Persimmon

Website: Persimmon
Index: FTSE 100
EPIC: PSN
Supersector: Personal and Household Goods
Sector: Household Goods and Home Construction
Subsector: Home Construction
Market Cap: £3.86B
Payout Frequency: Semi-Annual

Next Persimmon Dividend

Persimmon next goes ex-dividend on 18/06/2026. This will be the Final dividend for 2026.

The dividend per share amount is 40.0000p (GBP) and the payment date is 10/07/2026.

Headline Dividend Details (relevant to 18/06/2026 ex-date)

Coverage and Cash Support

Underlying EPS (FY2025): 100.7p ? dividend cover c.1.7x
Reported EPS (FY2025): 89.3p ? cover c.1.5x
Cash and liquidity at year-end: £117.0m cash; net cash £102.3m; undrawn facilities increased to £1.0bn (RCF £750m to July 2030 + £250m term loan to Jan 2028)
Cash from operations after working capital (FY2025): £29.5m (reflecting growth investment and inventory build)
Dividend cash cost benchmark: FY2025 distributions totalled £192.1m (covers 2024 final and 2025 interim); the proposed 2025 final (40p) will be a FY2026 cash outflow

Management Guidance / Policy

Capital allocation: maintain strong balance sheet; invest in land and vertical integration; pay a sustainable ordinary dividend well covered through the cycle; consider additional returns when excess capital emerges
Outlook 2026: completions 12,000–12,500; underlying operating profit towards upper end of consensus; underlying PBT in line due to higher finance costs
Building safety remediation cash outflow expected to peak over next two years (~£100m in 2026); as progress is made, Board “anticipates increasing returns to shareholders”

Analyst View: Sustainability and Growth

Sustainability: The proposed 40p final looks well covered by earnings (1.5–1.7x). Operational momentum (volume +12%, margins slightly higher, forward sales +6%) supports maintenance of the ordinary dividend.
Cash dynamics: Cover is tighter on a cash basis near term due to growth-led working capital, peak remediation spend and rising land creditors; however, expanded committed facilities add flexibility.
Growth trajectory: FY2025 DPS is flat at 60p. Management signals potential to grow distributions once remediation peaks pass and investment converts to cash. Given 2026 guidance (higher finance costs; net cash range between £100m net debt and £100m net cash), a near-term step-up in DPS looks unlikely; continuation at current level appears most probable with upside medium term if margins/ROCE progress towards 20% targets.

Structural or Policy Changes with Dividend Implications

Sale of FibreNest (Aug 2025): non-core disposal; proceeds reinvested in growth—neutral to supportive for long-term cash generation.
Acquisition of Lone Star Land (Aug 2025): strengthens strategic land pipeline; near-term cash outlay, but supports medium-term volume/margin and dividend capacity.
Financing: RCF lifted to £750m and new £250m term loan—enhanced liquidity cushions dividend through the investment/remediation peak.
Capital Allocation Policy reiterated: priority on balance sheet strength and sustainable ordinary DPS; potential for extra returns after safety programme substantially delivered.

Key Risks/Flags for Dividend Stability

Building safety remediation: peak cash outflows in 2026 (~£100m) and potentially into 2027; provision at year-end £226.0m.
Higher finance costs and rising land creditors (£623.4m) tighten cash cover during growth phase.
Market/geopolitical sensitivity: management highlights uncertainty from the Iran conflict on sentiment, costs, and rates; BTR timing can be lumpy; FY2025 housing association strength unlikely to be repeated in 2026.
Final dividend remains subject to AGM approval.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
19/06/2025	11/07/2025	Final	40.00p	GBX
16/10/2025	07/11/2025	Interim	20.00p	GBX

Total (Annual Dividends Per Share): 60.00p

Dividend Yield = Annual Dividends Per Share (60.00p) ÷ Share Price (1130.5p) = 5.31%

Ex Dividend Date	Payment Date	Type	Amount	Currency
18/06/2026	10/07/2026	Final	40.0000p	GBX
16/10/2025	07/11/2025	Interim	20.00p	GBX
19/06/2025	11/07/2025	Final	40.00p	GBX
17/10/2024	08/11/2024	Interim	20.00p	GBX
20/06/2024	12/07/2024	Final	40.00p	GBX
12/10/2023	03/11/2023	Interim	20.00p	GBX
13/04/2023	05/05/2023	Final	60.00p	GBX
16/06/2022	08/07/2022	Special	110.00p	GBX
10/03/2022	01/04/2022	Interim	125.00p	GBX
22/07/2021	13/08/2021	4th Interim	110.00p	GBX
11/03/2021	26/03/2021	3rd Interim	125.00p	GBX
11/03/2021	26/03/2021	Special	125.00p	GBX
26/11/2020	14/12/2020	2nd Interim	70.00p	GBX
27/08/2020	14/09/2020	Interim	40.0p	GBX
11/06/2020	06/07/2020	Special	110.00p	GBX
05/03/2020	02/04/2020	Special	125.00p	GBX
13/06/2019	02/07/2019	Special	110.0p	GBX
13/06/2019	02/07/2019	Final	110.0p	GBX
07/03/2019	29/03/2019	Interim	125.00p	GBX
07/03/2019	29/03/2019	Special	125.00p	GBX
14/06/2018	02/07/2018	Special	110.0p	GBX
14/06/2018	02/07/2018	Final	110.0p	GBX
08/03/2018	29/03/2018	Interim	125.00p	GBX
08/03/2018	29/03/2018	Special	125.00p	GBX
15/06/2017	03/07/2017	Final	110.00p	GBX
15/06/2017	03/07/2017	Special	110.0p	GBX
09/03/2017	31/03/2017	Special	25.00p	GBX
09/03/2017	31/03/2017	Interim	25.00p	GBX
03/03/2016	01/04/2016	Special	110.00p	GBX
19/03/2015	02/04/2015	Special	95.00p	GBX
04/06/2014	04/07/2014	Special	70.00p	GBX

Year	Interim	Final	Special	Currency	Total	Change
2024	20.000	40.000		GBX	60.000	-25.000
2023	20.000	60.000		GBX	80.000	-65.950
2022	125.000		110.000	GBX	235.000	-34.720
2021			125.000	GBX	360.000	4.340
2020	40.000		235.000	GBX	345.000	-26.590
2019	125.000	110.000	235.000	GBX	470.000	0.000
2018	125.000	110.000	235.000	GBX	470.000	74.070
2017	25.000	110.000	135.000	GBX	270.000	145.450
2016			110.000	GBX	110.000	15.780
2015			95.000	GBX	95.000	35.710
2014			70.000	GBX	70.000

Number of Shares:

Payment	Paid	Amount
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