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Calgro M3 Holdings (CGR) investor relations material

Calgro M3 Holdings H2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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H2 2025 earnings summary12 May, 2025

Executive summary

  • Revenue declined 32% year-over-year due to a deliberate construction slowdown ahead of elections, with a focus on infrastructure and risk mitigation.

  • Combined revenue, including joint ventures, was down 11% year-over-year, reflecting increased JV contributions.

  • Margins exceeded targets, driven by private sector focus, unlocking historic land value, and disposal of historic land at favorable rates.

  • Memorial Parks achieved 48% sales growth year-over-year, now covering 100% of group overheads and delivering outstanding financial results.

  • Maintained Level 1 B-BBEE accreditation and continued investment in infrastructure and social initiatives.

Financial highlights

  • Revenue decreased 32.7% to R868.9m; combined revenue (including JVs) down 11.5% to R1.23bn.

  • Gross profit margin increased to 29.4%, above the 20–25% target range.

  • Net cash from operating activities dropped from ZAR 91m to ZAR 34m; cash and cash equivalents at year-end were ZAR 154m.

  • Finance costs rose from ZAR 111m to ZAR 134m due to increased borrowings.

  • Final dividend declared of 8.64cps, in line with policy.

Outlook and guidance

  • Revenue pipeline of R29bn in residential and R2.55bn in Memorial Parks, with 36,136 residential and 117,471 burial opportunities.

  • Construction activity to ramp up, focusing on reducing completed stock and increasing bulk sales, especially to the rental market.

  • Memorial Parks segment targeted to exceed 10% of group contribution, with continued expansion and new parks coming online.

  • Anticipates increased demand due to lower interest rates and improved borrowing conditions.

  • Ongoing disposal of noncore assets and continued diversification across projects and provinces.

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Frequently asked questions

Calgro M3 Holdings Limited is a property and property-related investment company based in South Africa. The company specializes in the development of integrated residential developments and the development and management of memorial parks. Calgro M3’s residential projects include mid to high-income housing, offering a range of modern, well-designed homes aimed at enhancing community living. Their memorial parks provide serene, secure environments for laying loved ones to rest, featuring five privately owned parks across the country. The company is headquartered in Johannesburg, South Africa, and its shares are listed on the JSE.

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