Winton Land (WTN) H2 2025 earnings summary

Executive summary

• FY 2025 revenue declined 10.5% to $155.4 million, with 266 units settled, reflecting challenging property market conditions.

• Net profit after tax dropped 34.4% to $10.3 million, with a gross profit margin of 38.3% and NPAT margin of 6.6%.

• $248 million in gross pre-sales secured, providing future revenue protection.

• Significant progress on key projects, including completion of Northbrook Wānaka Stage One and new commercial venues at Ayrburn.

• Sunfield and Ayrburn Screen Hub projects accepted into the Fast-Track Approvals Act 2024 process.

Financial highlights

• Gross profit was $59.5 million, down from $70.3 million in FY24; EBITDA fell 27.9% to $21.3 million.

• Commercial revenue rose to $24.7 million, up from $11 million in FY 2024, driven by full-year trading at Ayrburn.

• Fair value gain of $5.1 million from revaluation of commercial assets and retirement land, compared to a $1.7 million loss in FY 2024.

• Cash at year-end was $20.3 million; inventories and total assets decreased due to settlements.

• No dividend paid for FY25 to maintain financial discipline.

Outlook and guidance

• Focus remains on Sunfield and South Island operations, with cautious capital allocation until market conditions improve.

• No dividend declared for FY 2025, maintaining financial discipline amid soft market conditions.

• Expectation that residential property market will not recover until after unemployment peaks.

• Market remains subdued, especially in Auckland, with high construction costs and low net migration.

• Positive signs include declining official cash rate, lower labor costs, and increased house sales in Queenstown-Lakes District.