House-builder Persimmon Homes has recorded a large jump in its profits, following "improving customer demand" for its properties.

In the company's half yearly report, underlying profits for the first six months of 2013 increased by 40% to £135m, up from £97m in the same period in 2012.

Persimmon Homes said it had benefitted from mortgage credit becoming more easily available, as well as the government-introduced scheme of Help to Buy. It added that it was also focusing on purchasing more land for future developments, adding an additional 800 acres to its portfolio in the first half of the year.

Persimmon said that interest in its properties had increased, with visitors to sites up by 15% from a year ago.


Since the launch of the Help to Buy scheme in April, the firm said it had secured more than 1,700 reservations, while the numbers of visitors to sites had risen by 15% as interest in properties increased. Looking at acquiring new land, Persimmon said it spent £236m, an increase from £142m in 2012. The company now owns a total of 70,716 plots and currently has 390 active construction sites throughout the UK.

Chairman Nicholas Wrigley said: "During the first half of 2013 we have invested further in the business in support of increasing our future volumes.

"In addition to good growth in sales and profits we have also reached our target margin range of 15-17% eighteen months ahead of plan. Our focus remains on the delivery of our long term strategy and we are well placed to continue to make good progress."

However, Mr Wrigley added: "We anticipate that Persimmon will continue to make good progress, but we remain mindful of the wider economic challenges facing the UK economy.

"Throughout the second half of this year, we will continue to focus on the basics of good house-building to deliver further improvements in the performance of the business."

(JP/MH)