Cedar Releases 3rd Quarter Operations Update; Positive Medium-Term Outlook

  • May 07, 2019 AEST
  • Team Kalkine
Cedar Releases 3rd Quarter Operations Update; Positive Medium-Term Outlook

Cedar Woods Properties Limited (ASX: CWP), established in 1987 and based in West Perth, Australia, is a leading, national developer of residential communities and commercial developments.

The company has a diversified product mix which includes land subdivisions in emerging residential communities, apartments and townhouses in vibrant inner - middle ring neighbourhoods, as well as complementary supporting retail and commercial facilities. Cedar Woods’ developments aptly reflect its unwavering commitment towards quality.

On May 7th, 2019, the company disclosed its Third Quarter FY19 Operational Update for the three months to March 31st, 2019, whereby Cedar Woods has reported that the company is on track to deliver strong increase in earnings for the full financial year 2019 (FY19), building on the positive first half of FY19 and achieving significant progress at a number of its key projects during the quarter.

In the half-year report to 31 December 2018, Cedar Woods reported a revenue of $204.1 million along with a profit of $30.81 million. The net assets were valued at around $373.26 million including net cash and cash equivalents of $2.65 million.

Besides, the company mentioned in its FY19’s third quarter operational update, that it expects a positive medium-term earnings outlook on the back of $249 million in pre-sales, which is 8 per cent higher relative to the $230 million at the same time last year.

The Managing Director of the company, Nathan Blackburne, commented, “Our strategy to diversify by geography, product type and price point is serving us well as the market conditions remain challenging nationally, with the softening of sales rates in recent months. As an industry, we are facing tighter lending to customers, uncertainty on tax policy and softer consumer sentiment generally.”

New projects are also being launched in several markets including Victoria, Western Australia, Queensland and South Australian regions. Cedar Woods’ balance sheet remains robust with net bank debt-to-equity expected to remain within the lower end of the Company’s target range.

The company has ample capacity to fund new acquisitions and existing projects and is actively evaluating both land and built-form opportunities across multiple states.

Also, during the March 2019 period, the company added a 20.2-hectare site directly adjacent to the Company’s best-selling project, Ariella, in Brabham to its Western Australian land holdings at a purchase price of $28.25 million, with payment on deferred terms due to be settled by July 2019, from private landowners West Swan Pty Ltd and Minx Pty Ltd, and is expected to contribute to earnings from FY21 onward.

The property is zoned Urban and is expected to yield approximately 380 lots. It is near major transport routes via Lord Street and will appeal primarily to first and second homebuyers.

The company has earned a reputation for delivering long-term shareholder value supported by its disciplined approach to acquisitions, the epitome of its aesthetic designs, and the development of dynamic communities that meet the ever-evolving client requirements.

With around 80.12 million outstanding shares, the CPW stock price settled the day’s trading at AUD 5.440, down by 4.225% (as on May 7th, 2019).


This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. The above article is sponsored but NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) under discussion. We are neither licensed nor qualified to provide investment advice through this platform.


All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.


There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK