Cedar Woods Properties Limited · ASX:CWP
Cedar Woods Properties — Euroz Rottnest Investor Briefing 2016
33 slides from Cedar Woods Properties's conference presentation, Mar 14, 2016
Slide 1: Euroz Rottnest Investor Briefing
Cedar Woods Properties Limited For personal use only Euroz Rottnest Investor Briefing 15 March 2016
Slide 2: Snapshot of Achievements in FY2016
Cedar Woods Presentation | 2 Snapshot of Achievements in FY2016 For personal use only • Recent acquisition of two exciting projects in Brisbane including landmark Ellendale • Extensive portfolio project in 2014 and of residential Wooloowin project estates in Perth in 1H FY2016 and WA regions, supple
Slide 3: Cedar Woods' Business Model
Cedar Woods Presentation | 3 Cedar Woods’ Business Model For personal use only Business Model Company Strengths Grow and develop a national • Disciplined approach to property portfolio, diversified by geography, acquisitions product type and price point, so that • Proactive and methodical it continu
Slide 4: Agenda
Cedar Woods Presentation | 4 Agenda For personal use only 1 Financial Highlights 2 Portfolio Overview 3 Market Conditions 4 Company Outlook and Investment Case
Slide 5: Historical Financial Performance
Cedar Woods Presentation | 5 Historical Financial Performance A strong track record of consistent profitability and growth For personal use only 45 • Consistent growth in NPAT and $m Statutory NPAT CAGR: 19.8% 40 Dividends1 dividends • Only ASX-listed developer to 35 deliver year-on-year NPAT growth
Slide 6: 1H FY2016 Financial Highlights
Cedar Woods Presentation | 6 1H FY2016 Financial Highlights For personal use only • 1H FY2016 Net Profit After Tax (NPAT) of $18.1million • Fully franked dividend of 12.0 cents declared, to be paid 29 April 2016 • Dividend Yield of approximately 7%(1) • Net debt of $75.3 million and net debt/equity
Slide 7: Balance Sheet Strength
Cedar Woods Presentation | 7 Balance Sheet Strength Asset at book value (cost) ($) For personal use only 31 Dec 30 June 500 2015 2015 450 457.1 400 $m $m 410 350 383 Total assets (book value) 457.1 383.3 300 301 250 238 Net bank debt 75.3 27.9 200 150 Net assets (equity) 291.1 285.6 100 50 Net bank
Slide 8: Agenda
Cedar Woods Presentation | 8 For personal use only 1 Financial Highlights 2 Portfolio Overview 3 Market Conditions 4 Company Outlook and Investment Case
Slide 9: National Portfolio and Land Bank
Cedar Woods Presentation | 9 National Portfolio and Land Bank For personal use only
Slide 10: Portfolio Expansion
Cedar Woods Presentation | 10 Portfolio Expansion For personal use only • Consistent with strategy, acquisition program has increased pipeline with well located, multi year projects • $156m investment in the portfolio since June 2013 across Queensland, Victoria and WA Total Assets - December 2015 $4
Slide 11: Positioned for Continued Growth
Cedar Woods Presentation | 11 Positioned for Continued Growth For personal use only • Historical investments converting to earnings growth • Sales continuing from current projects • 9 new projects to start contributing in the next few years • Well located projects in high growth/strong demographic a
Slide 12: Project Time-line
Cedar Woods Presentation | 12 Project Time-line For personal use only
Slide 13: VIC – new project releases
Cedar Woods Presentation | 13 VIC – new project releases • Pleasing progress at Jackson Green, St. A and Newton Apartments projects For personal use only Jackson Green • 350 dwellings planned on 6.5ha site in Melbourne’s south-east • Strong sales in 1H FY2016 • Established new price points well abov
Slide 14: St.A
Cedar Woods Presentation | 14 St.A For personal use only • Around 250 dwellings on a 6.8ha site in Melbourne’s north-west • Successful sales release with 12 townhouses sold in Q2 FY2016 • Average price achieved 20% higher than suburb’s median house price • 5-year staged project
Slide 15: Newton Apartments
Cedar Woods Presentation | 15 Newton Apartments For personal use only • Newton apartments in Town Centre, comprising 57 apartments, with a mix of 1 and 2 bedrooms • Successful project launch with strong pre-sales of 80%
Slide 16: Williams Landing
Cedar Woods Presentation | 16 Williams Landing For personal use only • Strong price growth on residential lots achieved resulting in higher margin • First stage of new neighbourhood Addison released in January with strong price points achieved
Slide 17: WA new project releases – Bushmead
