Image source: © 2025 Krish Capital Pty. Ltd.

Highlights

  • The company recorded FY25 operating profit of AUD 2,311.2 million, up 13% from FY24.
  • Total portfolio value stood at AUD 85.6 billion, with 96.5% occupancy and NPI growth of 4.3%.
  • Development pipeline includes AUD 12.9 billion in WIP, with 57% focused on data centres and forecast yield of 7.5%.

Bell Potter analyst Andy MacFarlane has assigned a “BUY” rating to Goodman Group (ASX:GMG). The recommendation comes with a price target of AUD 40.75, indicating a potential upside of 20.92% from the current trading price.

Goodman Group Reports FY25 Financial Results

In its financial year 2025 (FY25), reporting a 13% increase in operating profit to AUD 2,311.2 million compared with FY24. Operating earnings per security (OEPS) rose 9.8% to 118.0 cents in FY25. Statutory profit for the period stood at AUD 1,666.4 million, recovering from a loss of AUD 98.9 million in FY24.

Gearing for the period stood at 4.3% (down from 8.4% in FY24) and look-through gearing at 17.3%. The group’s interest cover ratio (ICR) is 47.6x, with look-through ICR at 11.9x. Total liquidity, including undrawn credit lines, is AUD 6.6 billion, providing substantial financial flexibility. Net tangible assets per security increased 25% to AUD 11.03, and distributions for FY25 were set at 30.0 cents per security.

Operational Highlights and Portfolio Performance

Goodman’s total portfolio reached AUD 85.6 billion, up 9% on FY24, supported by revaluation gains of AUD 1.6 billion across the group and partnerships, with AUD 0.3 billion attributable to the group. Portfolio occupancy was 96.5%, while like-for-like net property income (NPI) grew 4.3%.

Development work in progress (WIP) is valued at an estimated AUD 12.9 billion, with a forecast yield on cost of 7.5%. Additionally, Goodman has expanded solar PV capacity to nearly 350 MW installed or committed.