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- NZ-based Winton Land (WTN) announces net profits 78.6 per cent higher than FY22 for FY23 at $64.6 million
- Post-tax earnings for FY23 stood at $73.8 million
- Revenue is up 32.5 per cent YoY versus FY22
- Earnings are up 88.1 per cent YoY
- Shares are up 1.25 per cent, trading at $2.43 at 2:11 pm AEST
NZ-based property developer Winton Land (WTN) has announced its full-year results for FY23, reporting post-tax earnings of $73.8 million.
Net profit after tax (NPAT) was lower at $64.6 million but still 78.6 per cent higher than at the end of FY22.
The company also closed FY23 with revenue 32.5 per cent higher than FY22, thanks to the settlement of a record 565 units for $211.4 million.
Winton is also reporting a gross profit margin of 51.4 per cent, compared to 45.4 per cent in 2022. Gross profits totalled $108.7 million for FY23.
Earnings (EBITDA) have surged by an eye-catching 88.1 per cent to $95.6 million.
“Despite market challenges over the last 18 months, Winton has continued to operate with confidence and is in a compelling and enviable position,” WTN CEO Chris Meehan said.
“We have zero debt, cash holdings of $76.3 million, and an existing landmark with a potential yield of 6407 units, including 902 retirement units.”
Mr Meehan noted that Winton has wrapped up its first full year as a listed company in a strong position and also highlighted the impact of the La Niña weather cycle on Australia’s already embattled construction sector. He additionally offered his view that the housing market is “near to, or at, the bottom.”
As part of the company’s strategy, 78 per cent of its portfolio by units comprises residential lots. The business also holds 902 retirement units (equivalent to 6407 units). The company has 520 total shareholders.
Winton expects homeowners to continue to struggle in the near term, but anticipates a turnaround due to increasing immigration to New Zealand, low land supply, and continued upward pressure on rental prices.
Unlike Australia, New Zealand officially entered a recession this year due to a range of factors impacting markets worldwide.
Winton posted a dividend of 2.16 cents per share for the six months ending June 2023, adding to the 2.06 cents paid for 1HFY23, bringing the total dividend to 4.22 cents per share.
This reflects a distribution of 20 per cent of earnings back to shareholders.
WTN shares were up 1.25 per cent, trading at $2.43 at 2:11 pm AEST.
