Persimmon Plc · LSE:PSN
Persimmon — Corporate Update (November 2016)
16 slides from Persimmon's corporate update, Nov 3, 2016
Slide 1: Space4 Presentation 3rd November 2016
Space4 Presentation 3rd November 2016
Slide 2: Space4 Overview
Space4 Overview • One of the UK’s largest OSM (Off Site Manufacturing) timber frame factories in the UK - 221,000 sqft • Over 40,000 plots supplied since 2001 • Closed panel timber-frame system • Manufacturing output of a house every hour • Site assembly benefit in erection of superstructure: – Trad
Slide 3: Scope of Supply
Scope of Supply Scope of Supply • Room-in-the-Roof • Spandrel/Gable panels • External Walls (factory insulated) • Internal Partitions • Floor Cassettes/Joist Kits • Party Walls (factory insulated)
Slide 4: The Factory
The Factory • Permanent two shift minimum operation to support stable demand - smooth production to drive efficiencies. • Third shift during March to September period for selected production cells to increase production. • Currently 140 manufacturing WE AREteam members. HERE • Storage of 300 units t
Slide 5: Space4 Volume Growth
Growth Space4 Volume Growth 7000 6000 5000 Volume 4000 3000 2000 1000 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 Year • 86% volume increase in last 5 years. • 41% of Group volume in 2015.
Slide 6: Offsite Construction
Offsite Construction • Supporting the Government drive for offsite construction which will be promoted in the Housing White Paper due to be published next month. • Identified as a driver for increasing housing supply and recently received high profile coverage: • Farmer Review of the UK Construction
Slide 7: Fabric First Strategy
Fabric First Strategy Current - 2013 Building Regs Future Building Regs 1. Reflective breather membrane U value = 0.25 W/M2K Standard breather membrane 2. Reflective vapour barrier U value = 0.29 W/M2K U value of 1&2 = 0.22 W/M2K
Slide 8: Core House Type Portfolio
Core House Type Portfolio Benefits of Group Core House Type Portfolio: • All Persimmon/Charles Church core range house types converted to Space4 timber frame design. • Core house types now account for 74% of orders. • Reduced requirement for CAD conversion works – reduction in Space 4 Design Team. •
Slide 9: Core House Type Portfolio: Cost Comparison
Core House Type Portfolio Benefits of Group Core House Type Portfolio: • Currently supplying to 121Cost Material liveComparison developments. • Current cost split: 110 • Material 60% 105 • Overhead 17% 100 • Labour 15% Index Space4 • Delivery 8% 95 Traditional • 18% 90 cost reduction in the last 3 y
Slide 10: New Developments
New Developments In addition to the continual improvement cycle we are also looking at new products where we can add value to our construction process: • Room-in-the-Roof • Alternative Finishes
Slide 11: Room-in-the Roof
Room-in-the Roof • 171 plots supplied in H1 2016 and 220 planned for H2. • Further growth in 2017.
Slide 12: Alternative Finishes
Alternative Finishes • Alternative finishes attached directly to timber frame: 1. Render 2. Cladding • Trial plots under construction on Weavers Wharf, Coventry site. • Samples viewable in trial/training area within factory. • Benefit being speed and reducing dependancy on bricklayers plus other ass
Slide 13: Site Visit
Site Visit Paragon Park, Coventry Purchase Date: 16th April 2015 Planning: In total the site has planning consent for up to 700 dwellings, up to 3,500 sq.m of employment (B1, B2, B8). The affordable housing is 4% of total numbers (2% rent, 2% shared ownership). Previous Uses: Brownfield development
Slide 14: Site Visit
Site Visit space... ..fast-track construction system
Slide 15: Factory Tour
Factory Tour LINE A WALLS MATERIAL LINE B WALLS STORAGE - ROOM-IN-THE-ROOF LINE C - FLOORS STORAGE WALLS & SPANDREL MATERIAL IN MATERIAL OUT TRIAL & TRAINING AREA
Slide 16: space
space .. fast-track construction system