CDI FY2024 Results Announcement
Results announcement
Results for announcement to the market
Name of issuer CDL Investments New Zealand Limited (CDI)
Reporting Period 12 months to 31 December 2024
Previous Reporting Period 12 months to 31 December 2023
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$49,087 57.45%
Total Revenue $49,087 57.45%
Net profit/(loss) from
continuing operations
$15,381 14.25%
Total net profit/(loss) $15,381 14.25%
Interim/Final Dividend
Amount per Quoted Equity
Security
$0.035
Imputed amount per Quoted
Equity Security
$0.01361111
Record Date 2 May 2025
Dividend Payment Date 16 May 2025
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$1.10 $1.08
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
Refer Directors’ Review accompanying this announcement
Authority for this announcement
Name of person
authorised
to make this announcement
Takeshi Ito (Company Secretary)
Contact person for this
announcement
Takeshi Ito (Company Secretary)
Contact phone number 09 353 5077
Contact email address takeshi.ito@cdli.co.nz
Date of release through MAP
24 February 2025
Audited financial statements accompany this announcement.
---
DIRECTORS’ REVIEW
Financial Performance
For the period ended 31 December 2024 CDL Investments New Zealand Limited (“CDI”) recorded a profit after tax of $15.4 million for 2024 (2023:
$13.5 million). Our overall net profit before tax reflected significant improvements in our operational performance for the year, however, these gains
were impacted by the a one-off non-cash deferred tax adjustment of $3.9 million due to the change of government policy on the depreciation of
commercial buildings.
Taking advantage of these more favourable market conditions, CDI saw its profit before tax increase to $26.8 million (2023: $18.7 million). The
increase came as a result of higher property sales & other income which totalled $49.1 million (2023: $31.2 million). These results confirm that
property markets in New Zealand are showing signs of improvement and there is now a positive momentum shift with lower interest rates, improved
access to bank lending and easing inflation.
At 31 December 2024, CDI’s shareholders’ funds increased to $319.6 million (2023: $313.7 million) and total assets also increased to $328.6 million
(2023: $319.2 million). Net tangible assets per share (at book value) also increased to 109.5 cents (2023: 107.9 cents).
The market value of CDI’s property holdings at year end as independently valued was $422.8 million (2023: $412.6 million), comprising $357.7 million
(2023: $349.9 million) for its development property and $65.1 million (2023: $62.7 million) for its investment property portfolios. At cost, the portfolio
was valued at $287.7 million (2023: $260.4 million) in line with CDI’s accounting policies.
Property Portfolio
We recorded a total of 92 residential section sales during 2024, notably from Prestons Park (Christchurch) which performed above expectations along
with contributions from our Kewa and Tram Valley Road subdivisions in Auckland, which are now sold out. Pre-titled sales have begun at our Iona
development in Havelock North and we expect both Prestons Park and Iona to continue to be strong sellers in 2025.
In addition to the 10.8 hectares of land in Nelson that was settled during January 2024, we acquired a further 10.08 hectares of industrial-zoned land
located in Wairakei Road in Harewood, Christchurch. These acquisitions are in line with our long term strategic objectives to ensure that we have a
sufficient pipeline of land to maintain residential sales over the medium to long term. Our commercially zoned land will also help ensure that we are
able to continue growing an investment property portfolio with additional design, build and lease warehousing projects to add value to our portfolio.
As announced in October 2024, we were pleased to have our R2 Growth Cell (Hamilton) and Arataki Road (Havelock North) projects be included in
the Fast-track Approvals legislation, which was enacted on 23 December 2024. The CDL Land team are presently progressing both projects and we
look forward to providing further updates during the course of the year as we progress these exciting two developments.
Post balance date, the purchase of 6.5 hectares of land in Hamilton was settled during January 2025.
Dividend Announcement
The Board has resolved to maintain its fully imputed ordinary dividend at 3.5 cents per share payable on 16 May 2025. Once again, the Board has
balanced the call from shareholders to be rewarded for improved performance against the company’s need to retain cash to fund development works and
acquisitions. The effect of the deferred tax adjustment, while a non-cash item, was also taken into consideration.
The record date will be 2 May 2025. The Dividend Reinvestment Plan will apply to this dividend.
Summary and Outlook
Economic indicators are expected to remain stable within the property markets both for residential and industrial development and we are looking to
advance our development works across our key sites, particularly our two fast track projects in Hamilton and the Hawkes Bay.
From a residential perspective, with a number of pre-titled section sales from our Iona and Prestons Park developments in-hand and work already
underway developing additional stages, these developments will be critical to our results and successes in 2025. Planning works at our two Nelson/
Tasman sites and Worsley Road site in Cashmere, Christchurch, will also be advanced to ensure that initial earthworks can start as quickly as possible
after consents are received. We will also be looking to progress our fast-track applications as soon as feasibly possible.
From a commercial point of view, we are keen to advance development of our industrial-zoned land at Wairakei Road, Christchurch which we acquired
this year. Planning works for this land have commenced and we are looking to prioritise development of this land to meet current demand.
