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Crest Nicholson turns to Persimmon for new CEO

January 23, 2024
in Business
Crest Nicholson turns to Persimmon for new CEO
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Martyn Clark is moving from Persimmon to Crest Nicholson

Martyn Clark is moving from Persimmon to Crest Nicholson

Crest Nicholson has announced the retirement of Peter Truscott as chief executive and recruited Persimmon’s chief commercial officer, Martyn Clark, to succeed him.

Peter Truscott joined Crest Nicholson in 2019. He was previously chief executive of Galliford Try from 2015 to 2019 and was with Taylor Wimpey before that.

Martyn Clark has been with Persimmon for nine years in senior roles in the south division including regional chairman before his appointment as chief commercial officer in 2022.  Prior to that he spent 28 years at Bloor Homes.

The new man will take over at some as yet unspecified date later in the year.

Crest Nicholson has also posted its preliminary results for the year ended 31st October 2023, showing revenue down 28% at £657.5m (2022: £913.6m), reflecting the weakness in the housing market. Statutory profit before tax was down 30% at £23.1m (2022: £32.8m). On an adjusted basis, stripping out cladding remediation costs and other exceptional items, pre-tax profit was down 70% to £41.4m (2022: £137.8m).

Exceptional charges included £13m recognised in respect of a legal claim relating to 2021 fire damage of a low-rise apartment scheme built by the company in 2019, another £11.3m for cladding remediation and £16.5m relating to losses on its Brightwells Yard regeneration scheme in Farnham.

Chief executive Peter Truscott said: “The combination of challenging trading conditions and incremental cost movements associated with Farnham and other legacy low-margin sites have led to a disappointing set of results in FY23. We have proactively streamlined the business to align with the challenging trading environment and have taken decisive measures to address operational challenges associated with Farnham and other legacy sites, implementing strategies to control costs and ensure a more precise and feasible path towards projects completion.

“Recently there has been some positive macro trends with inflation and mortgage rates falling, which bode well for the housing sector. Although it is too early to gauge customer behaviour, we have been encouraged by an increase in customer interest levels and inquiries this calendar year.  However, we remain mindful of ongoing uncertainties within the broader economy.

“The medium-term prospects for housing demand remain positive with the structural under supply of housing, however the challenging planning environment is likely to slow volume growth in the sector.  We have acquired some excellent sites that are at advanced stages in the planning process, and have a strong strategic land pipeline, leaving us well positioned for the future when market conditions improve.”

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