unavailable
input data missing
Market cap / net income TTM
14.6x
computed by olivLawFY 2025
P/E (TTM)
14.8x
computed by olivLawFY 2025
Earnings yield
6.8%
computed by olivLawFY 2025
P/B
1.2x
computed by olivLawbalance sheet at 31 Dec 2025
P/S
1.1x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
unavailable
the base of the ratio is not positive
FCF yield
-0.3%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Dividend yield
4.6%
computed by olivLawFY 2025
Shareholder yield (distributions)
4.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • score weight coverage: 47.9% of at least 60%

A scoring methodology on indicators and valuation, not investment advice.

Closing price

13.03 GBP

05 Nov 2026Source: olivLaw, closing series

Market cap: 4.2 bn GBP

Key indicators

Market capitalisation
4.2 bn GBP
computed by olivLawbalance sheet at 31 Dec 2025
P/E (TTM)
14.8x
computed by olivLawFY 2025
P/B
1.2x
computed by olivLawbalance sheet at 31 Dec 2025
EV/EBITDA
unavailable
input data missing
ROE
8.0%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Net margin
7.6%
computed by olivLawFY 2025
Revenue growth (YoY)
17.2%
computed by olivLawFY 2025
Dividend yield
4.6%
computed by olivLawFY 2025

Coverage and freshness

28/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2025
Latest balance sheet date: 31 Dec 2025
Share count (cover of the latest filing), as of: 31 Dec 2025
Source: esefpublished 24 Mar 2026
verified 83derived 6

Score by group

48% · Insufficient data

Estimated value range

unavailable — no valuation assumptions for the reporting currency

Valuation assumptions are editorial choices, not measured; beta is not measured.

Valuation methods

    Assumptions (illustrative, editorial)

    Risk-free rate
    6.5%
    Equity risk premium
    6.0%
    Beta (default)
    1.00
    Cost of equity
    12.5%
    Terminal growth
    3.0%

    Factor scorecard

    Insufficient data

    Minimum-evidence gate: score weight coverage: 47.9% of at least 60%

    FactorValueScoreWeight used
    ROIC · Qualityunavailableunavailable—
    Net margin · Quality7.6%43 (vs peers)13%
    FCF conversion · Quality-3.9%0 (on a fixed band)13%
    Revenue CAGR 3Y · Growthunavailableunavailable—
    EPS CAGR 3Y · Growthunavailableunavailable—
    Net debt / EBITDA · Balance sheetunavailableunavailable—
    Interest coverage · Balance sheet11.2x100 (on a fixed band)13%
    Current ratio · Balance sheet4.0x100 (on a fixed band)9%
    P/E (TTM) · Valuation14.8x50 (vs peers)22%
    EV/EBITDA · Valuationunavailableunavailable—
    FCF yield · Valuation-0.3%0 (on a fixed band)17%
    Shareholder yield (distributions) · Returns4.7%67 (on a fixed band)13%
    Payout ratio (FCF) · Returnsunavailableunavailable—

    Factors without a value were dropped; the remaining weights were renormalised.

    Score groups

    • Balance sheet100/100 · 2/3 factors with a value
    • Growth· partialunavailable · 0/2 factors with a value
    • Quality21/100 · 2/3 factors with a value
    • Returns· partial67/100 · 1/2 factors with a value
    • Valuation28/100 · 2/3 factors with a value

    A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

    Memo

    PERSIMMON PUBLIC LIMITED COMPANY (PSN.L). Latest full fiscal year: 2025; data up to 2025-12-31.

    Figures computed from the financial statements: revenue 3.8 bn GBP in 2025; YoY growth 17.2%; net margin 7.6%; ROE 8.0%.

    The estimated value range is 7.92–11.32 GBP per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 9.62 GBP, the price of 13.03 GBP leaves a potential of -26.2% (value / price − 1) and a margin of safety of -35.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

    Insufficient data for a verdict (score weight coverage: 47.9% of at least 60%).

