Sunland — FY2014 Earnings Presentation
27 slides from Sunland's earnings presentation, Aug 20, 2014
Slide 1: 2014 Full Year Results
2014 FULL YEAR RESULTS 20 August 2014
Slide 2: Contents
CONTENTS GROUP OVERVIEW & FY14 HIGHLIGHTS 03 FY14 FINANCIAL REVIEW 07 OPERATIONAL REVIEW 11 OUTLOOK 18 PORTFOLIO DETAILS 22
Slide 3: Group Overview & FY14 Highlights
GROUP OVERVIEW & FY14 HIGHLIGHTS
Slide 4: Overview of Sunland Group
OVERVIEW OF SUNLAND GROUP Established in 1983, Sunland Group is a leading national property developer with more than three decades of experience in delivering award-winning, design-driven communities along Australia’s eastern seaboard. The Group’s core operating segments comprise Residential Housing
Slide 5: Pipeline of 5,556 residential housing, urban development and multi-storey products
LAND & HOUSING MULTI-STOREY MEDIUM-RISE DEVELOPMENTS RESIDENTIAL HOUSING (5—10 STOREYS) AND HIGH-RISE DEVELOPMENTS AND URBAN DEVELOPMENT (10+ STOREYS) 18 PROJECTS UNDER 2 PROJECTS UNDER CONSTRUCTION/RELEASE IN FY14 CONSTRUCTION/RELEASE IN FY14 2,331 products, $798m end value 208 units, $279m end val
Slide 6: FY14 Key Results Highlights
FY14 KEY RESULTS HIGHLIGHTS KEY FINANCIAL HIGHLIGHTS FOR YEAR ENDING 30 JUNE 2014 STRONG FY14 FINANCIAL RESULT UNDERPINNED BY ENHANCED OPERATIONAL UNIT FY14 FY13 % CHANGE PERFORMANCE AND IMPROVING MARKET CONDITIONS ■■ Statutory Net Profit After Tax of $14.3 million (2013: $13.6 million) ■■ Earnings
Slide 7: FY14 Financial Review
FY14 FINANCIAL REVIEW
Slide 8: Financial Performance
FINANCIAL PERFORMANCE FY14 Statutory Net Profit After Tax of $14.3 million and Earnings Per Share of SUMMARY FINANCIAL PERFORMANCE (YEAR ENDING 30 JUNE) 8 cents. $ MILLION FY14 FY13 % CHANGE The improved result is attributable to the Group’s successful return to the multi-storey residential sector a
Slide 9: Financial Position
FINANCIAL POSITION INCREASED INVENTORY AS A RESULT OF EIGHT STRATEGIC SITE ACQUISITIONS TOTALLING $82.1 MILLION, PROVIDING AN ADDITIONAL YIELD OF 2,250 ALLOTMENTS WITH AN END GROSS REALISATION OF $1.4 BILLION: SUMMARY FINANCIAL POSITION AS AT 30 JUNE 2014 ■■ Surplus cash and increased gearing utilis
Slide 10: Capital Management
CAPITAL MANAGEMENT SHARE BUY BACK DIVIDEND PAYMENTS DEBT POSITION ■■ The share buy back program was successfully ■■ Re-initiated dividend payment regime following the ■■ The Group is well placed, through surplus capacity, concluded during the 2014 financial year. completion of share buy-back program
Slide 11: Operational Review
OPERATIONAL REVIEW
Slide 12: Operational Review—Sales & Settlements
OPERATIONAL REVIEW— Sales & Settlements OPERATIONAL PERFORMANCE (YEAR ENDING 30 JUNE) ■■ Group sales value of $389 million (up 203%) was supported FY14 FY13 % CHANGE by the successful launch of Brisbane high rise project, Abian, SALES which achieved 110 contracted sales totalling $139 million in Val
Slide 13: Operational Review—Sales & Settlements
OPERATIONAL REVIEW— Sales & Settlements AVERAGE SALE PRICE (YEAR ENDING 30 JUNE) HISTORICAL SALES VALUE AND VOLUME (YEAR ENDING 30 JUNE)
Slide 14: Operational Review—Segmental Results
OPERATIONAL REVIEW— Segmental Results SEGMENTAL RESULTS (YEAR ENDING 30 JUNE) RESIDENTIAL HOUSING AND URBAN DEVELOPMENT FY14 FY13 % CHANGE ■■ The increased development margin is the result of improved market conditions and a shift in consumer sentiment during RESIDENTIAL HOUSING & URBAN DEVELOPMENT
Slide 15: Operational Review—Projects Under Construction
