First-half results downbeat for Aussie property developers - UBS

Stockland

09/03/2023 02:44

** Analysts at UBS say that first-half earnings for major
Australian property developers fell 4% short of its estimates,
terms results 'downbeat'
    ** Brokerage says the real estate sector is reflecting the
continued impact of higher interest rates, overhead cost
pressures and more mixed operating conditions
    ** Forecasts sector level funds from operations growth in
FY23-26 of only 2.5% with debt issues still persisting
    ** UBS prefers Goodman Group  GMG.AX  over Charter Hall
Group  CHC.AX  and Stockland Corp  SGP.AX  over Mirvac  MGR.AX  
    ** Says funds manager, other than GMG, are having a hard
time to raise capital in a challenging macro amid performance
fees uncertainty

 (Reporting by Rishav Chatterjee in Bengaluru)
 ((Rishav.Chatterjee@thomsonreuters.com;))