Persimmon (CHIX:PSNL) EBIT: £435 Mil (TTM As of Dec. 2025)


CHIX:PSNL Persimmon PLC CHIX:PSNL
79 GF Score
Price £10.93
GF Value £14.88
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Persimmon EBIT?

Persimmon CHIX:PSNL +5.66% 79 EBIT is £435 Mil as of Dec. 2025. GuruFocus rates CHIX:PSNL with a GF Score™ of 79/100 and a GF Value™ of £14.88 (Modestly Undervalued). The stock has 3 warning signs investors should review.

Persimmon's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was £275 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was £435 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Persimmon's annualized ROC % for the quarter that ended in Dec. 2025 was 9.46%. Persimmon's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 15.87%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Persimmon's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 12.84%.

Persimmon  (CHIX:PSNl) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Persimmon's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=517.8 * ( 1 - 25.9% )/( (3822.8 + 4291.2)/ 2 )
=383.6898/4057
=9.46 %

where

Invested Capital(Q: Jun. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=4991.8 - 1046 - ( 123 - max(0, 1180.6 - 4557.6+123))
=3822.8

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=5318.2 - 910 - ( 117 - max(0, 1218 - 4863.8+117))
=4291.2

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

2. Joel Greenblatt's definition of Return on Capital:

Persimmon's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=550.4/( ( (111.6 + max(3251.4, 0)) + (115.4 + max(3456.2, 0)) )/ 2 )
=550.4/( ( 3363 + 3571.6 )/ 2 )
=550.4/3467.3
=15.87 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(142.7 + 4210.6 + 78.7) - (1046 + 0 + 134.6)
=3251.4

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(179.4 + 4492.3 + 2.5) - (910 + 0 + 308)
=3456.2

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Persimmon's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=435.2/3390.194
=12.84 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Persimmon EBIT Related Terms

Persimmon EBIT Historical Data

* Premium members only.

The historical data trend for Persimmon's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Persimmon EBIT Chart

Persimmon Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 970.40 734.80 366.60 380.30 435.20

Persimmon Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 209.00 155.00 225.30 160.00 275.20

CHIX:PSNL vs DHI, PHM, LEN: EBIT Comparison

For the Residential Construction subindustry, Persimmon's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Persimmon EV-to-EBIT vs Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Persimmon's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Persimmon's EV-to-EBIT falls into.


CHIX:PSNL
79GF Score
Persimmon PLC CHIX:PSNL
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Persimmon EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Dec. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was £435 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of £435 Mil mean?
Persimmon (CHIX:PSNL) has a EBIT of £435 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Persimmon.
Is Persimmon's EBIT too high?
Persimmon's current EBIT is £435 Mil. Overall, Persimmon has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Persimmon's EBIT compare to DHI and PHM?
Persimmon's EBIT of £435 Mil can be compared against companies in the Homebuilding & Construction industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Homebuilding & Construction company?
A good EBIT depends on the Homebuilding & Construction industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Persimmon. Persimmon's current EBIT is £435 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Persimmon stock overvalued right now?
Based on GuruFocus' analysis, Persimmon (CHIX:PSNL) is currently considered Modestly Undervalued. The stock's GF Value™ is £14.88, compared to a current price of £10.93 — trading 26.6% below its estimated fair value. The current EBIT is £435 Mil. Persimmon's overall GF Score™ is 79/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Persimmon (CHIX:PSNL), the current EBIT is £435 Mil as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Persimmon (CHIX:PSNL) Overvalued in 2026?

Based on GuruFocus' analysis, Persimmon stock appears to be undervalued. The current stock price of £10.93 is trading 26.6% below its estimated GF Value™ of £14.88. GuruFocus considers Persimmon to be Modestly Undervalued.

Key valuation signals for CHIX:PSNL:

  • EBIT: £435 Mil
  • GF Value™: £14.88 vs. price of £10.93 (26.6% below fair value)
  • GF Score™: 79/100 with 3 warning signs

No single metric tells the full story. See the CHIX:PSNL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Persimmon Business Description

Other Exchanges PSMMY:USAPSN:UKOHP:Germany
Address Persimmon House, Fulford, York, GBR, YO19 4FE
Persimmon is one of the UK's largest residential property developers by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon distinguishes itself from peers by operating in the lower-priced segment of the new-build market; Persimmon Homes' average selling price in 2024 was 20% below the UK new-build national average. Like peers, Persimmon has traditionally operated in the land development, construction, and sales and marketing segments of the residential property development value chain. However, unlike peers, in recent years, Persimmon has begun manufacturing its own bricks, tiles, and timber frames, aiming to secure the supply and quality of key materials and manage build cost inflation.
79GF Score

Get the complete analysis for CHIX:PSNL

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£10.93
Price
£14.88
GF Value