Good morning and welcome to the presentation of the FY26 for Cedar Woods. My name is Nathan Blackburne, and with me is our CFO, Leon Hanrahan.

In this presentation, we'll provide an overview, our financial results, the current market conditions, our portfolio for the business. Cedar Woods is a long-established property company delivering projects and growing earnings for shareholders.

In our portfolio, we have over nine pipeline, which is made up by 36 projects across Victoria, South Australia. We are developing approximately 1,100 dwellings and residential lot pipeline of projects to support future earnings.

We have a long track record in the disciplined execution of it. Diversification is key to our strategy, and townhouses, master-planned community, and commercial.

Conditions are very favourable for our business and expected to be the case for some time yet, noting the shortfall of how the housing sector is getting. Finally, our balance sheet is strong, and we have some strategic partnerships in place.

We're really pleased with the outcomes at the half-year point would result for the full year. In the first half, we delivered a record net profit after tax of 39.6, and 64% higher than H1 FY25.

This profit was generated from revenue of 240% on last year and came from 640. This results in earnings per share of 47.60% on last year.

The board has declared an interim dividend of 14, which is up 40% on the prior year. Bonus share plan will remain in operation for the interim dividend.

Over the first half, we contracted sales of 756 lots, and at 31 December, we held pre-sale contracts with a value of over 740, 15% on the 642 million in pre-sales for this time last year. If these pre-sales will deliver revenue over the second half of FY26, but also into beyond.

More detail on the financials. The strategy to set up business.

Our strategy is to grow and develop our national project portfolio, product type and price point, so that it continues to hold performance well in a range of market conditions. The real point of difference for us, and effectively translates to a smoother earnings profile.

The strategy is proving successful with a strong relative financial with the years. We have multiple product types in four states and different price point and buyer profiles.

In terms of our business model, we create value in three key ways. Firstly, in acquisition, and have a long track record of identifying and converting high-quality sites.

The quality of our portfolio is testament to this component of value. In the development phase, we engage designers and create a demand sweet spot.

We then engage builders and oversee the construction process. The value-add area is marketing and sales, where we create quality brands and pre-sell projects before starting construction.

As part of our strategy, we are supplementing our work in partnership. Our partnering strategy is a strategic pivot that will see an increase coming from these partnering arrangements.

Leverage our existing development skills, access larger sites, which in turn supports that diversification. It generates regular fee income and thereby, and it helps us to grow our earnings in a different way.

Further diversification and greater scale essentially allow us through the cycles. We are now working in partnership with QIC and Tokyo.

Exciting opportunities for Cedar Woods to participate in projects of scale without committing to the entire capital. QIC and Tokyo Gas are both substantial and experienced partners.

Thus, access to well-located sites in major town centres and townhouses at a time when those housing forms are in very short supply. We have had four projects with Tokyo Gas, two of which are now complete.

The intention with both partnerships is more projects, and we continue to evaluate opportunities. We continue delivering the ESG strategy with further investment in our policies, practices and in climate-responsive development.

Sign and material selection, we are ensuring the sustainability of our core development activities across our portfolio, where we are leading the way in sustainable development, including the award-winning energy-efficient apartments that we're doing at Glenside, and the electricity microgrid that we've put in place at Eglinton Village in the northern suburbs of Perth. Buy and develop, our carbon footprint mapping activities supporting.

Cedar Woods continues its national partnership with Australia's leading children's education charity. Our flagship community grants program is an, and which sees a portion of profits from projects given in the various regions that we operate.

Thanks, Nathan. Taking a look in a bit more detail, our revenue and gross margins resulted in a much half compared to the first half of the prior year.

The half, due to 34% more settlements and at a slightly higher price. Gross margin increased to 31%, up from 26%.

Operating costs are lower due to savings on marketing spend, which generate with a lower level of spend. Higher administration costs are associated with the increased headcount and incentives as we continue to invest in new projects, reflecting.

Finance costs expense were lower than the prior period as a result of and a higher portion capitalised, reflective of the staging of development. A look at the balance sheet.

