Slide 1: Results Presentation, Year ended 30 June 2006
‘Peet Limited Results Presentation : Year ended 30 June 2006 | September, 2008 bee! com,
Slide 2: Contents
Contents » » » » » » Key Achievements Group financial performance Strategic growth model and initiatives Land bank Market conditions and outlook Direction and strategy ent Cor all
Slide 3: Key achievements
Key achievements Peet achieved earnings growth of 24% for FY06, targeting 15% EPS growth for FYO7 (21.2 cps) » Y » Y » » Full year net profit after tax of $36.8 million (2005: $29.6 million AIFRS adjusted basis) Final dividend of 9.5 cents per share fully franked Full year dividend of 17 cps (92%) f
Slide 4: Key achievements
Key achievements Performance demonstrates Peet’s ability to consistently deliver through market cycles » » » » Y » Market value of inventory increased by 86% to $325 million Strong acquisition program continues to deliver land bank growth Well advanced and diversified commercial and residential deve
Slide 5: Financial highlights
Financial highlights Peet’s historical performance has been solid, driven by a strong business model and a quality land bank 2005 Revenue $72.2M Wo 57.2% Net profit after tax 296M WH 24.4% Earnings per share 148c H 24.4% Dividends per share 1450 DH 17.2% Gearing 27.9% Interest cover? 8.9x | AIPRS Ad
Slide 6: Group financial performance
Group financial performance
Slide 7: Full year financial performance
Full year financial performance Peet has recorded and continues to project strong earnings growth » Third consecutive year of NPAT growth since listing » Targeted FYO7 NPAT growth of 15% ($42.35 m or 21.2 cos) » High relative revenue growth projected due to increased contribution of owned projects a
Slide 8: Group financial performance
Group financial performance Significant business scale with aggregated group revenue in excess of $355 million » Charis below illustrate the Peet Group’s actual revenue and profit before tax consolidated for syndicated and joint venture projects » Growth in operations achieved through leveraging exi
Slide 9: Strong security holder returns
Strong security holder returns Peet has delivered solid fully franked dividend yield and growth which has driven strong TSR performance since listing Earnings per share Dividends > EPS of 18.4 cps up 24.4%, projecting 15% » Final dividend at 9.5 cps growth for FYO7 » Full year dividend at 17 cps ful
Slide 10: Sales activity
Sales activity » Overall sales volume increased by 16% and sales prices increased by 18% reflecting variety of praduct both in terms of location and positions of different parts of estates, targeting small lot buyers through to bigger lot buyers (affordability) 2006 (lot sales by segment) 2006 (lot
Slide 11: EBIT by activity
EBIT by activity » Solid earnings projected to flow from owned projects over next few years » Syndicate equity raisings projected to continue to grow » Commercial and residential puilt form projects to contribute to EBIT from 2H FY07 2005 EBIT Land development & resale 41% Funds management/ Land syn
Slide 12: EBIT by geographical region
EBIT by geographical region » Over 60% of land bank situated in Vie and Qid, providing diversification in market cycles » EBIT contribution from WA in FY07 includes earnings from commercial & residential built form projects 2006 EBIT 2007 EBIT Qid Qid Vie 49% Vie 50%
Slide 13: EBIT overview
EBIT overview Funds Management/Land Syndication » Strong demand for residential land in WA » Steady market conditions in Vic and Qid » Strong demand for Peet's land syndicate product » Strong rate of earnings for Peet » Three capital raisings closed early and oversubscribed raising over $48m - signi
Slide 14: Return on earnings
Return on earnings Unique integrated business model providing flexibility to optimise return on capital employed Return on Average Capital Employed ' Return on Average Equity 2 90.0% 41.8% 736% 378% 36.2% FYO4 FYCS FY06 FY04 FYO5 FYO8 ‘ BBITitotal shareholder equity adjusted for interest bearing lia
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Slide 16: Strategic growth model
