The Growthpoint Properties Australia Ltd (ASX: GOZ) share price could be in focus today after the company delivered earnings and distribution guidance, while launching its first two new funds with $328 million of assets under management for FY25.
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What did Growthpoint Properties Australia report?
- Funds from operations (FFO) of $176.0 million, translating to 23.3 cents per security (cps)
- Statutory net loss of $124.6 million, mainly due to property devaluations
- Ordinary distribution of 18.2 cps plus a one-off 2.1 cps distribution; payout ratio of 78.0% (excluding one-off)
- Net tangible assets (NTA) per security of $3.09
- Gearing trimmed to 39.7%, down from 40.2% last year
- Occupancy of 94% and a 5.6 year weighted average lease expiry
What else happened in FY25?
Growthpoint made significant progress in funds management, launching the Growthpoint Australia Logistics Partnership and the Growthpoint Canberra Office Trust. This expanded its funds platform and brought in fresh capital from new and existing investors.
Leasing activity remained strong across both office and industrial portfolios. The company managed to maintain high average occupancy and executed several lease extensions, including a 10-year renewal with Woolworths on its Perth regional distribution centre.
Growthpoint also continued its sustainability journey, proudly achieving its Net Zero Target on 1 July 2025. The company increased its GRESB sustainability score, installed new solar capacity, and met all targets for its sustainability-linked loans.
What did Growthpoint Properties Australia management say?
Commenting on the result, Ross Lees, CEO and Managing Director, said:
This financial year, we created momentum in our funds management business, launching the first two funds under our Growthpoint banner, generating $328 million of new assets under management. We also delivered on earnings and distributions guidance. We launched our refreshed corporate strategy and delivered measurable progress across all strategic pillars. Throughout this period, we maintained the strong performance of our directly owned assets to deliver income-driven returns, with 94% occupancy and a 5.6 year weighted average lease expiry. Importantly, we achieved our 1 July 2025 Net Zero Target.
What's next for Growthpoint Properties Australia?
Looking ahead to FY26, Growthpoint is targeting FFO of 22.8–23.6 cps and an ordinary distribution of 18.4 cps. Management is focused on continuous improvement in sustainability, specifically on NABERS ratings and climate reporting.
Growthpoint aims to keep driving growth in funds management across office, industrial, and retail sectors, while maintaining high occupancy in its direct assets. The company plans to pursue further leasing activity, manage near-term fund maturities, and continue its capital recycling program.
Growthpoint Properties Australia share price snapshot
Over the past year, the Growthpoint Properties Australia share price has broadly tracked S&P/ASX 200 Index (ASX: XJO), rising 12% compared to 13% for the ASX 200 Index.
