Mirvac boosts Q1 residential sales, reiterates FY guidance
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The news: Property developer Mirvac reaffirmed its full year guidance as it reported a boost to residential sales during the September quarter.
The numbers: Mirvac reiterated its operating earnings per share guidance of 12 cents to 12.3 cents in FY25, and distribution per share of 9 cents, subject to the completion of "core strategic priorities".
These include achieving between 2,000 and 2,500 residential lot settlements, executing over $500 million in non-core asset sales, and securing capital partners at key development projects, with the weighted average cost of debt expected to remain at around 5.6%.
During the September quarter, Mirvac said it had exchanged 346 residential lots, up 33% compared to the previous corresponding period. It also has a further 387 conditional sales and deposits on hand, up 40% over the quarter, driven by strong sales across its Brisbane and Perth master planned community projects.
The context: Mirvac's group chief executive and managing director Campbell Hanan said the company saw "positive momentum" across the business during the quarter, including solid sales and leasing outcomes in the living sectors, continued progress across its commercial and mixed-use development pipeline, and solid metrics across its investment portfolio.
What they said: "We have a clear strategy in place and we continue to focus on leveraging our unique asset creation capability to maintain our leadership in the living sectors and enhance our cash flow resilient investment portfolio," Hanan said.
"It is encouraging to see the momentum building across the business, with multiple levers for growth into the future."
The source: ASX announcement