Total assets at 31 December were broadly in line with the June 30 balance, with the release of inventory of first half settlements broadly offsetting the significant investment in development spend in the period. Net equity, we're up 8% from 30 June, reflecting the strong first half earnings, dividend paid in the period.

Net bank debt of 85 million was paid down 40%, measured by net bank debt to total tangible assets less cash was at a low 10% and net bank debt to equity reflecting the strong results in the period. It's below our target range, but will increase over the second half with slightly fewer settlements and a prox acquisition payments to fund.

Gearing is, however, expected to finish the year around in the high teens. We completed a five-year corporate finance facility shortly after the end of the half to secure long-term funding availability with averages.

We maintain a strong liquidity position with sufficient facility headroom available at the end of 8.9 times, 40% above the prior year and importantly comfortably well above two times. Now, as mentioned, the company continues to operate a strong liquidity the first half operating cash flows.

During the half, the company generated strong operating cash flows to funding 5 million in new land acquisition. With the strong operating cash flow, combined facility headroom of approximately 170 million, maintain strong liquidity even after funding committed acquisition.

While we only invested 5 million in the first half on new land acquisitions in the period, approximately 80 million has already been spent, growing in half to date, funded by a combination of operating cash flow and the company's corporate finance facility. These are the previously announced Corio and Mount Barker land acquisitions, and where.

I'll now hand back to Nathan to.

Thanks, Leon. I now wanted to touch on the market conditions around the country.

There are considerable tailwinds for our business, and which the chronic shortfall of housing remains a pressing issue, with significant supply gaps. The supply of new housing is nearing the lowest level we've seen.

Housing completions are expected to fall short of the government's target by around 400,000 for the combined capitals by 2029. Our view is that full levels of supply to be provided, and for some balance.

This fact will further support sales volumes and pricing going forward, and see to with 9,000-plus dwellings to supply into this market. For the new housing sector, approvals are faster.

Some state governments are providing infrastructure effort to get more supply completed. With the various grants in play for particularly first home buyers, which are an important buyer profile.

Economic conditions are generally very favourable for our sector, and the employment outlook remains strong. The considerable shortage in skilled workers has seen the skilled migrant sector.

Net overseas migration numbers may moderate, has a number of factors to weigh up in deciding migration levels. Suppliers are expected to keep prices, are expecting further price growth across our capital cities, and Melbourne is expected to lead the market.

I now wanted to provide some insights into our portfolio. Inquiry levels and sales have been very strong for our business.

This first chart shows our quarterly inquiries levels from Q1 FY26 to the recent quarter, and you can see the gradual increase. We had strong first half inquiry, with Q2 being 14% up on Q1 and up on the prior corresponding period.

The demand is broad-based across states, and are the most active buyer profile, supported by attractive government incentives. This bodes well for continued strong sales into H2 FY26.

On sales, we had record quarterly sales in Q2 FY26, which were up 20% on Q1 and 17% on the prior corresponding period. Sales were particularly strong, with steady sales in South Australia and improving sales in Victoria.

Strong price growth was achieved in H1 in WA and Queensland, and modest price growth in Victoria. Portfolio of 36 quality projects, and a total pipeline of 9,000-plus lots, townhouses and apartments.

There's a good mix of products, price points and locations, giving us a diverse customer base. Drives the diversification in our portfolio.

In the first chart, you can see the breakdown of our portfolio, good spread of locations. The second chart is an analysis of our pre-sales, which shows that of our buyers.

The third chart shows the varying buyer profile mix of downsizers, upgraders, investors and first home buyers, and with first home buyers. The fourth chart breaks down our, and you can see that land lots in the dark blue are our dominant.

In WA residential projects, and over 3,300 dwellings in the pipeline, both residential lot, townhouse. We are in a good spread of locations, north and south of the CBD.

Sales prices continue to grow in the half, further strengthening our margins across WA projects. Sales volumes remain high, and we have strong pre-sales into financial year 27.