Strategic growth model Peet’s strategic objective is to deliver EPS growth and TSR out-performance » Funds and asset management underpinned by Australia’s third largest land bank (ASX) and an established company owned distribution network LANDBANK » Business model allows use of syndication and incom
Slide 17: Key drivers to growth
Key drivers to growth Peet has a scalable business model; future earnings growth to be driven by leveraging existing platform High quality land bank Growth and success of syndication business: Continued supply of syndication product Scaling up tandbank with astute acquisitions: ee ¢ © @ Ability to p
Slide 18: Land bank
Slide 19: Land bank and market position
Land bank and market position Significant land bank with a on-completion value of approximately $4.6 billion » Peet has Australia’s third largest land bank amongst ASX listed entities. 95% of Peet's land bank is ina designated urban category » Existing controlled lots stand at 27,556 with a further
Slide 20: Land acquisition activity
Land acquisition activity Acquisitions team expanded to facilitate future growth 4279 » Netincrease in land bank of 2,097 lots over FY06 to 27,556 - 4,000 up 8% » Acquisitions in key states of Vic, WA and Qid: 3.000 » Zoned industrial landholdings acquired in Vic ~ potential § feedstock for income f
Slide 21: Land bank
Land bank Peet has established a quality national land bank that provides a diversified production profile Estimated on-completion value approx $4.6 billion bm (3 years stock m» 56 projects » 27,556 lots managed or owned » Note: Included are 26 Pr owned, syndicated and 14.881 Lots Joint venture proj
Slide 22: Estates — Western Australia
Estates — Western Australia Rockingha: SONS R. whe” \. Ocean Lagoon Burns Beach ~ Catramar Golf Course Estate ~- Ashton Heights ~The Chase Forrest Gate ~Hawkstone. .Oakford Gardens || Brookwood The Village at Wellard The Ridge Byford LakeLands Estate Twin Rivers, Quattro Brigadoon Mundijong The Sanc
Slide 23: Ashton Heights
Ashton Heights Owned Project Location Tapping. 28im North of CBD Projected Grose Revenue 194 million Total Area 60.0 ha Purchase Date 2003 Commencement Completion Estimated Timing 2008 2009 Sold Remaining Total Number of Lots 338 285 B03 ASHTON HEIGHTS
Slide 24: Lakelands
Lakelands Syndicated Project Location Mandurah, 80k South of CBD Projected Gross Revenue $419 million Total Area 281 8ha Purchase Dato 1904 Commencement Completion Estimated Timing 2003 2014 Sold Remaining Total Number of Lots 859 1,945 2,604 Hing (ives w LAKELANDS Awards » » » » Urban Development I
Slide 25: The Ridge
The Ridge LT yy Oe es ce Syndicated Project Location Baldivis, 42km South of CBD Projectad Gross Revenue $53 milion : i ee 3 Total Area 39.0 ha . Purchase Date 1994 Commencement Completion ~ | Eetimated Timing 2004 2007 he Fe. Suid Remaining Total J iclge Oe ha LEWES, . Nurnber of Lots 320 W 337
Slide 26: The Village at Wellard
The Village at Wellard Joint Venture Project ~ Landstart (WA Gov't) Location Wellard, 28km South of CBD Projected Gross Revenue $332 million, Total Area 320.6 ha Purchase Date 2003 Commencentent Contpletion Estimated Timing 2004 2014 Sold Remaining Total Number of Lots 481 2.220 2,704 Awards 2006 Ho
Slide 27: Carramar Golf Course Estate
Carramar Golf Course Estate “Syndicated Project Lacation Carramar, 28km Noth of CBD Projected Grose Revanue $450 million Total Avea 335.0 ha Purchase Date 1976 Commencement Completion Estimated Timing 1995, 2009 Sold Remaining Totat Number of Lots 2,739 506 3,245 ie a GOLF. EOURSE ESTASE
Slide 28: Burns Beach
Burns Beach Syndicated Project ; Location 28kin Noth of CED Projected Gross Revenue | $963 milion Totat Area 290.0 ha Purchase Date 1969 Commencement Completion Estimated Timing 2005 2013 : i Soild Remaining Total . BU RN. BEACH Number of Lots 207 1,266 1,467 :
Slide 29: Estates - Victoria
Estates - Victoria O ON OA RON a 44 16 19 10. 12. 13. 14. 16. 47. 18. 20. 2i. Craigieburn Central Greenvale Gardens Greenvale Rise Greenvale Lakes Brimbank Gardens Tarnelt Gardens Tarneit Rise Innisfail Point Cook Gardens Castlereagh Brookland Greens Cranbourne Central Cardinia Lakes Westbury Park W
Slide 30: Brimbank Gardens
Brimbank Gardens ~-Syndicated Project Location 18km West of CBD Projected Gross Revenue $256 milion Total Area 203.0 ha Purchase Date 2004 Commencement Completion Estimated Timing 2002 2015 Sold Remaining Total Number of Lots 769 4,816 2,085 BRIMBANK GARDENS A eas Way of fife
