Mirvac Group · ASX:MGR
Mirvac — Corporate Update (January 2011)
11 slides from Mirvac's corporate update, Jan 25, 2011
Slide 1: Mirvac Group Development Update January 2011
mirvac group For personal use only development Update january 2011
Slide 2: Development update
development update For personal use only Demand for Mirvac’s core projects remain robust, with Rhodes Waterside in Sydney, Yarra’s Edge and Harcrest in Melbourne all achieving strong results last quarter 1. Select regional markets however, are not recovering in line with metropolitan markets. Sales
Slide 3: Overview
Overview For personal use only Provision resulting from: > Englobo project disposal program — 80% Page 3 $171m > Unsold inventory of existing provisioned and breakeven projects — 20% Page 5 $44m Key impacts Statement of Comprehensive Income: > Unchanged — FY11 operating earnings guidance of 10.2–10.
Slide 4: Summary of provisioned projects
Summary of provisioned Projects For personal use only Project disposal program via englobo land sales — 80% of provision Expected to deliver the following benefits: > Faster return to normalised Development Division financial performance; > Eliminates $312m 1 future development expenditure required
Slide 5: Development expenditure saving and provision profile
development expenditure saving and provision profile For personal use only Expected development expenditure eliminated 1 Forecast provision release 2 120 $m 350 $m 112 319 100 99 300 250 80 79 200 60 150 40 107 100 20 56 50 10 12 21 10 0 0 FY11 FY12 FY13 FY14 FY15 June 11 June 12 June 13 June 14 Jun
Slide 6: Summary of provisioned projects
Summary of provisioned Projects For personal use only Unsold inventory — 20% of provision > The Point, Mandurah — Price points and sales rates have been reassessed due to recently completed competitor apartment projects having undertaken aggressive discounting in a market characterised by oversupply
Slide 7: Queensland Flood Update
Queensland Flood Update For personal use only Mirvac experienced limited impact to its residential development projects in Brisbane: Tennyson Reach: > Flooding to basement, ground floor and landscaped areas; > Only one apartment impacted under Mirvac’s ownership; > Mirvac will reinstate ground floor
Slide 8: Additional Information
ADDITIONAL INFORMATION For personal use only MIRVAC group development Update january 2011 page 7
Slide 9: Appendix — Net Realisable Value
Appendix — Net Realisable Value For personal use only Mirvac undertakes comprehensive and regular reviews of the carrying value of Inventories and JV and Associates. Inventory is required to be carried at the lower of cost and Net Realisable Value (“NRV”). NRV for the purposes of inventories provisi
Slide 10: Disclaimer and Important Notice
DISCLAIMER AND IMPORTANT NOTICE For personal use only Mirvac Group comprises Mirvac Limited ABN 92 003 280 699 and Mirvac This Presentation contains certain “forward looking” statements. The words Property Trust ARSN 086 780 645. This presentation and the annexures thereto “anticipated”, “expected”,
Slide 11: For personal use only
For personal use only www.mirvac.com