Lendlease reports $1 bln loss amid strategy shift, regulatory delays (updated)

Stockland

19/08/2024 05:42

(Updates with further details and background on earnings)
       Aug 19 (Reuters) - Australia's Lendlease  LLC.AX  on
Monday reported a wider annual loss as the real estate developer
grappled with the impact of an operational strategy shift and
delays in reviewing the sale of community projects.
    Lendlease, the country's largest property developer, builder
and real estate investor, is looking to retreat from its
overseas construction business, freeing up upto A$4.5 billion
($3.01 billion) in capital in the process.
    The firm had in May warned that its annual core earnings
would take a hit due to the Australian competition regulator
delaying its review on a sale of community projects to peer
Stockland Corp  SGP.AX  by over two months in an A$1.3 billion
deal.
    The country's largest property developer reported a full
year loss after tax attributable of A$1.50 billion ($1.00
billion) as compared to a loss of A$232 million a year ago. 
    "Our results for FY24 reflected challenging business
conditions and the early actions from our refreshed strategy,"
chief executive Tony Lombardo said, adding that the company has
realised further cost savings as a result of a simplified
management structure. 

($1 = 1.4948 Australian dollars)


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