Cedar Woods posts record profit in FY19, up 14%
28 August 2019
Cedar Woods Properties Limited (‘Cedar Woods’ or ‘the Company’) (ASX: CWP) is pleased to report a record net profit after tax (NPAT) of $48.6 million for the 2019 financial year (FY19). The result represents a strong uplift of 14.2 per cent on the $42.6 million profit achieved in the prior corresponding period (pcp).
Cedar Woods’ Managing Director, Nathan Blackburne, said the Company’s strategy of diversifying its portfolio was proving successful and positioning Cedar Woods well for the future.
“We are pleased to have delivered strong growth in profit, with all four states in which we operate contributing to revenue for the first time in FY19. Apart from the strength of the result achieved in FY19, we have also delivered a number of other initiatives to continue to improve the business.”
Presales at year end were $330 million, $10 million higher than the pcp, driven by sales activity across the national portfolio. Approximately two thirds of pre-sales are expected to settle in FY20 with the balance contributing in FY21.
Presales include $43 million of commercial developments, across three separate projects, reflecting the growth in the Company’s commercial development activities, and further diversifying the portfolio.
“Moving into FY20, presales are at healthy levels and the business is well-placed despite difficult market conditions,” Mr Blackburne said.
“The past year has seen a challenging market nationally but we anticipate gradual improvement over FY20.
Our strong balance sheet and substantial funding capacity provides the ability for us to make strategic, counter-cyclical acquisitions, and we continue to assess opportunities in a number of markets,” Mr Blackburne said.