Goodman Upgrades Fiscal Year 2023 Operating EPS Guidance

By David Winning

SYDNEY--Goodman upgraded its annual earnings guidance as demand for industrial property and warehouses remained resilient despite signs the global economy is slowing as central banks act to tame inflation.

Goodman, which owns a property portfolio in countries spanning the U.S. to Australia, said it now expects operating earnings per share to increase by 15% in the 12 months through June. That was up from guidance for 13.5% EPS growth provided to investors as recently as February.

Goodman said its property was 99% occupied at the end of March, with like-for-like net property income growth of 4.4% in the fiscal third quarter. Assets under management totaled 80.7 billion Australian dollars (US$53.8 billion).

The company said its development work in progress totals A$13.0 billion across 79 projects at the end of March.

"Despite the global macro economic volatility, we have almost zero vacancy and continue to execute on our development strategy with annual production rate for FY 2023 averaging around A$7 billion," Chief Executive Greg Goodman said. "Headwinds from cap rate expansion are being mitigated by continued growth in rents in most markets."

Write to David Winning at david.winning@wsj.com

(END) Dow Jones Newswires

May 10, 2023 19:06 ET (23:06 GMT)

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