In the 181 days of the first six months of the year, the diversified property developer's land lease community business achieved 248 home settlements (up 60% on 1H24), had 376 contracts on hand and had 273 net sales (up 13% on 2H24) with four communities to be launched to market and a pipeline of 2,889 land lease homes.
The Weekly SOURCE has already reported on those four land lease communities: Halcyon Dales, Halcyon Serrata, and Halcyon Providence, in Queensland, and Halcyon Illyarrie in Sinagra, in Perth's north, Western Australia. Stockland also stated it had added four more communities during the period.
The only significant negatives were its development operating profit margin, which fell marginally on the prior corresponding period to 21.8%.
Stockland stated that this drop reflected launch costs and mix of settlements following the trade out of some higher margin projects and it expected FY25 settlements to be around 600 versus previous guidance of 600-650, primarily due to weather related delays and lower sales in Victoria.
“After three years of very heavy reshaping of our portfolio, acquisitions, divestments, we are in a position now (where) we’ve got a fantastic pipeline across our masterplanned communities, land lease, logistics and now emerging apartment sectors and data centres,” Stockland CEO Tarun Gupta said.
“And we are now focusing very heavily on the execution of this great $50 billion pipeline.”
The company’s Net Profit After Tax more than doubled to $245 million in the six months to December from $102 million a year earlier, boosted by a $105 million upwards revaluation in its investment properties, after a $39 million devaluation in the prior comparative period.
The developer, builder and investor said funds from operations (FFO), an industry measure of earnings, fell 5.6% to $251 million.
