Lendlease Raises Interim Dividend by 33% After Trimming First-Half Loss in Earnings Report
Australian real-estate developer, Lendlease, has raised its interim dividend by 33% after successfully reducing its first-half loss. The company has also announced plans for a strategy update before the end of the current fiscal year.
Lendlease, a publicly listed company on the ASX, reported a net loss of 136 million Australian dollars (US$88.8 million) for the six months through December. This is a slight improvement compared to the net loss of A$141 million recorded during the same period a year earlier. The company's revenue, however, experienced a 5% decline to A$4.92 billion.
The core operating profit, a significant metric for analysts and investors, fell by a staggering 42% to A$61 million. Analysts had previously forecasted a core operating profit of A$164 million with revenue of A$6.23 billion, according to data compiled by FactSet.
Despite the challenging numbers, Lendlease's directors decided to increase the half-year dividend from 4.9 Australian cents to 6.5 Australian cents. This move reflects the company's confidence in its ability to bounce back.
Lendlease has also excitingly announced a strategy update that is scheduled to take place by late May. The update will provide valuable insights into the company's plans moving forward and how they intend to tackle the challenging real estate market.
Overall, Lendlease's earnings report showcases both the company's resilience and determination to thrive in the face of adversity. With the dividend increase and the upcoming strategy update, investors and analysts are eagerly anticipating the next chapter for Lendlease.
Analyst comment
Positive news. Lendlease’s improved financial performance and plans for a strategy update indicate potential growth and stability. The increase in interim dividend also suggests confidence in the market.