Having strengthened the Board once more with the appointment of Janie Elrick, a highly experienced and knowledgeable independent director, the
Board is confident that good progress will continue across our developments, current sales and development pipeline, as we look to again improve
on last year’s performance during 2025.
On behalf of the Board, I would like to thank Jason and the Management team for their efforts in 2024 and our shareholders for their continued loyalty
to CDI once again.
Desleigh Jameson
Board Chair
24 February 2025
---
24 February 2025
CDL INVESTMENTS RECORDS PROFIT GROWTH IN 2024
AFTER SOLID TURNAROUND
NZX-listed residential property developer CDL Investments New Zealand Limited (NZX: CDI) reported its results for the year ended 31
December 2024 earlier today.
Board Chair Desleigh Jameson said that the results reflected a solid turnaround from 2023 with increased profitability from sales of 92
residential sections from CDL’s Kewa and Tram Valley Road subdivisions in Auckland, and Prestons Park subdivision in Christchurch.
“I’m pleased that we have been able to get CDI back on track in 2024. Property markets have stabilized over the last year reflecting the
impact of lower inflation and interest rates and our shareholders can see that reflected in a 50.0% increase in our gross profit”, she said.
“While our overall net profit result was affected by the one-off non-cash deferred tax adjustment of $3.9 million due to the change of
government policy on the depreciation of commercial buildings, we increased our total revenue by 59.4%. That confirms there is a healthy
demand for our residential sections across the country.
CDI’s CEO Jason Adams echoed Ms. Jameson’s comments, noting that as well as making sales, CDI added to its portfolio for future
development.
“We are still actively acquiring land and in 2024 we settled 20.9 hectares of land in the Nelson/ Tasman and Canterbury regions, the latter
being a strategically important industrial zoned piece of land for our future commercial developments”, he said. .
“We want to ensure that our development pipeline across our residential and commercial portfolios will be secure over the next few years.
While our residential development will definitely continue to be our core business, we have seen how our warehouse projects have added
value to the company and we are keen to capitalize on such opportunities”.
CDI maintained its dividend at 3.5 cents per share which would be payable on 16 May 2025 with a record date of 2 May 2025. The
Dividend Reinvestment Plan would apply to this dividend.
“The Board has balanced the aim of rewarding shareholders for the improvement in performance but at the same time is conscious to
leave enough cash reserves available for the Company to utilise to fund development works and secure additional land if opportunities
arise. 2024 saw Management look at a wide range of potential acquisitions and we believe that 2025 will be more or less the same”, said
Ms. Jameson.
Ms. Jameson also said that while economic indicators are improving we don’t expect the full effect of these to be realised until later in the
year with momentum building into 2026.
“Having further strengthened the Board with the appointment of Janie Elrick, a highly experienced and knowledgeable independent
director, the Board is confident that good progress will continue across our developments, current sales and development pipeline, as we
look to again improve on last year’s performance during 2025”, she said.
Summary of results:
• Profit after tax $15.4
million (2023: $13.5 million)
• Profit before tax $26.8 million (2023: $18.7 million)
• Property sales & other income $49.1 million (2023: $31.2 million)
• Shareholders’ funds $319.7 million (2023: $313.7 million)
• Total assets $328.6 million (2023: $319.2 million)
• Net tangible asset value (at book value) 109.5 cents per share (2023: 107.9cps)
• Earnings per share 5.28
cents per share (2023: 4.64cps)
About CDL Investments New Zealand Limited:
CDL Investments New Zealand Limited (NZX:CDI) has a proud track record of acquiring and developing residential sections in New
Zealand for over two decades. With a focus on creating and developing a range of high-quality residential sections to New Zealanders,
CDI has successfully completed numerous subdivision projects in Auckland, Hamilton, Tauranga, Hastings, Havelock North, Taupo,
Nelson, Christchurch, Rolleston (Canterbury) and Queenstown. CDI is a majority-owned subsidiary of NZX-listed Millennium & Copthorne
Hotels New Zealand Limited.
ENDS
Issued by CDL Investments New Zealand Limited
Enquiries to:
Jason Adams, Chief Executive Officer
027 683 7220
---
Page 1
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Consolidated Statement of Comprehensive Income
For the year ended
For the year ended For the year ended
For the year ended 31 December
31 December 31 December
31 December 2024
20242024
2024
T
he accompanying notes form part of, and should be read in conjunction with these financial statements.
