Goodman Group (GMG) H2 2024 earnings summary

Executive summary

• Delivered FY24 operating profit of $2,049.4 million, up 15% year-over-year, with operating EPS up 14% to 107.5 cents per security, driven by strong logistics and data centre demand in key global cities.

• Statutory loss of $98.9 million due to negative property revaluations and non-cash items.

• Maintained high occupancy at 97.7% and robust development pipeline, with data centres now 40% of work in progress.

• Group NTA declined 3.5% to $8.80 per security, reflecting cap rate expansion and asset revaluations.

• Positioned for long-term growth with a focus on digital infrastructure and urban infill assets.

Financial highlights

• Operating profit of $2,049.4 million (+15% vs FY23); operating EPS 107.5c (+14%).

• Statutory loss of $98.9 million, driven by $1.5 billion share of negative property revaluations.

• Distribution per security steady at 30.0c; NTA per security $8.80 (-3.5%).

• Management earnings surged 62% to $776.4 million, driven by performance fees and GMT internalisation.

• Development earnings slightly down to $1,276.8 million, reflecting timing of sales.

Outlook and guidance

• FY25 operating EPS forecast at 117.2 cents, up 9% on FY24, with distribution per security to remain at 30.0c.

• Development pipeline expected to deliver attractive margins, with increasing focus on data centres.

• Third-party stabilized AUM expected to grow, with long-term fee revenue guidance above 0.9% of AUM.