Dates delivery reliable builder partners who are delivering to program and budget. In Victoria, we have 12 projects, which offer a wide range of products, including land lots as well as offices.

We have over 13 hectares of high-value mixed-use land at Williams Landing that remains undeveloped, and is expected to deliver dwelling or strata offices. Sales have allowed modest price improvement at some estates, is expected over the second half.

We have six projects in Queensland, and have lots and dwellings to deliver. There’s a mix of land estates portfolio, and our projects in Queensland are performing well, and this is further improving our margins there.

Affordable land product has been very strong. The construction sector does have capacity constraints, especially with apartment builders.

In Adelaide, we have seven projects. In total, we’ve got over seven residential lots yet to deliver, a pipeline which will keep us busy for at least a further seven years.

Projects are well established with strong reputations for quality and sustainability, make meaningful contributions in the coming years. We recently added to this portfolio, Barker.

Our projects are seeing good sales volumes and prices. We think the outlook for the performance of these projects will continue to be positive for at least the.

On acquisition, we are allocated to locking in acquisitions to support and grow future earnings. We’re currently assessing Victoria, Queensland and WA, which is in line with our strategy.

We have ample capacity to fund new acquisitions with over $189 million of lender, and as well the partnerships that I talked about, for co-fund opportunities as they arise. Several sites contracted and FY26 to date, and additional sites have been contracted due diligence.

During the half, we contracted a site in Aveley, in the northwestern suburbs of Perth, product development at that estate to meet with high demand, as there is a shortage. Now to the outlook for our business.

Placed for further growth in earnings. Conditions for the housing sector are favourable and our portfolio well placed.

The housing shortage, low unemployment and attractive buyer incentives are all creating a favourable set of conditions. Our balance sheet is strong with liquidity of over $189 million as at 31st December 25.

Acquisition efforts are proving successfully secured, others under due diligence, and partnerships in place with QIC. We’ve got pre-sale contracts of $7 million in place, and these significantly support our earnings outlook for FY26 and FY27 in particular.

We have guided approximately 30 to 35% for FY26, a minimum 20% earnings growth we had guided for previously. Medium term, the company is well placed, with a pipeline of more than 9,000 dwellings, offices, across our four states.

As we go to questions, I will leave you with a slide being an investment summary. Thank you.

Morning, Nathan, Leon. Thanks for your time this morning.

Just can you maybe walk us through, I guess, the key moving parts in the recent guidance upgrade? It seems like most of the upgrade was driven by, I guess, stronger margin rather than volume per se.

If you could just comment on, I guess, what update?

Thanks, George. The guidance upgrade was the result.

There was more price growth achieved in the half across a number of projects. More settlements have come into the half and will come into the year, and marketing costs.

The lower marketing, the incredibly strong inquiry that we're getting across the country, we can turn down that marketing spend.

That's clear. End of the year, is that a reflection of just stronger land projects performing, or is there some pull forward in 27?

It's a little bit of both, George, but really, just those stronger sales generating more

yield. That's clear.

My second question is just on the pre-sales pipeline, those on hand. Could you just give us some colour on how much of that is expected to settle in FY26 and maybe how much in FY27?

George, the majority of it is settled. There is still a good portion coming into and pleasingly, we're well into terms of FY28, with the pre-sales already building for that year.

Approximately half of it will go into FY27. And

maybe just one more from me, if that's okay. Just around, obviously, the commentary around the robustness of your demand for Cedar Woods product was very clear, but I'm just wondering, the market interest rate hike this year, I guess wondering what your maybe thought about the impact that further hikes might have on demand for your product?

I

suppose it comes back to the extent of the hikes, but you just really have to go back to the chronic shortfall of land, the significant task that the industry has ahead of it in full. In our view, a couple of rises, we would expect continued widespread demand across our product types.

That's very clear. Sorry to ask one more question, Leon, if I may.

Just on down in the first half, but can we just assume that normalises back at 50% for the full year?