Group
GroupGroup
Group
In thousands of dollarsNote
NoteNote
Note2024
20242024
20242023
20232023
2023
Property sales46,049 28,063
Rental income3,010 2,716
Revenue
RevenueRevenue
Revenue49,059
49,05949,059
49,059
30,779
30,77930,779
30,779
Cost of sales(19,274) (10,926)
Gross profit
Gross profitGross profit
Gross profit29,785
29,78529,785
29,785
19,853
19,85319,853
19,853
Other income28 397
Administrative expenses3, 4(1,070) (1,433)
Property expenses(712) (527)
Selling expenses(1,291) (720)
Other expenses3, 4(2,351) (2,373)
Results from operating activities
Results from operating activitiesResults from operating activities
Results from operating activities24,389
24,38924,389
24,389
15,197
15,19715,197
15,197
Finance income52,381 3,514
Finance costs5(9) (12)
Net finance income
Net finance incomeNet finance income
Net finance income2,372
2,3722,372
2,372
3,502
3,5023,502
3,502
Profit before income tax
Profit before income taxProfit before income tax
Profit before income tax26,761
26,76126,761
26,761
18,699
18,69918,699
18,699
Income tax expense6(11,380) (5,236)
Profit for the period
Profit for the periodProfit for the period
Profit for the period15,381
15,38115,381
15,381
13,463
13,46313,463
13,463
Total comprehensive income for the period
Total comprehensive income for the periodTotal comprehensive income for the period
Total comprehensive income for the period15,381
15,38115,381
15,381
13,463
13,46313,463
13,463
Profit Attributable to:
Profit Attributable to:Profit Attributable to:
Profit Attributable to:
Equity holders15,381 13,463
15,381
15,38115,381
15,381
13,463
13,46313,463
13,463
Basic and diluted earnings per share (cents per share)135.28 4.64
Total comprehensive income attributable to:
Total comprehensive income attributable to: Total comprehensive income attributable to:
Total comprehensive income attributable to:
Equity holders
Equity holdersEquity holders
Equity holders
Page 2
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Consolidated Statement of Changes in Equity
For the year ended
For the year ended For the year ended
For the year ended 31 December
31 December 31 December
31 December 2024
20242024
2024
T
he accompanying notes form part of, and should be read in conjunction with these financial statements.
Group
GroupGroup
Group
In thousands of dollarsNote
NoteNote
Note
Share
Share Share
Share
Capital
Capital Capital
Capital
Retained
Retained Retained
Retained
Earnings
Earnings Earnings
Earnings
Total
Total Total
Total
Equity
Equity Equity
Equity
Balance at 1 January 202365,829 243,052 308,881
Total comprehensive income for the period
Total comprehensive income for the periodTotal comprehensive income for the period
Total comprehensive income for the period
Profit for the period- 13,463 13,463
Total comprehensive income for the period
Total comprehensive income for the periodTotal comprehensive income for the period
Total comprehensive income for the period-
--
-13,463
13,46313,463
13,463
13,463
13,46313,463
13,463
Transactions with owners of the Company
Transactions with owners of the CompanyTransactions with owners of the Company
Transactions with owners of the Company
Shares issued under dividend reinvestment plan131,489 - 1,489
Dividend to shareholders13- (10,108) (10,108)
Supplementary dividend13- (211) (211)
Foreign investment tax credits13- 211 211
Balance at 31 December 2023
Balance at 31 December 2023Balance at 31 December 2023
Balance at 31 December 202367,318
67,31867,318
67,318
246,407
246,407246,407
246,407
313,725
313,725313,725
313,725
Balance at 1 January 202467,318 246,407 313,725
Total comprehensive income for the period
Total comprehensive income for the periodTotal comprehensive income for the period
Total comprehensive income for the period
Profit for the period- 15,381 15,381
Total comprehensive income for the period
Total comprehensive income for the periodTotal comprehensive income for the period
Total comprehensive income for the period-
--
-15,381
15,38115,381
15,381
15,381
15,38115,381
15,381
Transactions with owners of the Company
Transactions with owners of the CompanyTransactions with owners of the Company
Transactions with owners of the Company
Shares issued under dividend reinvestment plan13723 - 723
Dividend to shareholders13- (10,177) (10,177)
Supplementary dividend13- (221) (221)
Foreign investment tax credits13- 221 221
Balance at 31 December 2024
Balance at 31 December 2024Balance at 31 December 2024
Balance at 31 December 202468,041
68,04168,041
68,041
251,611
251,611251,611
251,611
319,652
319,652319,652
319,652
Page 3
CDL Investments New Zealand Limited
C
DL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Consolidated Statement of Financial Position
As at
As at As at
As at 31 December
31 December 31 December
31 December 2024
20242024
2024
For and on behalf of the Board
D
JAMESON, DIRECTOR, 24 February 2025 J ELRICK, DIRECTOR, 24 February 2025
The accompanying notes form part of, and should be read in conjunction with these financial statements.