    Text generated deterministically from the figures shown; no language model. Not investment advice.

    What supports the thesis

    • Interest coverage: 11.2x
    • Current ratio: 4.0x

    What contradicts it

    • FCF conversion: -3.9%
    • FCF yield: -0.3%
    • The price is above the estimated value range
    • The valuation methods diverge

    Not assessed (insufficient data or a ratio without meaning): ROIC, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA, Payout ratio (FCF).

    Versus the vertical median

    Listed companies from United Kingdom · same country · compared with 39 companies

    Multiples and returns vs the median

    P/E
    14.8x
    vertical median 15.3x
    at median
    EV/EBITDA
    —
    vertical median —
    P/S
    1.1x
    vertical median 1.5x
    below median (−27.7%)
    P/B
    1.2x
    vertical median 2.2x
    below median (−46.6%)
    ROE
    8.0%
    vertical median 14.4%
    below median (−44.2%)
    Net margin
    7.6%
    vertical median 10.8%
    below median (−29.3%)
    EBIT margin
    11.3%
    vertical median 22.9%
    below median (−50.8%)
    Revenue YoY
    17.2%
    vertical median 7.9%
    above median (+118.3%)
    Net debt/EBITDA
    —
    vertical median —
    Dividend yield
    4.6%
    vertical median 2.9%
    above median (+61.3%)

    Price rebased to 100 (monthly, 5 years)

    Companies in the vertical

    Market capP/EROENet marginRevenue YoY1A / 3A
    BATS.LBritish American Tobacco P.L.C.104.3 bn13.516.5%30.3%−1.0%+7% / +88%
    ABF.LAssociated British Foods PLC14.7 bn14.39.2%5.3%−3.1%−5% / −15%
    0EV1.LCarnival PLC5.5 bn4.146.7%13.4%+6.4%unavailable / unavailable
    BAB.LBabcock International Group PLC5.1 bn24.734.7%4.1%+7.2%−10% / +158%
    AUTO.LAutotrader Group PLC4.8 bn16.460.2%47.1%+3.9%−13% / −23%
    BBY.LBalfour Beatty PLC4.2 bn16.323.2%2.8%+15.2%+20% / +160%
    PSN.LPersimmon Public Limited Company4.2 bn14.88.0%7.6%+17.2%−2% / +4%
    ABDN.LAberdeen Group PLC4.1 bn10.88.0%28.9%−2.1%+11% / +41%
    BKG.LThe Berkeley Group Holdings PLC3.6 bn11.38.8%13.4%−4.2%−0% / −22%
    BME.LB&M European Value Retail PLC2.9 bn17.421.2%2.8%+3.7%+68% / −51%
    AJB.LAj Bell PLC2.4 bn22.849.9%33.1%+18.0%+8% / +128%
    ASHM.LAshmore Group PLC1.4 bn13.913.1%71.6%−0.1%+28% / +18%
    BCG.LBaltic Classifieds Group PLC1.2 bn23.215.8%57.6%+6.9%−99% / −99%
    APN.LApplied Nutrition PLC763.6 m36.241.2%19.7%+24.2%+71% / unavailable
    BAG.LA.G. Barr P.L.C.671.9 m14.414.4%10.8%+4.0%−7% / +26%
    ASC.LAsos PLC494.5 m—-81.3%-12.0%−14.7%+71% / +8%
    ALFA.LAlfa Financial Software Holdings PLC486.8 m16.361.5%23.8%+15.3%−28% / +10%
    AML.LAston Martin Lagonda Global Holdings PLC344.3 m—-93.4%-39.2%−20.6%−45% / −85%
    APTD.LAptitude Software Group PLC111.3 m28.57.2%6.2%−7.3%−30% / −23%
    AMGO.LAmigo Holdings PLC9.9 m———−81.9%+325% / +844%
    ASBE.LAssociated British Engineering PLC605.3 k—-19.1%—unavailableunavailable / unavailable
    AMIF.LAmicorp Fs (uk) PLC221.6 k0.127.5%9.1%+8.1%unavailable / unavailable
    AAF.LAirtel Africa PLC——24.1%10.6%+29.5%−7% / +164%
    AAL.LAnglo American PLC——-19.3%-20.2%+4.5%+30% / +76%
    ACG.LAcg Metals Limited——-80.3%-32.0%+134.8%+60% / +63%

