Goodman Group Halts Trading Amid Strong Half-Year Results and $4.4B Capital Raise

2 min read | February 18, 2025 05:08 PM PST | By Team Kalkine Media

Goodman Group Halts Trading Amid Strong Half-Year Results and $4.4B Capital Raise — Image source: shutterstock

Solid Financial Performance

Goodman’s operating earnings per share (OEPS) rose 7.8% to 63.8 cents, reflecting its robust development pipeline and high occupancy rates. The company’s total property portfolio increased 7% from June 2024 to $84.4 billion as of December 31, 2024, with a 97.1% occupancy rate.

Its development work in progress (WIP) remained steady at $13 billion, with an annualised production rate of $6.5 billion. Development earnings stood at $700.7 million for the first half and are expected to contribute strongly in the second half.

Goodman also declared an interim dividend of 15 cents per share, with a full-year distribution forecast of 30 cents per share.

Despite the capital raise, Goodman maintained its full-year guidance for 9% OEPS growth, though management indicated it would have been 10% excluding the capital raise, highlighting the company’s underlying operational strength.

$4.4 Billion Capital Raising Plan

To support its future growth ambitions, Goodman is raising $4 billion through an institutional placement and offering a share purchase plan (SPP) of up to $400 million for eligible investors.

The new shares will be issued at $33.50 each, representing a 6.9% discount to the last closing price of $35.98.

Management stated that the funds will provide financial flexibility to expand its logistics and data centre developments, reduce gearing in the short term, and strengthen working capital.

Outlook for 2025

With demand for high-quality industrial and logistics assets continuing to grow, Goodman remains well-positioned for sustained earnings growth. The company’s strategic focus on data centres and logistics hubs aligns with the global trend of increasing e-commerce and digital infrastructure investment.

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