The payout ratio is, we view it on a full-year basis, not necessarily tied to the half-year profit at all. It's more, we alternate dividends to the final dividend, and there's no change to our 50% payout ratio policy.

Thank you, Tom. Cheers.

Once again,

Thanks, guys. Fantastic result.

A few questions from me. Just with regards to the projects that appear in your project pipeline, Aveley, and I think there's one SoCo here, I think you're indicating sales conditional or purchases conditional in FY26, or is that something for maybe FY27?

No, there's a planning, and that's why it's conditional. We're very confident on this to go unconditional and settle.

However, the timing of that will be, yeah, it'll be likely 27.

I'm not sure if I am seeing something new here in terms of Soko, that you can just describe it?

It's a smaller project in the northern infill site. It's very much in Cedar Woods' sweet spot in terms of product type.

It is townhouses that wes the market for expressions of interest on. The build is a lot strong demand for that product, and that will contribute, Leon, to predominantly 7 in FY28.

Fantastic. Have you—is the land for that?

We

settle on that.

Great.

In the... Or earlier even.

It was previously described as Madeley in the pipeline chart. It's not new to the pipeline chart.

It's advanced now as a project name, will be in market selling it very soon.

Great. In terms of second half settlements for Corio and Mount Barker and Fairfield, when does that settle?

FY26. It's two instalments, 27, and the other one likely in 28.

We budgeted acquisition expenditure at this point in time where those payments are fairly spread out.

I was going to sort of ask Nathan. Nathan, what does the acquisition pipeline look like to you?

Does it feel, in each half, robust and exciting? Do you feel more opportunity, less?

Is it more expensive to buy land? What's your perspectives today on the acquisition pipeline?

We're seeing the buying conditions and the number of opportunities is quite high. In part it's because we've got more people on board looking for them.

We've got doing assessment work on at the moment and a couple of which are contracted, subject to due diligence. Because the shortfall spread in terms of locations and product types, that opens up.

We're focused on three of our four locations. South Australia.

We are focused on the other three. We have a slight bias towards medium-dense, but are also assessing some apartment projects, again, shortfall of supply in that immediate area.

Seeing plenty of opportunities to alert some more over the half and into FY27.

Right. None of those projects you've indeed flagged them by name yet other than Aveley.

No.

For me, guys, I'll let the next person go.

Morning, Nathan, Leon. Congrats on the upgrade.

What your guidance now implies, half on half in terms of what's second half earnings are going to sort of 40%, depending on where we sit in the range. I assume that the majority of that tops here this year around settlement numbers we should be aware of in terms of seasonality or spend demand occurring in the second half?

Spot on, Murray. It's just timing of stages completing this year was weighted to the first half.

We just will have slightly less settlements in the second half. We have a very big Q1 in FY27 and likely Y2 27.

And

then obviously the lion's share of settlements still coming from WA. It does look like you've sort of backfilled the pipeline in Perth, but I was just wondering, I guess first off, how easy or difficult is your acquisitions and your project stack in WA, given the cost of land relative to the pricing of housing?

Then secondly, how would you expect that sort of project or that stack to evolve over, let's say, a three to five-year period? So

in terms of the project stack, we're readily finding ones, when assessed, meet our minimum benchmarks. A lot of opportunities that we're working on that have been sourced off market, that we're assessing, but with them that have been secured off market, where we've approached the vendor directly.

We're not finding vendor expectations too unrealistic, and I'm confident that we can continue to make acquisitions on reasonable return metrics, as we have done for the past 30-odd years. In terms of the settlement mix, we work very hard on execution, giving us a broad customer base.

We like to have a mix of master-planned communities, delivering land lots, medium projects and townhouse projects, and of course the commercial offerings that come out of our Victorian portfolio. I would like to think that we at any one point in time like to have a mix of product settling, which means of product that we're acquiring.

We can pivot with that product types and towards particular locations. What's outperforming at the moment is more affordable product, be that land, townhouses, or apartments.

We have had projects that can deliver more affordable land supply over the medium term.

Appreciate the colour. Thanks, Nathan.