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Highlights

  • Qualitas reported a net capital inflow of AUD 2.8 billion in FY24, raising its total committed FUM to AUD 8.9 billion.
  • In FY24, Funds management revenue surged by 21.65% YoY to AUD 53.69 million, while fund management EBITDA grew by 35.48% to AUD 40.31 million.
  • Net profit before tax is projected at AUD 49–55 million in FY25, with EPS between 11.50–12.91 cents.

Qualitas Limited (ASX:QAL) is an alternative real estate investment management company in Australia and has reported a record net capital inflow of AUD 2.8 billion in the financial year 2024 (FY24), which increased its total committed funds under management (FUM) to AUD 8.9 billion. This substantial growth in FUM enabled a 25% increase in normalised Group EBITDA, reaching AUD 41.9 million, compared to AUD 33.6 million in FY23.

Additionally, the average gross investment size grew to AUD 80 million in FY24, marking a 10% annual increase.

Financial Performance Highlights

In FY24, QAL's funds management revenue surged by 21.65% YoY, reaching AUD 53.69 million, compared to AUD 44.13 million in FY23. The company also recorded a significant 35.48% YoY growth in fund management EBITDA, which climbed to AUD 40.31 million, up from AUD 29.75 million in the previous year.

Upcoming Business Updates

The company is set to announce its H1FY25 earnings on 25 February 2025 and the full-year earnings for FY25 will be disclosed on 22 August 2025, with the company's Annual General Meeting (AGM) scheduled for 19 November 2025.

Company Outlook for FY25

QAL anticipates continued demand for flexible commercial real estate financing, driven by persistent housing shortages and stricter lending regulations. Australia's private credit market, which is still in its early stages of growth, presents opportunities influenced by trends in the US and UK.

For FY25, QAL expects growth in base funds management fees and principal income, while transaction fees will be influenced by capital deployment. Despite potential fluctuations in margins due to platform investments, Qualitas maintains its FY25 guidance, projecting a net profit before tax of AUD 49–55 million and earnings per share between 11.50 and 12.91 cents.

Share performance of QAL

QAL shares closed 0.78% higher at AUD 2.59 per share on 4 February 2025. In one year, QAL’s share price has increased by almost 4.02% and in past three months, it has dropped by approximately 4.78%.

52-week high of QAL is AUD 3.00. recorded on 7 November 2024 and 52-week low is AUD 2.09, recorded on 26 June 2024.

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 04 February 2025. The reference data in this report has been partly sourced from REFINITIV.