Stockland’s strong results give good visibility for the year ahead

We have delivered strong results for FY22 and made significant progress toward implementing our strategy while maintaining our focus on operational performance.

We have delivered strong results for FY22 and made significant progress toward implementing our strategy while maintaining our focus on operational performance. 

We made significant investments in the operational performance of our assets, initiating over $7 million worth of heating ventilation and air-conditioning, (HVAC) and building management system (BMS) upgrades at six Town Centres, which will help reduce our energy intensity and generate cost savings for both Stockland and our tenants. Our tenants are aligning their own sustainability programs with Stockland's by co-investing in higher-efficiency equipment. 

Our Town Centres have shown ongoing resilience despite COVID-19 trade restrictions in New South Wales and Victoria during the first half of FY22. Sales growth accelerated during the period as COVID-19 trade restrictions eased. On a like-for-like basis, total comparable sales post lockdown was up 8.1% and specialty sales up 10.1% vs the pre-COVID-19 corresponding period.

Portfolio occupancy was maintained at 99.1% and rent collection remained strong at 99.5% over the period.

CEO, Commercial Property, Louise Mason said,

“Our Town Centres portfolio has performed well over FY22, demonstrating its resilience during the extensive COVID-19 restrictions of 1H22 and delivering strong sales growth in 2H22 as restrictions eased. The extensive remixing that we have undertaken in recent years has resulted in a sales mix skewed to essentials-based categories, positioning us well for the current economic environment.”

Our continued focus on creating deep partnerships with our tenants, coupled with a data and customer-driven approach to curating our Town Centre mix and amenity offering has resulted in a positive shopper satisfaction result of 80 per cent. 

These strong customer satisfaction results focus on customer centricity, assisting us in driving tenant retention, customer visitation and spend. 

While macroeconomic conditions remain uncertain, the underlying performance of our business segments gives us good visibility for the year ahead. 

We continue to focus on collaborating and building strong, long-term relationships with our retailers and want to thank our retailers for their hard work and continued dedication to our customers this past financial year. Further information on our FY22 results can be read here.