    1- and 3-year price returns: for PSN.L from daily closes (the same as the performance table), for the other companies from month-end closes.

    olivLaw engine forecast

    The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

    The engine has no published run for this company yet.

    Valuation scenarios (editable assumptions)

    Illustrative scenarios

    Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

    Bear
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Base
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Bull
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Nothing is saved.

    Estimated price (GBP)

    Estimated priceBearBaseBull
    1 years
    8.62
    Total return -30% · Per year -30%
    15.17
    Total return 22% · Per year 22%
    22.75
    Total return 81% · Per year 81%
    3 years
    10.22
    Total return -8% · Per year -3%
    20.06
    Total return 73% · Per year 20%
    32.76
    Total return 175% · Per year 40%
    5 years
    12.12
    Total return 17% · Per year 3%
    26.52
    Total return 140% · Per year 19%
    47.17
    Total return 310% · Per year 33%
    What moves the 3-year price the most
    • Exit P/E± 5.01
    • Net margin± 3.51
    • Annual revenue growth± 2.62
    • Annual dilution± 0.29

    AI analysis

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    In brief

    Persimmon Plc is a UK housebuilder that builds and sells homes across the United Kingdom, with a focus on affordable pricing and vertical integration of its supply chain. Its 2025 annual report stresses circular-economy and decarbonisation commitments as the sector moves toward the new Future Homes Standard, which could change construction costs. The average selling price of Persimmon Homes private homes is £286,145 1, around 19% below the UK national average 1.

    SWOT

    Strengths

    • Vertical integration through owned factories for timber frames, wall panels and roof cassettes, supporting controlled costs and build times.
    • A national network of sites and diverse landholdings that reduce exposure to regional risks.
    • Build and customer service quality, confirmed by high Trustpilot scores and HBF ratings.

    Weaknesses

    • Dependence on material and labour costs, which can increase construction margins pressure.
    • Sensitivity to planning approvals and environmental restrictions, which can delay projects.
    • Concentration in the UK residential market with no geographic diversification outside the United Kingdom.

    Opportunities

    • Circular-economy and material reuse platforms could reduce costs and waste.
    • The Future Homes Standard could favour companies already prepared for very low-emission homes.
    • Nature-based solutions such as wetlands could unlock planning consents and new sites.

    Threats

    • Rising carbon costs in the supply chain could squeeze margins.
    • Physical risks from flooding and storms could interrupt operations or limit available land.
    • Regulatory changes, including new drainage and energy requirements, could raise compliance costs.

    Risks

    • Supply chainhigh

      Supply interruptions or rising material prices could affect construction programmes and margins.

    • Planning riskhigh

      Approval delays or environmental restrictions could limit the number of homes delivered.

    • Climate transitionmedium

      Compliance costs for the new energy standard could rise if technologies prove less effective than expected.

    • Physical climate risksmedium

      Storms and flooding could cause direct damage or delays, although exposure is judged low.

    • Geographic concentrationlow

      Activity wholly in the United Kingdom exposes the company to changes in the local economy and policy.

    Investment thesis

    What would need to be true (bull case)

    • Vertical integration and a national land network could support stable margins even when costs are volatile.
    • Affordable pricing and high build quality could attract buyers in a market with pent-up demand.
    • Sustainability commitments and circular-economy practices could lower costs over the longer term.

    What would break the thesis

    • Rising carbon and material costs could erode margins if selling prices do not rise in step.
    • Reliance on planning approvals could slow deliveries and home completions.
    • Exposure to a single market, the United Kingdom, could amplify the effects of a local economic slowdown.

