Cedar Woods Properties Limited · ASX:CWP
Cedar Woods Properties — FY2013 Earnings Presentation
30 slides from Cedar Woods Properties's earnings presentation, Sep 9, 2013
Slide 1: FY2013 Financial Results Presentation
9 September 2013 FY2013 Financial Results Presentation
Slide 2: Agenda
Agenda 1. Cedar Woods Properties Overview 2. FY2013 Highlights 3. Financial Overview 4. Operational Overview 5. Market Conditions 6. Company Outlook 2
Slide 3: Investment highlights
Investment highlights ► Proven track record of consistent earnings growth and meeting targets • 5-year Total Shareholder Return of 19.7% per annum ► Strategically located and diverse residential portfolio • Urban and regional growth areas in VIC and WA • Apartments, integrated housing, mixed use and
Slide 4: Cedar Woods' strategy
Cedar Woods’ strategy FY2013 Achievements Leverage Property Core competency: industry-leading design, Williams Landing and Development delivery and marketing of development Banbury Village nominated as finalists at PCA National Expertise projects Awards 2013 Acquire and develop land holdings offerin
Slide 5: Financial overview
Cedar @ Woods PROPERTIES LIMITED
Slide 6: FY 2013 results highlights
FY 2013 results highlights ► Record Net Profit After Tax of $36.3 million ► Full year dividend payout ratio maintained at 50% of net profit: fully franked final dividend of 15 cents declared, taking full year payout to 26 cents fully franked ► Low gearing provides capacity to fund further acquisitio
Slide 7: FY 2013 results summary
FY 2013 results summary FY13 ($m) FY12 ($m) Change (%) Revenue 172.8 170.5 1% Profit before income tax expense 51.4 49.3 4% Net profit after tax 36.3 34.3 6% Earnings per share 49.9 cents 53.2 cents 6% Dividends per share 26.0 cents 25.0 cents 4% ► Revenue slightly higher compared to FY2012 - differ
Slide 8: Track record of growth and balance sheet strength
Track record of growth and balance sheet strength Revenue ($m) NPAT ($m) 200 40 36.3 170.5 172.8 34.3 150 131.8 30 28 107.1 108.4 100 20 17.2 9.3 50 10 0 0 FY09 FY10 FY11 FY12 FY13 FY09 FY10 FY11 FY12 FY13 EPS (cents) Total Dividend (cents) 60 53.2 49.9 30 26 45.8 25 45 25 23 29 20 30 13 15 16.2 11
Slide 9: Balance sheet strength
Balance sheet strength Assets at book value (cost) 30 June 30 Jun 350 ($m) 2013 2012 301 300 $m $m 250 233.6 238.3 Total assets (book value) 301.0 238.3 205.7 200 Net bank debt 37.8 3.8 162.7 150 Net assets (equity) 207.8 184.6 100 FY09 FY10 FY11 FY12 FY13 Finance facility headroom 57.5 98.9 Gearing
Slide 10: Cash flow summary
Cash flow summary FY13 FY12 Cash flows related to operating activities $m $m Receipts from customers 186.1 184.3 Interest received 0.6 0.8 Payments to suppliers and employees (43.5) (38.6) Borrowing costs – lower debt utilisation in FY13 (4.1) (6.0) Income taxes paid – higher instalment rate FY13 (1
Slide 11: Operational overview
Cedar <@ Woods PROPERTIES LIMITED Operational overview
Slide 12: Strong property portfolio and mature land bank
Strong property portfolio and mature land bank 12
Slide 13: WA project highlights
WA project highlights Construction of stage 9B (61 lots) completed; strong sales experienced, Baldivis Secondary College now open Existing Construction of stage 5 (104 lots, mostly presold) complete; estate has matured Projects and established its market position Construction of 2 stages on final is
Slide 14: WA acquisitions – Byford
WA acquisitions – Byford 32.3 hectare site in SE corridor acquired for $6.5M; subdivision approval received The Brook at for first 149 lots out of total of approximately 350 lots. Byford Construction commencing November 2013, settlements commencing H2 FY2014. Byford on the 35.3 hectare site acquired
Slide 15: WA acquisitions – Brabham