Slide 31: Greenvale
Greenvale yy. ee -Owned Project Location 20kin North of CBD Projected Gross Revenue $500 million, Total Area 397.0 ha Purchase Date 2003 Commencement Completion Estimated Timing 2008 2024 Sold Remaining Total Number of Lots 4134 2.195 2,926 Breanva st ie
Slide 32: Innisfail
Innisfail “Owned Project © Location 22km West of C&D Projected Gross Revenue $250 milion Total Area 145.0 ha Purchase Date 1999 Commencement Cornpletion Estimated Timing 2003 2012 Sold Remaining Tota Number of Lots 764 835 4,599
Slide 33: Tarneit Gardens
Tarneit Gardens Syndicated Project . Location 25km West of CBD Projected Gross Revenue $136 milion Total Area 124.6 ha Purchase Date 2003 Commencement Cornpletion Estimated Timing 2005 2012 Sold Remaining Total Number of Lots 248 867 4,108 TARNEIT GARDENS Wea geaak plage io. geawe
Slide 34: Brookland Greens
Brookland Greens es oe A oa ATAU oF ae ine = Syndicated Project Location SGim South East of CBD Projected Gross Revenue $91 million ia Total Area 185 0 ha . ad Purchase Date 1998 Ce a Commencement Completion BROOKLAN Estimated Timing 1699, 2007 - Sold Remaining Total GREERS ona ne ee Nurnber of Lots
Slide 35: Cardinia Lakes
Cardinia Lakes Syndicated Project Lecation SSkm South Bast of CBD Projected Gross Revenue $115 million Total Area a0 ha Purchase Date 2008 Commencement Completion Estimated Timing 2005 2013 Sold Remaining Total Number of Lots 424 695 a6
Slide 36: Estates - Queensland
Estates - Queensland River.Bank 7.” 0 Warner Lakes Buderim - Thormlands
Slide 37: Warner Lakes
Warner Lakes Synd icated Project: Location 2tkin North of CBD Projected Gross Revenue $203 milion Total Area 208.0 ha Purchase Date 2003 Commencement Completion Estimated Timing 2008 2012 Sold Remaining Total Number of Lots 1B4 957 4188
Slide 38: Syndicated project pipeline
Syndicated project pipeline Over 13,000 lots under management, with an estimated on-completion value of $2.4 billion » Older syndicates make significant contribution to profits over FYO7 to FY08: Increased profitability over longer term as increased profit share |s realised on more recent syndicates
Slide 39: Owned and JV project pipeline
Owned and JV project pipeline Over 10,975 lots owned and 3,500 lots under joint venture with a combined estimated completion value of $2.2 billion » Owned projects contributing to profits projected to increase from 3 in FYO6 to 13 over FYO7 » Number of owned projects have historically low cost base
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Slide 41: Funds management — land syndication
Funds management — land syndication Distribution network of over 3,500 active investors; repeat investment in excess of 65% » » » » » » Peet distributes by direct contact with its loyal investor base, with no reliance on financial advisers or other intermediaries Existing investor base has capacity
Slide 42: Funds Management — income property fund
Funds Management — income property fund Fund Assets » » » » » » » » A portfolio of non-CBD commercial and industrial properties Three new properties purchased in FY07 already Expanded fo 560 unit holders in first 12 months $34 million funds under management Fund property values increased by 11% duri
Slide 43: Commercial, residential and retirement
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Slide 44: Commercial and residential built form
Commercial and residential built form in excess of 70 commercial and residential built form projects identified in landbank, potential income fund feedstock » Projects begin to yield profits from 2H FYO7 and growing into FY08 » Range of short, medium and long term opportunities » Projects at all sta
Slide 45: Carramar
Carramar #8=—=—=~—r—™—SO®srsaemsameOMOses‘(s—é—éaO a ooo a L Project Carramar Neighbourhood Centre, Carramar, WA Project Type Shopping No. of retail units 16 , Ue Current Status Awaiting final approvals Expected Winter 2007 Completion Date This project cornprises a full line supermarket and a range
Slide 46: Grand 56, Joondalup, WA