Group
GroupGroup
Group
In thousands of dollarsNote
NoteNote
Note2024
20242024
20242023
20232023
2023
SHAREHOLDERS' EQUITY
Issued capital1368,041 67,318
Retained earnings251,611 246,407
Total equity
Total equityTotal equity
Total equity319,652
319,652319,652
319,652
313,725
313,725313,725
313,725
Represented by:
NON CURRENT ASSETS
Property, plant and equipment70 114
Development property8222,077 203,034
Investment property936,301 35,834
Investment in associate2 2
Total non current assets
Total non current assetsTotal non current assets
Total non current assets258,450
258,450258,450
258,450
238,984
238,984238,984
238,984
CURRENT ASSETS
Cash and cash equivalents1232,803 2,159
Short term deposits484 50,000
Trade and other receivables117,517 6,578
Development property829,368 21,507
Total current assets
Total current assetsTotal current assets
Total current assets70,172
70,17270,172
70,172
80,244
80,24480,244
80,244
Total assets
Total assetsTotal assets
Total assets328,622
328,622328,622
328,622
319,228
319,228319,228
319,228
NON CURRENT LIABILITIES
Deferred tax liabilities104,354 284
Lease Liability23 57
Total non current liabilities
Total non current liabilitiesTotal non current liabilities
Total non current liabilities4,377
4,3774,377
4,377
341
341341
341
CURRENT LIABILITIES
Trade and other payables2,154 3,820
Employee entitlements151 138
Income tax payable2,254 1,165
Lease Liability34 39
Total current liabilities
Total current liabilitiesTotal current liabilities
Total current liabilities4,593
4,5934,593
4,593
5,162
5,1625,162
5,162
Total liabilities
Total liabilitiesTotal liabilities
Total liabilities8,970
8,9708,970
8,970
5,503
5,5035,503
5,503
Net assets
Net assetsNet assets
Net assets319,652
319,652319,652
319,652
313,725
313,725313,725
313,725
Page 4
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Consolidated Statement of Cash Flows
For the year ended
For the year ended For the year ended
For the year ended 31 December
31 December 31 December
31 December 2024
20242024
2024
T
he accompanying notes form part of, and should be read in conjunction with these financial statements.
Group
GroupGroup
Group
In thousands of dollarsNote
NoteNote
Note2024
20242024
20242023
20232023
2023
CASH FLOWS FROM OPERATING ACTIVITIES
Cash was provided from:
Cash was provided from:Cash was provided from:
Cash was provided from:
Receipts from Customers48,007 29,469
Interest Received2,850 3,509
Cash was applied to:
Cash was applied to:Cash was applied to:
Cash was applied to:
Payments to suppliers(27,317) (14,088)
Payments to employees(1,286) (1,280)
Deposits paid on unconditional contracts for development land19(663) (662)
Purchase of development land(23,720) (20,407)
Income tax paid(6,000) (6,850)
Net cash outflow from operating activities
Net cash outflow from operating activitiesNet cash outflow from operating activities
Net cash outflow from operating activities(8,129)
(8,129)(8,129)
(8,129)
(10,309)
(10,309)(10,309)
(10,309)
CASH FLOWS FROM INVESTING ACTIVITIES
Cash was provided from:
Cash was provided from:Cash was provided from:
Cash was provided from:
Short term deposits50,000 40,075
Cash was applied to:
Cash was applied to:Cash was applied to:
Cash was applied to:
Development of investment property(1,017) (386)
Purchase of plant and equipment(2) (14)
Short term deposits(484) (50,000)
Net cash inflow/(outflow) from investing activities
Net cash inflow/(outflow) from investing activitiesNet cash inflow/(outflow) from investing activities
Net cash inflow/(outflow) from investing activities48,497
48,49748,497
48,497
(10,325)
(10,325)(10,325)
(10,325)
CASH FLOWS FROM FINANCING ACTIVITIES
Cash was applied to:
Cash was applied to:Cash was applied to:
Cash was applied to:
Dividend paid(9,454) (8,619)
Principal repayment of lease liability(49) (44)
Supplementary dividend paid(221) (211)
Net cash outflow from financing activities
Net cash outflow from financing activitiesNet cash outflow from financing activities
Net cash outflow from financing activities(9,724)
(9,724)(9,724)
(9,724)
(8,874)
(8,874)(8,874)
(8,874)
Net increase/(decrease) in cash and cash equivalents30,644 (29,508)
Add opening cash and cash equivalents2,159 31,667
Closing cash and cash equivalents
Closing cash and cash equivalentsClosing cash and cash equivalents
Closing cash and cash equivalents1232,803
32,80332,803
32,803
2,159
2,1592,159
2,159
Page 5
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Consolidated Statement of Cash Flows - continued
For the year ended
For the year ended For the year ended
For the year ended 31 December
31 December 31 December
31 December 2024
20242024
2024
T
he accompanying notes form part of, and should be read in conjunction with these financial statements.
