MJ Gleeson (GLE) Trading Update summary

Trading performance and outlook

• Results for the financial year are expected to be more weighted to the second half, with full-year outcomes anticipated to align with current market expectations.

• Net reservation rates from July to November 2024 rose to 0.56 per site per week, up from 0.45 per site in the same period last year.

• Margin pressure persists due to higher sales incentives, multi-unit sales, increased build costs, and limited selling price relief.

Operational developments

• Seven new sales sites have opened so far this financial year, with a total of 27 expected by year-end, compared to four in FY2024.

• The average number of selling sites will be lower than last year, with more openings planned for the second half.

• From FY2026, the company targets a net increase of 10 new sales sites per year.

Market and strategic context

• The recent base rate reduction is expected to boost buyer confidence for the upcoming Spring selling season.

• Gleeson Land anticipates a positive impact from potential National Planning Policy Framework reforms on site timing.

• Strong demand for consented land is expected to drive Gleeson Land's full-year results materially ahead of last year, with significant sales in H2.