Grand 56, Joondalup, WA Project Grand 56, Joondalup, WA Project Type Mixed use {apartments & commercial) No. of retail units 25 Current Status Off plan sales Expected Completion Date Summer 2007 Description This boutique project designed by Perth's leading residential architects, Overman & Zuideveld
Slide 47: The Village at Wellard
The Village at Wellard Project The Village at Wellared, WA Project Type Apartments & Townhouses No. of retail units 66 Current Status Clearing of Planning Approval Conditions Expected Completion Date Autumn 2008 Description This transit orientated project designed by The Buchan Group and Overman & Z
Slide 48: Point Cook Junction
Point Cook Junction Project Point Cook Junction, Point Cook, VIC Project Type Retail and retirement ~ Live Work No. of retail units 30 Current Status Development Application Expected Completion Date Autumn 2007 This project comprises 30 live work single and two storey units located immediately a adj
Slide 49: Retirement housing
Retirement housing » » » » y » » » Priority is to grow business organically by utilising existing (and future) Feet land estates Existing Peet estates with retirement housing potential have been identified and estate master- plans have been amended to incorporate the best product/concept for each lo
Slide 50: Lakelands Estate (WA) awards
LAKELANDS ESTATE (WA) » Urban Development Institute of Australia Award ‘2005 Environmental’ - Western Australian Environment Award 2005 ‘Business Leading by Example’ Finalist » Housing Industry Association Greensmart ‘2005 Development of the Year’ » 2005 Planning Institute Australia Award ‘Special C
Slide 51: Logchigs lwes since 169° | wows bee come.
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Slide 52: Market outlook
Market outlook >» » » » » Barriers to entry increasing due to complexity and lead times Property fundamentals to remain positive » Long term demand trends remain positive and are considered sustainable » Economic climate, employment, demand side crivers such as immigration and affordability remain p
Slide 53: Housing commencements
Housing commencements Equivalent to underlying demand running at 3,175 dwellings per week Underlying demand (iwallingst Bowell ling Arenal average CONT REN CENTERS FIG? 2000/04 ASOT IG2- 2005/06 2OOGIOT 2040/4 4 2O0SI06 46,000 24 165,900 148,140. Source: EIS Shrapnel Bnpening ives since | ee
Slide 54: Population growth outlook
Population growth outlook Net Annual Population Increase 100.0 ion Forecast 80.0 — 7.0 \ a & ano Mn, _ 8 — & 500 su 3 3 4.0 _ —— 30.0 Ss ee 20.0 10.0 BO 1998 1990 2000 2001 2002 2003 2004 2005 2006 2007 2008 NSW vic QLD WA Source: EIS Shrapnel
Slide 55: Population migration
Population migration Net Overseas Migration Net Interstate Migration FOR ee Forecast Forecast 40.0 620 ra 8 19992000 ZOGT BT Fa0s 20042008 “za emeasin7 208 200% 200% 2003-2004 = 2008 2006 20NP koe NSE ve Lee 3A Navy MIS OLD Source’ BIS Shrapnel Sourea: BIS Shrapnel
Slide 56: Affordability outlook
Affordability outlook Home Loan Affordability ~ Monthly Mortgage Repayments (As a percentage of total full-time earnings) 70.0 Forecast a ee 60.0 50.0 “ 40.0 a 38 x8 30.0 20.0 19.9 0.0 1998 1980 2000 2001 2002 2003 2004 2006 2096 2007 2008 Sydney Melbourne Brisbane Perth Source’ BIS Shrapnel
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Slide 58: Future outlook
Future outlook Strong competitive advantage driven by experienced and focused management team > » » » » » Peet already owns or manages 100% of stock required to provide product to achieve our next 3 year internal revenue targets Continue to develop growth opportunities within our existing land bank
Slide 59: Forward strategy
Forward strategy Long term target to deliver EPS growth of 10% per annum Y Y » » » Continue to optimise Peet’s core business Continued focus of EPS growth as a key driver of shareholder value Continue to pursue new growth opportunities Maintain gearing target of 30% - 40% Dividend payout ratio proje
Slide 60: About Peet
About Peet 111 Years of Assets and Funds Management [hg yes sine MOE
Slide 61: About Peet
About Peet Key issues over the past 111 years remain relevant today WieTORIA, FARK Tne te ne Bets q jngpett wor a oe apatite aE HOT perT.&.ch.! oe VO
Slide 62: Asset Manager, Land Syndicator, Fund Manager
Asset Manager Land Syndicator — Fund Manager a Logchigs lwes since 169° | wows bee come.