OPERATIONAL REVIEW—Projects Under Construction PROJECTS UNDER CONSTRUCTION / RELEASED BY PROPERTY TYPE (AS AT 30 JUNE 2014) UNSETTLED LOTS CONTRACTED LOTS % CONTRACTED LOTS URBAN MULTI–STOREY (no.) ($m) (no.) ($m) (no.) ($m) $277m $279.1m Multi-Storey 208 279.1 139 157.4 67% 56% Housing 911 521.0 28
Slide 16: Operational Review—Total Development Portfolio
OPERATIONAL REVIEW—Total Development Portfolio TOTAL DEVELOPMENT PORTFOLIO BY PROPERTY TYPE (AS AT 30 JUNE 2014) URBAN TO BE RELEASED UNDER CONSTRUCTION TOTAL DEVELOPMENT $277m PORTFOLIO 9% (no.) ($m) (no.) ($m) (no.) ($m) Multi-Storey 1,477 1,342 208 279.1 1,685 1,622 41% 50% MULTI–STOREY Housing 1
Slide 17: Projects launched and site acquisitions
OPERATIONAL REVIEW—Projects launched and site acquisitions FY14 PROJECTS LAUNCHED FY14 SITE ACQUISITIONS PROJECT LOCATION UNITS (NO.) END VALUE ($M) URBAN DEVELOPMENT Adresse VIC 471 133.9 Peninsula QLD 77 42.5 Concourse Villas QLD 76 59.9 RESIDENTIAL HOUSING & URBAN DEVELOPMENT RESIDENTIAL HOUSING
Slide 18: Outlook
OUTLOOK
Slide 19: Outlook
OUTLOOK 1. Sunland is firmly focused on the delivery of its portfolio, with a further nine new projects comprising a total yield of 2,576 4. Sunland’s return to multi-storey developments are expected to greatly enhance earnings per share in the short to 6. If market conditions maintain the same leve
Slide 20: Multi-Storey Case Study—Abian, Brisbane
MULTI- STOREY CASE STUDY—Abian, Brisbane ■■ A 147 unit luxury high-rise residential tower located in the heart of Brisbane CBD with unparalleled views of the Brisbane Botanic Gardens and Kangaroo Point. ■■ Superbly appointed one, two, three and four bedroom apartments, sky homes and penthouses over
Slide 21: Track Record of Multi-Storey Delivery
TRACK RECORD OF MULTI- STOREY DELIVERY 1989—1997 2000—2001 2001—2002 2003—2004 2005 2006 2007—2008 2009 MALIBU SUNCITY GRAND APARTMENTS LUMIERE Q1 YVE CIRCLE ON CAVILL LOUISA ROAD QUEENSLAND QUEENSLAND QUEENSLAND QUEENSLAND QUEENSLAND VICTORIA QUEENSLAND NEW SOUTH WALES CARMEL BY THE SEA CRYSTAL BAY
Slide 22: Portfolio Details
PORTFOLIO DETAILS
Slide 23: Projects Under Construction / Released
PROJECTS UNDER CONSTRUCTION / RELEASED CONTRACTED UNSOLD PROJECTS UNDER CONSTRUCTION / RELEASED YIELD SETTLED LOTS UNSETTLED LOTS LOTS LOTS (NO.) ($M) (#) ($M) (#) ($M) (#) ($M) (#) ($M) M U LT I – S T O R EY Abian, QLD 147 238.8 0 0.0 147 238.8 110 139.1 37 99.7 Marina Residences, QLD 84 54.0 23 13
Slide 24: Development Pipeline
DEVELOPMENT PIPELINE AVERAGE VALUE PROJECTS TO BE RELEASED YIELD OF UNSOLD STOCK (NO.) ($M) ($M) M U LT I – S T O R E Y Mariners Cove, QLD 370 455.0 1.2 Varsity Lakes, QLD 209 86.7 0.4 Toowong, QLD 478 419.0 0.9 1 Marine Parade, QLD 168 237.2 1.4 Royal Pines – Marina Village, QLD 90 62.0 0.7 Palm Be
Slide 25: Estimated Project Timing—Projects Under Construction / Released
ESTIMATED PROJECT TIMING —Projects Under Construction / Released PROJECTS UNDER CONSTRUCTION / RELEASED LOCATION YIELD % PRE-COMMITTMENT STATUS ESTIMATED PROJECT LIFECYCLE (AS AT 30 JUNE 2014) planning delivery STATE (NO.) ($M) (NO.) ($M) M U LT I – S T O R EY FY14 FY15 FY16 FY17 FY 18+ Abian QLD 14
Slide 26: Estimated Project Timing—Development Pipeline
ESTIMATED PROJECT TIMING —Development Pipeline PROJECTS TO BE RELEASED LOCATION YIELD STATUS ESTIMATED PROJECT LIFECYCLE planning delivery STATE (NO.) ($M) M U LT I – S T O R E Y FY14 FY15 FY16 FY17 FY 18+ Mariners Cove, QLD QLD 370 455.0 Planning COMPLETION POST FY18 Varsity Lakes, QLD QLD 209 86.7
Slide 27: Sunland Group
Sunland Group ESTABLISHED 1943