Peet Limited’s Profit Surges 102% to $50.9 Million in Half-Year Results
Peet Limited has reported a robust half-year performance with statutory profit doubling and a significant dividend increase, underpinned by strong sales and settlements across key Australian markets.
- Statutory profit after tax up 102% to $50.9 million
- Revenue rises 28% to $222.9 million
- Interim dividend increased 136% to 6.5 cents per share, fully franked
- Lot sales and settlements surge, especially in Western Australia
- FY26 NPAT guidance upgraded to $86–90 million, signalling continued growth
Strong Financial Performance
Peet Limited has delivered an impressive half-year result for the period ending 31 December 2025, with statutory profit after tax soaring 102% to $50.9 million. Revenue climbed 28% to $222.9 million, reflecting a combination of price growth and increased lot settlements across its diversified portfolio. Earnings per share also doubled to 10.88 cents, highlighting the company’s enhanced profitability and operational efficiency.
Operational Highlights and Market Strength
The company sold 1,773 lots and settled 1,496 lots during the half-year, marking respective increases of 29% and 48% compared to the prior corresponding period. Western Australia stood out with nearly doubled sales, supported by strong price growth, while Queensland and South Australia also contributed significantly to higher settlements. Peet’s land bank activation reached 76%, underscoring effective project launches and sales execution.
Robust Capital Position and Dividend Growth
Peet maintains a solid balance sheet with gearing reduced to 24.7% and cash plus available debt facility headroom of approximately $217.9 million. The Board declared a fully franked interim dividend of 6.5 cents per share, a 136% increase from the previous interim dividend, reflecting confidence in ongoing cash flow generation. The company also completed an on-market share buy-back and approved early redemption of corporate notes to reduce debt costs.
Strategic Outlook and Development Pipeline
Looking ahead, Peet’s strategy remains focused on masterplanned communities, particularly on Australia’s east coast, supported by a substantial development pipeline of over 27,700 lots valued at $12.2 billion. The company is well positioned to capitalise on favourable residential market conditions, including strong population growth and constrained housing supply. Peet has upgraded its full-year NPAT guidance to between $86 million and $90 million, representing 47% to 54% growth over FY25, with expectations for continued growth into FY27.
Risks and Market Dynamics
While macroeconomic pressures such as cost of living and interest rate movements persist, Peet benefits from government stimulus for first homebuyers and strong institutional investment. The company’s diversified geographic footprint helps mitigate regional market fluctuations, though legal proceedings in New South Wales remain an unresolved factor. Overall, Peet’s half-year results and strategic positioning suggest resilience and growth potential in a competitive residential property development sector.
Bottom Line?
Peet’s strong half-year momentum and upgraded guidance set the stage for sustained growth, but investors will watch closely for market shifts and legal developments.
Questions in the middle?
- How will Peet manage potential risks from ongoing legal proceedings in New South Wales?
- What impact will early redemption of corporate notes have on the company’s cost of debt and liquidity?
- How might regional market variations affect sales and settlements in the second half of FY26?
