Slide 1: FY2018 Financial Results
FY2018 Financial Results 22 August 2018
Slide 2: Financial highlights
Financial highlights Geography Price Point 2 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 3: Our purpose, vision & values
Our purpose, vision & values Geography Price Point 3 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 4: Cedar Woods’ strategy
Cedar Woods’ strategy To grow and develop our national project portfolio, Geography diversified by geography, product type and price point, so that it continues to hold broad customer appeal and performs well in a range of market conditions. Price Point 4 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 5: Strategic priorities
Strategic priorities Geography 5 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 6: Solid return metrics
Solid return metrics A strong track record of consistent profitability and dividends Dividends per FY18 FY17 Change NPAT $m Share (cents) 35.0 60 Net profit after tax $42.6m $45.4m 6.3% 30.0 50 Earnings per share 53.9 cents 57.6 cents 6.4% 25.0 40 Dividends per share 20.0 30.0 cents 30.0 cents No ch
Slide 7: Balance sheet strength and access to funding
Balance sheet strength and access to funding Gearing (%) 30 June 30 June 100 2018 2017 $m $m 80 Total assets (book value) $601.5m $505.6m 60 Net bank debt $109.1m $78.9m Net assets (equity) $353.2m $330.2m 40 Target gearing 20-75% Net bank debt to equity 30.9% 23.9% 20 Net bank debt to total 18.9% 1
Slide 8: Portfolio summary
Portfolio summary Geography Price Point 8 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 9: Project locations
Project locations Geography Price Point 9 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 10: Diversified portfolio
Diversified portfolio Location Product FY18 Settlements FY18 Settlements Geography QLD Apartments WA 13% Townhouses • Wide range of 5% locations, product type, and price points 82% VIC Land Price Point 10 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 11: Diversified portfolio
Diversified portfolio State Product Presales Presales SA Commercial QLD Geography WA • Sales 7% Apartments occurring Land Sales 35% 22% across 4 states • Increasing product diversity. VIC 36% Townhouses Price Point 11 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 12: How we create value
How we create value Geography Price Point 12 CEDAR WOODS FULL YEAR RESULTS 2018
Slide 13: Positioned for continued growth – new projects
Positioned for continued growth – new projects Project State Project Life (Years) Ellendale (1) QLD 8 Wooloowin QLD 5 Jackson Green VIC 4 St. A VIC 3 107 Overton Rd Strata Office VIC 1 Millars Landing WA 10+ Bushmead WA 8 Karmara WA 1 Forrestdale WA 5 Glenside SA 5-10 Port Adelaide SA 7 (1) Initial
Slide 14: Market conditions
Market conditions Historically low interest rates and continued population growth supporting solid fundamentals. Geography Population growth GDP growth Unemployment continuing 1 robust 2 stable 3 VIC 2.3% 2.75% 5.0% QLD 1.7% 3.00% 6.1% WA 0.8% 3.25% 6.0% SA 0.6% 2.25% 5.7% Price Point Notes: (1) ABS
Slide 15: Market conditions
Market conditions Strong population growth & first home buyer incentives are contributing to continued strong sales activity. Sales volumes to investors & foreign buyers have reduced, although partially offset by increased first home buyer activity. Increased pricing over the year has more than offs
Slide 16: Western Australia portfolio update
Western Australia portfolio update 40KM • 15 projects & approximately 6,000 lots 20KM ARIELLA PRIVATE ESTATE 10KM • Projects catering for a range of buyer 5KM BUSHMEAD types PERTH CBD HARRISDALE GREEN • Land subdivision & townhouses KARMARA THE BROOK AT BYFORD • Projects in varying stages of lifecyc
Slide 17: Western Australia: sample projects
Western Australia: sample projects Bushmead • 950+ lot estate, strong margins, contributed 1st full year FY18 • Project duration of 8 years • Price range $168,000 - $360,000 Bushmead Millars Landing • 1,600+ lots • First settlements occurred in FY18, 10-15 years project • First stage complete & sale
Slide 18: Victoria portfolio update
Victoria portfolio update 40KM • 11 projects (7 currently at Williams Landing) 20KM CARLINGFORD • Approximately 1,500 ST. A 10KM lots/dwellings/strata offices 5KM LEVESON STREET • Projects catering for a range of MELBOURNE CBD buyer types WILLIAMS LANDING PROJECTS • Land subdivision, townhouses, JAC
Slide 19: Victoria: sample projects
Victoria: sample projects St A (St Albans) • 260+ townhouses & apartments • Strong sales & price growth • First stage settlements expected in Q2 FY19 - some construction delays St A • Price range $450,000 - $650,000 Jackson Green (Clayton South) • 500+ townhouses & apartments • Strong presales • Set
Slide 20: Victoria: Williams Landing
Victoria: Williams Landing • 9 years+ remaining project life • Diverse mix of land, townhouses, apartments & commercial • Pipeline of 20 commercial / residential sites & 111 Overton Rd - strata office over 200 dwellings outside of town centre • Numerous projects underway (townhouses, apartments, com
Slide 21: Queensland:
Queensland: Ellendale Ellendale (Upper Kedron) • 228 ha site, 12km west of Brisbane CBD • 480 lots approved on 1/3 of site • Rezoning of balance expected in 2018 • Price range $290,000 to $482,000 Ellendale Bexley (Wooloowin) Wooloowin • 3.8 ha site, 6km north of Brisbane CBD • 279 dwellings with mi
Slide 22: South Australia:
South Australia: Ellendale Glenside • 3km south east of CBD, 1,000 townhouse & apartments • Blue chip, highly sought after suburb • Stage 1 approved - 61 townhouses & 136 apartments • Strong presales at average price of $880,000 • Construction of first 34 townhouses underway Aerial view taken 11 Jul
Slide 23: Outlook
Outlook Positive outlook underpinned by pre-sales of $320 million, up 23% on same time last year ($260 million) Development program is on track Strong uplift in profit expected in FY19 Earnings will be skewed to second half, but less so than FY18 Positive growth outlook for future financial years, w
Slide 24: Investment proposition
Investment proposition Track record of consistent profits & dividends. Geography Strong dividend yield of 5.2% fully franked (at year end). Strong earnings growth outlook. No further acquisitions needed to achieve FY19 & FY20 profit growth. Well positioned to benefit from WA turnaround. Our diversif
Slide 25: Perth Office Melbourne Office
Perth Office Melbourne Office Ground Floor, 50 Colin Street Level 1, 476 St Kilda Road West Perth WA 6005 Melbourne VIC 3004 T: (08) 9480 1500 T: (03) 9820 1777 E: email@cedarwoods.com.au E: melbourne@cedarwoods.com.au Brisbane Office Adelaide Office Level 6, 12 Creek Street 1 Mulberry Road Brisbane
Slide 26: Appendix 1: Project life
Appendix 1:Project life Geography Price Point 26 CEDAR WOODS AGM 2018