Winton Land Limited · NZX:WIN
Winton Land — FY2024 Earnings Presentation
29 slides from Winton Land's earnings presentation, Aug 23, 2024
Slide 1: Business Update – Annual Results FY24 Investor Presentation
1. Business Update ANNUAL RESULTS FY24 23 August 2024 INVESTOR PRESENTATION
Slide 2: Presenting Today
Presenting Today Chris Meehan Chief Executive Officer Jean McMahon Chief Financial Officer Northbrook Wanaka, Northlake 2 2
Slide 3: Agenda
1. Business Update 2. Financial Overview 3. ESG Overview 4. Market and Outlook Jimmy’s Point, Launch Bay Hobsonville Point 3
Slide 4: Business Update
Ayrburn, Arrowtown BUSINESS UPDATE
Slide 5: Key highlights
Key highlights A resilient year of delivery and settlements during the 12 months ending 30 June 2024 (FY24): $173.6m 345 Revenue Units delivered and settled 524 $411.7m ² Total of gross pre-sales secured $70.3m 40.5% shareholders Gross profit Gross profit margin 211 872 Retirement living units yield
Slide 6: Business Highlights
Business Highlights Strong year of delivery in a difficult market and very challenging economic conditions – 345 units settled Resource consent in place for all five current Northbrook locations¹ Strong pre-sale book continues to protect future revenues - $411.7m at 23 August 2024 Ayrburn op
Slide 7: Significant landbank pipeline
Significant landbank pipeline Pipeline of over 6,000 units remain to be delivered in future years. 6,000+ 1,200 1,000 800 600 553 565 449 400 345 247 186 171 200 76 - Prior FY18A FY19A FY20A FY21A FY22A FY23A FY24A FY24F+¹ Settlements include completed communities (Longreach – 163, Lakes Edge – 55,
Slide 8: Continued Momentum
RESIDENTIAL Continued Momentum Settlements by product type FY24 settlements across the residential portfolio. Neighbourhood Units settled Units settled Movement FY24 FY23 10% 2% 2% Residential Lots Lakeside 209 186 23 8% Apartments Beaches 29 172 (143) FY24 North Ridge 17 105 (88) settlements Commer
Slide 9: Unlocking land value FY24
RESIDENTIAL Unlocking land value FY24 Work behind the scenes continues to unlock land value Northlake through rezoning and consents. • The plan change related to Stage 18 has been approved. This increases the yield of this stage by 24 lots from previous assumptions, providing a total yield of 125 lo
Slide 10: Residential development FY24
RESIDENTIAL Residential development FY24 Works progressed on future stages to deliver presales. North Ridge Cessnock • Stages 1-6 are complete and all available land lots have been sold and settled. • Resource consent underway for future stages 7 onwards. Launch Bay Hobsonville • Construction of Jim
Slide 11: Northbrook progress continues at pace
RETIREMENT Northbrook progress continues at pace Northbrook Wynyard Quarter • Resource consent has been finalised, main works contract negotiations are well progressed. • Early works complete. • Due to industry-wide issues and consenting processes Northbrook changed its structural engineer to Robert
Slide 12: Winton's retirement living portfolio
RETIREMENT Winton’s retirement living portfolio The standard terms under the Northbrook Occupational Right Agreement will provide for a 30% Deferred Management Fee over a four-year period for independent living units and a 30% Deferred Management Fee over a two-year period for care suites. Independe
Slide 13: Commercial
COMMERCIAL Winton continues to diversify our revenue streams to support future annuity income. • The Cracker Bay brand was launched in FY24 and encompasses the drystack, marina, offices and eventually a hospitality precinct. • Offering Drystack facilities in the heart of Auckland, the Drystack build
Slide 14: Commercial – Ayrburn
COMMERCIAL The Ayrburn masterplan has been designed to uplift the value of neighbouring Northbrook Arrowtown and Winton-owned residential land. • Winton opened the first stage of Ayrburn to the public, on Saturday, 9 December 2023 with five different venues to cater to different tastes and occasions
Slide 15: Financial Overview
Jimmy’s Point, Launch Bay Hobsonville Point FINANCIAL OVERVIEW
Slide 16: FY24 Financial Performance
FY24 Financial Performance We have continued to deliver pre-sold properties, complete new projects, and diversify our revenue streams. Financial Performance Statement of Financial Performance FY24 FY23 NZ$m (unless indicated otherwise) Year Ended Year Ended Movement 30-Jun-24 30-Jun-23 • Despite a d
Slide 17: FY24 Financial Position
FY24 Financial Position Winton has historically operated with a conservative level of debt in its capital structure. Financial Position Statement of Financial Position FY24 FY23 NZ$m (unless indicated otherwise) As at As at Movement 30-Jun-24 30-Jun-23 • Cash balances remain strong at $41.7 million.