Group
GroupGroup
Group
In thousands of dollarsNote
NoteNote
Note2024
20242024
20242023
20232023
2023
Net profit after taxation15,381 13,463
Adjusted for non cash items:
Adjusted for non cash items:Adjusted for non cash items:
Adjusted for non cash items:
Depreciation of investment property550 933
Depreciation of plant and equipment8 7
Depreciation of right-of-use assets39 34
Income tax expense611,380 5,236
Interest Expense9 12
Adjustments for movements in working capital:
Adjustments for movements in working capital:Adjustments for movements in working capital:
Adjustments for movements in working capital:
Increase in receivables(939) (4,251)
Increase in development property(26,904) (21,393)
Increase/(decrease) in payables(1,653) 2,500
Cash consumed from operating activities
Cash consumed from operating activitiesCash consumed from operating activities
Cash consumed from operating activities(2,129)
(2,129)(2,129)
(2,129)
(3,459)
(3,459)(3,459)
(3,459)
Income tax paid(6,000) (6,850)
Cash outflow from operating activities
Cash outflow from operating activitiesCash outflow from operating activities
Cash outflow from operating activities(8,129)
(8,129)(8,129)
(8,129)
(10,309)
(10,309)(10,309)
(10,309)
RECONCILIATION OF PROFIT FOR THE PERIOD
TO CASH FLOWS FROM OPERATING ACTIVITIES
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 6
MATERIAL ACCOUNTING POLICIES
MATERIAL ACCOUNTING POLICIESMATERIAL ACCOUNTING POLICIES
MATERIAL ACCOUNTING POLICIES
REPORTING ENTITY
REPORTING ENTITYREPORTING ENTITY
REPORTING ENTITY
CDL Investments New Zealand Limited (the “Company”) is a company domiciled in New Zealand, registered under the
Companies Act 1993 and listed on the New Zealand Stock Exchange. The Company is a FMC Reporting Entity in terms
of the Financial Markets Conduct Act 2013 and the Financial Reporting Act 2013.
The financial statements of the Company for the year ended 31 December 2024 comprises the Company and its subsidiary
(together referred to as the “Group”). The registered office is located at Level 7, 23 Customs Street East, Auckland, New
Zealand.
The principal activities of the Group are the development and sale of residential land properties and rental income from
the ownership of development properties and investment properties comprising commercial warehousing and retail shops.
(a)
(a)(a)
(a)Statement of compliance
Statement of complianceStatement of compliance
Statement of compliance
The financial statements have been prepared in accordance with New Zealand Generally Accepted Accounting
Practice (“NZ GAAP”). They comply with New Zealand equivalents to International Financial Reporting Standards
(“NZ IFRS”) and other applicable Financial Reporting Standards, as appropriate for Tier 1 profit-oriented entities.
The financial statements also comply with International Financial Reporting Standards (“IFRS”).
The financial statements were authorised for issuance on 24 February 2025.
(b)
(b)(b)
(b)Basis of preparation
Basis of preparationBasis of preparation
Basis of preparation
The financial statements are presented in New Zealand Dollars ($), which is the Company’s functional currency.
All financial information presented in New Zealand dollars has been rounded to the nearest thousand, unless
otherwise indicated.
The financial statements have been prepared on the historical cost basis and on a going concern basis.
The preparation of financial statements in conformity with NZ IFRS requires management to make judgements,
estimates and assumptions that affect the application of company policies and reported amounts of assets and
liabilities, income and expenses. Estimates and underlying assumptions are reviewed on an ongoing basis.
Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future
period affected.
In particular, information about significant areas of estimation uncertainty and critical judgements in applying
accounting policies that have the most significant effect on the amounts recognised in the financial statements are
described in Note 2 – Accounting Estimates and Judgements.
(
((
(c
cc
c)
))
)Basis of consolidation
Basis of consolidationBasis of consolidation
Basis of consolidation
(i)
(i)(i)
(i)Subsidiaries
SubsidiariesSubsidiaries
Subsidiaries
Subsidiaries are entities controlled by the Company. The Company controls an entity when it is exposed to, or
has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through
its power over the entity. The financial statements of subsidiaries are included in the consolidated financial
statements from the date on which control commences until the date on which control ceases.
Intragroup balances and any unrealised gains and losses or income and expenses arising from intragroup
transactions, are eliminated in preparing these consolidated financial statements.
(
((
(d
dd
d)
))
)Trade and other payables
Trade and other payablesTrade and other payables
Trade and other payables
Trade and other payables are stated at amortised cost.
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 7
Material accounting policies
Material accounting policiesMaterial accounting policies
Material accounting policies
- continued
(
((
(e
ee
e)
))
)Property, plant and equipment
Property, plant and equipmentProperty, plant and equipment
Property, plant and equipment
Items of property, plant and equipment are stated at cost less accumulated depreciation. The cost of purchased
property, plant and equipment is the value of the consideration given to acquire the assets and the value of other
directly attributable costs, which have been incurred in bringing the assets to the location and condition necessary
for their intended service. Depreciation on assets is calculated using the straight-line method to allocate cost to
their residual values over their estimated useful lives, as follows:
Buildings 50 years
Building surfaces and finishes 30 years
Building services 20 - 30 years
Plant and equipment 3 - 10 years
No residual values are ascribed to building surfaces and finishes. Residual values ascribed to building core depend
on the nature, location and tenure of each property. Depreciable values of 10% are ascribed to building core.