    What to watch

    • Progress toward the Future Homes Standard and related transition costs2026/2027
    • Trends in material and carbon costs across the supply chainnext 10-K
    • Waste recycling rate and waste per home sold2026
    • Pace of planning approvals and home deliveriesnext 10-K

    Products, market & competition

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    The business

    Persimmon is a UK residential developer operating through several brands and regional operations, including Persimmon Homes and Charles Church 1. It builds its business on a national network of sites supported by Group framework agreements and local supplier relationships 1. The model includes vertical integration: the company owns a timber frame, wall panel and roof cassette factory that supports low-carbon construction and shorter build times 1.

    Procurement policy requires suppliers and subcontractors to use FSC or PEFC certified timber across operations 1. The company also reports waste-reduction initiatives, with 98% of waste recycled or reprocessed in 2025 1. Its c.£2.3bn investment in local communities over five years 1 shows the developer treats its role as wider than home building.

    The company says affordable pricing and build quality are its strengths, with a 4.6 Trustpilot rating for Persimmon Homes and Charles Church in 2025 1. Its market position depends on land acquisition across the country and on managing material and labour costs.

    Segments

    Private housing

    The main segment is building and selling private homes, with an average price of £286,145 for Persimmon Homes 1. Affordable pricing is central to its value proposition 1.

    Manufacturing and vertical integration

    The company owns manufacturing facilities for timber frames, wall panels and roof cassettes used in modern methods of construction 1. This integration supports shorter build times and lower emissions 1.

    Community and social activities

    The company invests in communities and supports construction education, including donations of bricks to colleges 1. These activities form part of its sustainability strategy but are not its main revenue source 1.

    Market context

    Persimmon operates in the United Kingdom, where new-home prices are an important factor in affordability 1. Its average price, around 19% below the national average 1, indicates a strategy aimed at buyers seeking more affordable homes.

    The market depends on planning approvals, environmental rules and land availability. The report notes that nutrient neutrality rules and planning requirements can influence timing and the number of homes that can be built 1.

    Trends

    • Future Homes Standardmixed

      The new standard, expected in 2026/2027, could require significant cuts in carbon emissions from homes 1. If it applies as expected, the company could face transition costs, though it is already positioned for heat pumps and higher insulation 1.

    • Circular economy in constructiontailwind

      The company signed a nationwide contract with Nexus ReGen for reuse of construction materials, which could reduce material costs and waste 1. This could be an advantage if material prices rise 1.

    • Material and carbon costsheadwind

      The report identifies materials exposed to carbon pricing and resource constraints, which could raise construction costs 1. The company says gross margins embedded in existing landholdings can absorb part of the volatility 1.

    • Physical climate risksmixed

      Flooding and windstorms could delay construction programmes or raise adaptation costs, but exposure is judged low given careful land selection 1. Residual risks are assessed as low for both transition and physical risk 1.

    Competitive position

    The supplied sources do not identify direct competitors in detail. From the context, the company operates in the UK residential developer market, where competition centres on land, pricing and quality 1.

    The competitive advantage described in the report rests on its national land network, vertical integration and construction standards 1. These could differentiate it if material costs rise and affect less integrated rivals.

    • Other UK residential developers

      The sources do not name competitors. The company operates in the same UK new-home market, where rivals are other national and regional developers.

    • Regional developers

      Regional competitors can compete for local land and planning approvals, factors the report calls critical.

    • Modular construction suppliers

      Modern methods of construction can bring competition for timber frame products, a segment where the company is already vertically integrated.

    • Sustainability-focused developers

      Rivals investing in high carbon standards can attract buyers sensitive to energy efficiency.

    News & filings

    In the press

    Annual reports (ESEF)

    Sources

    1. [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Persimmon Plc · 31 Dec 2025

    Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.

    Persimmon Plc (PSN.L): stock, results, valuation and forecast · olivLaw