Cedar Woods has become the second land developer in two days to announce upgraded earnings, with its more affordable sub-divisions in Queensland and WA driving its improved performance.
Cedar Woods Properties has become the second land developer in two days to announce upgraded earnings, with its more affordable sub-divisions in Queensland and WA driving its improved performance.
The Perth-based company said it was on track to deliver a strong profit result for the year to June 2025.
It anticipates 15 per cent growth in net profit after tax, up from previous guidance of a minimum 10 per cent lift.
The final result will depend upon the timing and volume of settlements by 30 June.
The company said its land sub-division projects in Queensland and WA enjoyed strong sales results and continued price growth, particularly its more affordable projects.
The Millers Landing and Eglington Village projects in WA got a special mention.
“Further strong profit growth is anticipated in FY26, with the company having secured significant presales of the product expected to settle in that financial year,” it stated.
The company, led by chief executive Nathan Blackburne, has implemented a “more assertive” acquisition strategy, in anticipation of increased homebuyer demand.
This could include joint venture acquisitions.
It anticipates that supportive government policies and the prospect of lower interest rates will boost the housing sector and lift demand for land subdivisions.
It also noted that conditions in the civil construction sector have stabilised, with construction programs tracking well.
While WA and Queensland were positive, Cedar Woods said sales in SA and Victoria were stable.
Cedar Woods said it continues to maintain a strong balance sheet with sound liquidity and secure long tenure funding.
At the end of the quarter, the Company had over $90 million in liquidity, made up of undrawn loan facilities and cash at bank, and forecasts liquidity exceeding $120 million by 30 June.
The upgrade was announced one day after fellow land developer Peet upgrade its earnings outlook.
Cedar Woods’ share price was up 5 per cent to $5.495 at midday Perth time.