(
((
(f
ff
f)
))
)Revenue
RevenueRevenue
Revenue
Revenue represents amounts derived from land and property sales, and is recognised when the customer obtains
control of the property and is able to direct and obtain the benefits from the property. The customer gains control
of the property when the Company receives full and final consideration for the property and the Company transfers
over the Certificate of Title.
Rental income from investment properties under operating leases is recognised on a straight-line basis over the
term of the lease to the extent that future rental increases are known with certainty. Lease incentives granted are
recognised as an integral part of the total rental income.
The Group grants settlement terms of up to 12 months on certain sections as part of the agreement for sale and
purchase for unconditional sales. In some instances, the acquirers are permitted access to the residential sections
for building activities prior to settlement. However, the acquirer does not obtain substantially all of the remaining
benefits of the asset until final settlement of the land and the title has passed.
(
((
(g
gg
g)
))
)New standards
New standardsNew standards
New standards
and interpretations not yet adopted
and interpretations not yet adoptedand interpretations not yet adopted
and interpretations not yet adopted
A number of amendments to standards are effective for annual periods beginning after 1 January 2025 and earlier
application is permitted. The Group has not early adopted the amended standards in preparing the consolidated
financial statements. The Group will be adopting the amended standards from 1 January 2025.
The Group is in the process of finalising the evaluation of impact from the following new and amended standards,
including changes in the Presentation and Disclosure in Financial Statements in line with NZ IFRS 18. The Group
does not expect material financial impact from these new and amended standards but note this may change the
presentation and disclosures of the consolidated financial statements.
1. Amendments to NZ IAS21 Lack of Exchangeability
2.
Amendments to NZ IFRS 9 and NZ IFRS 7 Classification and Measurement of Financial Instruments
3.
Annual Improvements to NZ IFRS Accounting Standards – Volume 11
4.
NZ IFRS 18 Presentation and Disclosure in Financial Statements
5.
IAFRS 19 Subsidiaries without Public Accountability: Disclosures
6.
Amendments to NZ IFRS 10 and NZ IAS 28 Sale or Contribution of Assets between an Investor and its
Associate or Joint Venture
(h)
(h)(h)
(h)New currently effective standards
New currently effective standardsNew currently effective standards
New currently effective standards
The Group adopted all amended standards that became effective during the reporting period, specifically FRS-
44 New Zealand Additional Disclosures of Fees for Audit Firms’ Services. However, these new standards did
not have any impact on the financial position, performance and cash flows of the Group.
The Group has adopted the International Tax Reform – Pillar Two Model Rules – Amendments to NZ IAS 12
approved by the New Zealand External Reporting Board from the issuance date of 10 August 2023. The
amendments provide a temporary mandatory exception from deferred tax accounting and require new
disclosures in the annual financial statements in relation to the implementation of the Pillar Two Model Rules
published by the Organisation for Economic Co-operation and Development. The Group has applied the
exception with immediate effect. The mandatory exception applies retrospectively. The group has a presence in
jurisdictions that have enacted or substantively enacted legislation in relation to the Pillar Two model rules. The
ultimate parent of the group also being captured under the said rule in their country of operation. Refer to income
tax note 6 for detail discussion.
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 8
1.
1.1.
1. S
SS
SEGMENT REPORTING
EGMENT REPORTINGEGMENT REPORTING
EGMENT REPORTING
Operating
Operating Operating
Operating segments
segmentssegments
segments
The operating segments of the Group consists of property operations, comprising the development and sale of
residential land sections and rental income from investment properties.
The Group has determined that its chief operating decision maker is the Board of Directors on the basis that it is this
group which determines the allocation of resources to segments and assesses their performance.
An operating segment is a distinguishable component of the Group:
•that is engaged in business activities from which it earns revenues and incurs expenses,
•whose operating results are regularly reviewed by the Group’s chief operating decision maker to make decisions
on resource allocation to the segment and assess its performance, and
•for which discrete financial information is available.
Geographical segments
Geographical segmentsGeographical segments
Geographical segments
Segment revenue is based on the geographical location of the segment assets. All segment revenues are derived
in New Zealand.
Segment assets are based on the geographical location of the development property. All segment assets are located
in New Zealand.
The Group has no major customer representing greater than 10% of the Group’s total revenues.
