Calgro M3 (CGR) investor relations material

Executive summary

• Revenue declined to R460 million for the period ended 31 August 2025, down 10.2% year-over-year, with gross profit margin maintained at 29.43% through cost management and historical land costs.

• Net asset value per share increased by up to 6.41% to R15.82, while EPS and HEPS decreased to 83.00 cps and 82.86 cps, respectively, compared to 101.40 cps in the prior year.

• Share buy-back of 1.3 million shares executed, reducing share capital by R6.66 million, and cash collections from Memorial Parks exceeded R50 million.

• Strategic focus on the Bankenveld District City project, with infrastructure installation underway and public sector agreements pending.

Financial highlights

• Gross profit margin sustained at 29.43% (Aug 2024: 29.57%).

• Net debt to equity ratio increased to 0.71 (Feb 2025: 0.65), remaining within covenant limits.

• Cash and cash equivalents at period end were R163.3 million, with a liquidity ratio of 2.02.

• Operating cash flow was negative at R50.6 million, mainly due to increased construction contract balances and infrastructure spend.

• Total assets rose to R3.47 billion, up from R3.27 billion in February 2025, driven by an 11.2% increase in construction contracts.

Outlook and guidance

• Anticipates improved home loan affordability and increased market demand by Q3 2025, following interest rate cuts.

• Strategic pillars focus on asset optimisation, debt reduction, and expanding the Memorial Parks footprint.

• The Bankenveld District City project is expected to drive future growth, with phase 1 infrastructure underway and public sector negotiations ongoing.

• Targeting further improvement in liquidity, net asset value, and shareholder returns.