Cedar Woods Presentation | 17 WA new project releases – Bushmead For personal use only • 273ha site, 16km from Perth CBD, expected to yield approx 860 lots • Local Structure Plan approved by City of Swan • Federal environmental assessment complete • Detailed planning underway • Construction in CY16
Slide 18: Bushmead
Cedar Woods Presentation | 18 Bushmead For personal use only
Slide 19: North Baldivis
Cedar Woods Presentation | 19 North Baldivis For personal use only • Purchase of 50.74 hectares at North Baldivis in early August 2015 • Site adjoins company’s existing 68 hectare holding • Combined property will allow master-planned development of approximately 1,500 lots
Slide 20: Mangles Bay
Cedar Woods Presentation | 20 Mangles Bay For personal use only • 80ha Marina-Based tourist precinct 50km from Perth CBD • Federal Department of Environment approval achieved • Completion of Statutory Planning due in November 2016 • Construction anticipated to commence in FY2017
Slide 21: QLD update on projects
Cedar Woods Presentation | 21 QLD update on projects For personal use only • QLD market is coming off period of relatively slow growth and Ellendale should benefit from improving conditions • Particular signs of strength in the established housing sector and inner-city urban developments • CWP has t
Slide 22: Ellendale
Cedar Woods Presentation | 22 Ellendale For personal use only • 227 hectare master-planned community just 12km from Brisbane CBD • Queensland Government has approved first 480 lots on 67ha of site • First stage of 143 lots • Marketing centre on site • Ten year staged project
Slide 23: Ellendale
Cedar Woods Presentation | 23 Ellendale For personal use only
Slide 24: Wooloowin
Cedar Woods Presentation | 24 Wooloowin For personal use only • Contracted December 2015 for $24.6 million • 3.81 hectare infill site in Brisbane’s inner north, 5km from CBD • Approval for 279 residential dwellings • Approval for building height of up to 8 levels • Development to include a mix of to
Slide 25: SA Project - Glenside
Cedar Woods Presentation | 25 SA Project - Glenside For personal use only • 16.5 hectare site just 2km south- east of Adelaide CBD • Masterplan prepared in cooperation with Renewal SA and presented to community • First stage of community consultation completed • Preferred proponent to acquire the si
Slide 26: Agenda
Cedar Woods Presentation | 26 For personal use only 1 Financial Highlights 2 Portfolio Overview 3 Market Conditions 4 Company Outlook and Investment Case
Slide 27: State Conditions
Cedar Woods Presentation | 27 State Conditions For personal use only Victoria Solid price increases and clearance rates continue. Market conditions expected to remain stable going into FY2017. Good buyer interest across all sectors of residential. Western Australia Market continues to ease off its c
Slide 28: Macroeconomic Drivers
Cedar Woods Presentation | 28 Macroeconomic Drivers For personal use only • Interest rates at historical lows • Population growth continues • Employment outlook stable • Continued housing shortage • GDP forecast to grow 2.5-3.5% pa in 2016 and 2017
Slide 29: Agenda
Cedar Woods Presentation | 29 For personal use only 1 1H FY2016 Financial Highlights 2 Portfolio Overview 3 Market Conditions 4 Company Outlook and Investment Case
Slide 30: Company Outlook
Cedar Woods Presentation | 30 Company Outlook For personal use only • Cedar Woods’ full year profit guidance for FY2016 increased to approximately $43m (FY2015 - $42.6m), based on the company’s strong delivery program for 2H FY2016 and on current market conditions continuing • Positive outlook under
Slide 31: Investment Highlights
Cedar Woods Presentation | 31 Investment Highlights For personal use only 1. ASX 300 company with a proven track record of consistent earnings growth and meeting targets – Expecting 6th consecutive record full year profit in FY2016 – Positioned for continued growth in FY2017 2. Strategically located
Slide 32: Attractive Valuation
Cedar Woods Presentation | 32 Attractive Valuation For personal use only Cedar Woods forecast P/E over time1 Cedar Woods current FY16 P/E vs ASX Peers2 15.0x 15.0x 13.6x 12.0x 11.4x 12.0x 10.4x 9.0x 9.0x 8.3x 7.3x 7.3x 6.0x 6.0x 3.0x 3.0x - - Feb-2013 Feb-2014 Feb-2015 Feb-2016 CWP ASX Peers • FY201
Slide 33: Offices and Disclaimer of liability
For personal use only Perth Office Melbourne Office Brisbane Office Ground Floor Level 1 Level 6 50 Colin Street 476 St Kilda Road 12 Creek Street West Perth WA 6005 Melbourne VIC 3004 Brisbane QLD 4000 T: (08) 9480 1500 T: (03) 9820 1777 T: (07) 3007 2900 E: email@cedarwoods.com.au E: melbourne@ced
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