In thousands of dollars2024
20242024
2024
2023
20232023
2023
2024
20242024
2024
2023
20232023
2023
2024
20242024
2024
2023
20232023
2023
External revenue46,313 28,285 2,746 2,494 49,059 30,779
Earnings before interest,
depreciation, amortisation & tax22,255 13,698 2,731 2,473 24,986 16,171
Finance income2,381 3,514 - - 2,381 3,514
Finance costs(9) (12) - - (9) (12)
Depreciation and amortisation(8) (7) (550) (933) (558) (940)
Depreciation of right-of-use assets(39) (34) - -(39) (34)
Profit before income tax24,580 17,159 2,181 1,540 26,761 18,699
Income tax expense(6,852) (4,805) (4,528) (431) (11,380) (5,236)
Profit after income tax
17,728 12,354 (2,347) 1,109 15,381 13,463
Cash & cash equivalents and short
term bank deposits33,287 52,159 - - 33,287 52,159
Investment in associates2 2 - - 2 2
Other segment assets259,032 229,456 36,301 35,834 295,333 265,290
Total assets292,321 281,617 36,301 35,834 328,622 317,451
Segment liabilities(2,362) (2,277) - - (2,362) (2,277)
Tax liabilities(2,229) (1,449) (4,379) - (6,608) (1,449)
Total liabilities(4,591) (3,726) (4,379) - (8,970) (3,726)
Plant and equipment expenditure2 57 - - 2 57
Investment property expenditure- - 1,017 386 1,017 386
Residential land development
expenditure22,458 10,135 - - 22,458 10,135
Purchase of land for residential land
development 23,720 20,407 - - 23,720 20,407
Residential land
Residential land Residential land
Residential land
development
developmentdevelopment
development
Investment property
Investment propertyInvestment property
Investment propertyGroup
GroupGroup
Group
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 9
2.
2.2.
2. ACCOUNTING
ACCOUNTING ACCOUNTING
ACCOUNTING ESTIMATES AND JUDGEMENTS
ESTIMATES AND JUDGEMENTSESTIMATES AND JUDGEMENTS
ESTIMATES AND JUDGEMENTS
Estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of
assets and liabilities within the next financial year are outlined below:
•Determining the net realisable value of development property to identify any impairment.
•The impairment test for investment properties (refer to note 9 for key assumptions and estimates used).
Management discussed with the Audit Committee the development, selection and disclosure of the Group’s critical
accounting policies and estimates and the application of these policies and estimates.
Key sources of estimation uncertainty
Key sources of estimation uncertaintyKey sources of estimation uncertainty
Key sources of estimation uncertainty
The Group is exposed to a risk of impairment to development properties should the carrying value exceed the net
realisable value due to market fluctuations in the value of development properties. However, there is no indication of
impairment as the net realisable value determined by an independent registered valuer exceeds the carrying value of
development properties (see Note 8).
The valuer adopts the Sales Comparison Approach to determine rates per hectare/per square metre for block land
holdings in addition to recent section sales to derive the gross realisation values. The net realisable values are
determined from gross realisation values after deducting appropriate selling costs.
For residential land under development or is due to commence development in the short term, the valuer adopts the
Residual Subdivision Approach. This approach considers the gross realisation values of the sections less costs
associated with development including GST, sales commissions, legal fees, civil and development costs including
Council contributions, professional fees, and contingency allowances. In addition, holding costs are deducted for the
estimated timing of development and sell down periods.
In both valuation approaches, the valuer makes assumptions relating to section prices, sell down periods, consumer
confidence, unemployment rates, interest rates, and external economic factors. These assumptions are sensitive to
economic factors such as net migration, Official Cash Rate set by the Reserve Bank, inflation, residential market
activity, and business confidence.
The Group is also exposed to a risk of impairment to investment properties should the carrying value exceed the
recoverable amount due to market fluctuations in the value of investment properties. However, there is no indication
of impairment as the recoverable amount determined by an independent registered valuer exceeds the carrying value
of investment properties (see Note 9). In determining the recoverable amount, the valuer adopted primarily the income
capitalisation approach with discounted cash flow and depreciated replacement cost approaches used to corroborate.
The income capitalisation approach assessed market rent for each asset is capitalised in perpetuity from the valuation
date at an appropriate capitalisation rate. The adopted capitalisation rate reflects the nature, location, and tenancy
profile of the property together with current market investment criteria as evidenced by recent sales. The recoverable
amount is sensitive to movements in the adopted capitalisation rate and the market rent.
Climate
ClimateClimate
Climate-
--
-related disclosure
related disclosurerelated disclosure
related disclosure
The Group continues to assess the impact of climate change on its business and its tangible assets. Climate change
poses significant risks and challenges for the land development industry (residential and commercial), as it affects
the physical, operational, and financial aspects of land development. Extreme weather events, such as floods, storms,
heatwaves, and droughts, can damage existing infrastructure, disrupt the supply chain, reduce the ability to conduct
and complete works, and increase the insurance and development and acquisition costs. While property developers
and landowners are increasingly cognisant of the climate-related impacts on their properties, the investment
community have yet to price in the climate-related impacts on asset values. This means that the current market value
of residential and commercial land may not reflect the potential losses or gains associated with their exposure to
climate risks or their adoption of sustainability measures, decarbonisation initiatives, and sound environmental
stewardship. While valuers have made no explicit adjustments to the recoverable amount of the selected properties
in respect of climate change matters, it is anticipated that climate change may have a greater influence on valuations
in the future as investment markets place a greater emphasis on climate change and a property's environmental
resilience and credentials. Known climate risks are reflected in the adopted capitalisation and discount rates.
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
Page 10
3.
3.3.
3. ADMINISTRATI
ADMINISTRATIADMINISTRATI
ADMINISTRATIVE
VEVE
VE
AND OTHER EXPENSES
AND OTHER EXPENSESAND OTHER EXPENSES
AND OTHER EXPENSES
The following items of expenditure are included in administrative and other expenses:
4.