Slide 18: FY24 Statement of Cash Flows
FY24 Statement of Cash Flows Winton maintains a strong cash position. Cashflows Statement of Cashflows FY24 FY23 Year Ended Year Ended NZ$m (unless indicated otherwise) Movement 30-Jun-24 30-Jun-23 • Net operating cashflows are increased by $3.5 million due to reduced payments to suppliers and emplo
Slide 19: ESG Overview
Ayrburn, Arrowtown ESG OVERVIEW
Slide 20: ESG Highlights FY24
ESG Highlights FY24 1 Completed and disclosed first year of Climate-Related Disclosures. Completed third emissions inventory, extending the measurement to include all 2 category 4 emissions and disclosing at the same time as financial disclosures. 3 Transitioned to new Assurance practitioner for FY2
Slide 21: Market and Outlook
Northbrook Wanaka, Northlake MARKET AND OUTLOOK
Slide 22: Market and Outlook
Market and Outlook The New Zealand housing market remains difficult, and we expect this to continue through FY25. • The number of house sales across New Zealand for the year ending June 2024 is 5,400 Building consents issued¹ down 25.6% compared to the prior year and the median days to sell was 47¹
Slide 23: Market and Outlook
Market and Outlook OCR key indicator for HPI but rising unemployment could slow recovery. 4500 8.25 Market Indicators New Zealand House Price Index and Official Cash Rate 4000 7.25 • HPI had a one month decrease of (0.3%) and a three 3500 6.25 month decrease of (1.9%) to July 2024¹. 3000 5.25 • Q2 L
Slide 24: Market and Outlook
Market and Outlook Winton continues to operate with financial discipline to enable us to thrive through the cycle. • Property development is cyclical, and Winton’s experience gives us confidence that we are playing the cycle as best we can, and we are prepared to weather continued challenging condit
Slide 25: Questions
Jimmy’s Point Launch Bay, Hobsonville Point QUESTIONS
Slide 26: Winton – Best by Design
WINTON BEST BY DESIGN
Slide 27: Important Notice and Disclaimer
DISCLAIMER Important Notice and Disclaimer This disclaimer applies to this document and the accompanying material (“Document”) or any information contained in it. The information included in this Document should be read in conjunction with the audited consolidated financial statements for the year e
Slide 28: Senior Management Team
APPENDIX 1 Senior Management Team Presenting Today Chris Meehan Jean McMahon Chief Executive Officer Chief Financial Officer • Founded Winton in 2009. • Founded the Belle Property • Over 18 years’ experience in real estate, finance and investment. • Over 30 years’ real estate real estate franchise i
Slide 29: Neighbourhood Summary
APPENDIX 2 Neighbourhood Summary Winton’s 12 communities, with 11 in New Zealand and 1 in Australia. Target units remaining by type Target units Communities Location Target units1 Settled2 remaining1 Residential Retirement Commercial 1. Northlake Wanaka 1,000 (692) 308 177 128 3 2. Lakeside Te Kauwh