WA acquisitions – Brabham 40 hectare site in NE corridor recently acquired for $22.35M; potential for over Brabham 350 lots; planning and approvals well advanced, construction to commence late 2014, settlements to commence FY2015. Acquisitions Target buyer segment: 1st / 2nd homebuyers, average pric
Slide 16: WA – Western Edge
WA – Western Edge Up to 226 ha to be developed in stages to meet market demand. Preferred Western developer with LandCorp. First phase of 600 lots requires 12 months for Edge planning approvals. Development Agreement SOUTH HEDLAND TOWN CENTRE 16
Slide 17: Victoria highlights
Victoria highlights Construction of first stage of 7 homes completed, construction of Stages 2-6 underway; only one property remaining for sale in an estate of 78 homes. Construction of final Heritage Apartment building and Stages 12,13 and 15 completed; enquiry and sales remain strong, new apartmen
Slide 18: Victoria highlights
Victoria highlights Williams Landing train station Masters store construction Realm at Camberwell Banbury Village heritage apartments
Slide 19: Market conditions and outlook
Market conditions and outlook
Slide 20: Market conditions
Market conditions Perth house prices WA dwelling prices havevacancy Low increased by rates approximately 6% over the past 12 months Melbourne Prices in house prices Melbourne increased Ongoing price growth approximately 5% in in Perth and FY2013 as the market Melbourne recovery continues 20 Source:
Slide 21: Market conditions
Market conditions VIC market continues to recover, Low newvacancy rates home sales posting strong growth Private New Home since low in Oct 2012 Sales - VIC WA new home sales Ongoing price growth and approvals remain in Perth and at healthy levels Melbourne Private New Home Sales - WA 21 Source: ABS8
Slide 22: Market conditions
Market conditions Ongoing shortage of new housing, forecast to increase significantly 22 Source: ANZ Australian Demographics Chartbook, July 2013
Slide 23: Market conditions
Market conditions Williams Landing Byford Piara, Harrisdale Cedar Woods has projects in many of Carlingford Australia’s fastest Emerald Park growing urban areas Kestrels Rivergums, North Baldivis, The Jetty, Mangles Bay Mariners Cove, Sutton, Waterline Brabham CWP project locations 23 Source: ANZ Au
Slide 24: The year ahead
The year ahead ► Perth market is strong, Melbourne market is improving ► Ongoing progress at Williams Landing Completion of Masters Home Improvement store and commencement of rental income during FY2014 Potential for developments to commence on other commercial and retail sites in town centre ►
Slide 25: FY2014 outlook
FY2014 outlook ► $175 million in presales underpinning a positive outlook for Cedar Woods; presales predominantly settling in FY2014 ► Poised to unlock further value at Williams Landing Town Centre ► Subject to current market conditions continuing, Cedar Woods anticipates another record profit in FY
Slide 26: Disclaimer
Disclaimer Disclaimer of liability While every effort is made to provide complete and accurate information, Cedar Woods Properties Limited does not warrant or represent that the information in this presentation is free from errors or omissions or is suitable for your intended use. Subject to any ter
Slide 27: Appendices
a a APPENDICES
Slide 28: Sustainable Earnings from Long Term Projects
Sustainable Earnings from Long Term Projects 28
Slide 29: Share price performance
Share price performance CWP Share price performance FY2013 $6.50 $6.00 $5.50 $5.00 42% increase in share $4.50 price during the 42% $4.00 financial year $3.50 $3.00 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 FY2013 Total Shareholder Return 60% 50% 54% FY13 to
Slide 30: Award Winning Developer
Cedar @ Woods POR, O-PRER I | E Si aie © Award Winning Developer
Cedar Woods Properties — FY2013 Earnings Presentation on 6ix