Goodman achieves strong performance for FY17 with operating profit of $776.0 million up 8.6% on FY16

SYDNEY, Aug. 21, 2017 /PRNewswire/ -- Goodman Group (Goodman or Group) today announced its results for the full year ended 30 June 2017, delivering an operating profit of $776.0 million, up 8.6% on FY16 and operating earnings per share (EPS) of 43.1 cents, up 7.5% on FY16.

The results demonstrate the strength of the underlying operations of the Group. It is supported by the development led strategy that leverages growing online consumerism in key global gateway cities through its $3.5 billion workbook.

The Group is forecast to generate $828 million of operating profit in FY18, which will result in operating EPS growth of 6% on FY17.

Commenting on the result, Goodman's Group Chief Executive Officer, Greg Goodman said: "Our FY17 operating profit of $776.0 million is the result of strong operational performance and the deliberate repositioning of our business over the last three years.

This is evident in the $1.6 billion of revaluation gains and 14.4% total return for the Partnerships for FY17. Since 2014, our assets under management have grown to $35 billion despite $8 billion in asset sales, and over the last five years we have consistently delivered operating profit and EPS growth of greater than 7%.

We've taken advantage of the property cycle to make $3.5 billion of asset sales across the platform this financial year, redeployed this capital into strategic developments and reduced Group leverage to 5.9%. This has provided us with greater financial flexibility and enabled us to improve the quality of our global portfolio by focussing on strategic locations in gateway cities, placing our customers close to their customers.

Having positioned our business to take advantage of structural changes, we're now looking to the future. Rapidly advancing technology and increased consumer expectations around price, product availability and delivery, while disruptive for some businesses, are providing us with opportunities. Although the evolution of e-commerce and supply chain transformation are still in their early stages, we are seeing increased demand for our expertise in providing high quality logistics facilities in prime locations. This is a trend we expect to accelerate over the next five to ten years."