NEWS UPDATES & ANNOUNCEMENTS WESTERN CAPE
RESIDENTIAL DEVELOPMENT ANNOUNCEMENT : Calgro M3 Group delivers another robust set of results
JSE-listed Calgro M3 , property investment company specialising in development of Integrated Residential Housing Developments and Memorial Parks announced their interim results for the period until end 31 August 2023 . They delivered improved revenue growth of 13.5 % to R688.9 million and an improvement in profits of 22.5 % to R84.8 million .
Wikus Lategan , the CEO of Calgro M3 , indicated that management was proud of this performance , given the current challenging economic conditions in the broader South African landscape . He attributes the results to Calgro M3 ’ s “ deep understanding of the Living Standards Measure (“ LSM ”) markets we serve , the prioritisation of long-term sustainability , expanding market share , and rolling out existing pipeline opportunities in a controlled but adaptable manner .”
The Residential Property Development segment , which remains the largest revenue source ( 97 %), operates in Gauteng and the Western Cape , with eight active projects .
Lategan explained , “ We handed over 949 opportunities in the current period ( August 2022 : 1 193 opportunities ), 2 118 opportunities are under construction , with more than half set for hand-over by February 2024 . Currently , the Group has 1 937 serviced opportunities whilst servicing a further 3 398 opportunities . The revenue pipeline is more than R15 billion , representing 22,357 opportunities .”
The support we have garnered from banks , exemplified by the continued granting of 100 % mortgage bonds , is a testament to our solid standing . In line with the goal of having a wider memorial parks presence we intend to expand its footprint into a new province within the current financial year . We have sufficient liquidity to fund market growth and satisfy demand in both business segments ”.
Real Estate Investor Magazine OCT / NOV 2023 136