4.4.
4. PERSONNEL EXPENSES
PERSONNEL EXPENSESPERSONNEL EXPENSES
PERSONNEL EXPENSES
The Group’s net obligation in respect of long-term service benefits, is the amount of future benefit that employees
have earned in return for their service in the current and prior periods. The obligation is calculated using their
expected remunerations and an assessment of likelihood the liability will arise.
5.
5.5.
5. NET FINANCE INCOME
NET FINANCE INCOMENET FINANCE INCOME
NET FINANCE INCOME
Finance income comprises interest receivable on funds invested that are recognised in profit or loss. Interest income
is recognised in profit or loss as it accrues, using the effective interest method.
Finance costs comprises interest costs on lease liabilities that are recognised in the income statement.
6
66
6.
..
. INCOME TAX EXPENSE
INCOME TAX EXPENSEINCOME TAX EXPENSE
INCOME TAX EXPENSE
Recognised in the
Recognised in the Recognised in the
Recognised in the statement of comprehensive income
statement of comprehensive incomestatement of comprehensive income
statement of comprehensive income
In thousands of dollarsGroup
GroupGroup
Group
Note
NoteNote
Note2024
20242024
20242023
20232023
2023
Fees incurred for services received from audit firm
- Audit fees current year
104
91
- Out of scope audit fees relating to prior year6 -
- Tax compliance4 4
- Greenhouse gas reporting assurance
26
-
- Strategy support advisory services- 74
Depreciation597 974
Directors' fees16126 130
Rental payments90 90
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Wages and Salaries1,045 1,129
Employee related expenses and benefits236 145
Increase in liability for long-service leave5 6
1,286
1,2861,286
1,286
1,280
1,2801,280
1,280
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Finance income2,381 3,514
Finance costs(9) (12)
Net finance income2,372
2,3722,372
2,372
3,502
3,5023,502
3,502
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Current tax expense
Current tax expenseCurrent tax expense
Current tax expense
Current year7,336 5,105
Adjustments for prior years(26) -
7,310 5,105
Deferred tax expense
Deferred tax expenseDeferred tax expense
Deferred tax expense
Origination and reversal of temporary differences4,070 131
4,070 131
Total income expense in the statement of comprehensive income11,380 5,236
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 11
6.
6.6.
6. INCOME TAX EXPENSE
INCOME TAX EXPENSE INCOME TAX EXPENSE
INCOME TAX EXPENSE -
--
-
continued
Reconciliation of effective tax rate
Reconciliation of effective tax rateReconciliation of effective tax rate
Reconciliation of effective tax rate
Income tax for the year comprises current and deferred tax. Income tax is recognised in profit or loss except to the
extent that it relates to items recognised directly in equity or other comprehensive income, in which case it is
recognised in equity or in other comprehensive income.
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively
enacted at the balance date, and any adjustment to tax payable in respect of previous years.
Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and liabilities
for financial reporting purposes and the amounts used for taxation purposes. The temporary differences relating to
investments in subsidiaries are not provided for to the extent that they will probably not reverse in the foreseeable
future. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the
carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the balance date.
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available
against which the asset can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable
that the related tax benefit will be realised.
Removal of tax depreciation on commercial and industrial buildings
Removal of tax depreciation on commercial and industrial buildingsRemoval of tax depreciation on commercial and industrial buildings
Removal of tax depreciation on commercial and industrial buildings
From the 2020/21 tax year, the Group has been depreciating its commercial and industrial buildings on a 2%
diminishing value basis, following the reinstatement of tax depreciation for buildings with a useful life of 50 years or
more as part of the government's COVID-19: Economic Response Package.
Effective from 1 April 2024, the tax depreciation rate reverted to 0%, impacting the tax value of buildings held from
the 2024/25 tax year onwards. The Group recognises deferred tax on temporary differences at the tax rates expected
to apply when these differences reverse, using the tax rates enacted or substantively enacted at the balance sheet
date. The change in tax legislation effective from 1 April 2024 eliminates the tax base of commercial and industrial
buildings, thereby creating a temporary difference that leads to a deferred tax liability. This liability is recognised
unless the initial recognition exemption (IRE) under NZ IAS 12 applies, which precludes the recognition of deferred
tax on initial recognition of an asset or liability in a transaction that is not a business combination and at the time of
the transaction affects neither accounting nor taxable profit and is a non-cash item.
Deferred Tax on Buildings
Deferred Tax on BuildingsDeferred Tax on Buildings
Deferred Tax on Buildings
The impact of the removal of tax depreciation on commercial and industrial buildings, which reduced the tax base
to nil creating a significant taxable temporary difference for all the Group’s hotel assets and commercial buildings,
classified as either Property, Plant and Equipment or investment properties, irrespective of their date of
acquisition. The recognition of this temporary difference as a deferred tax liability depends on whether the
buildings were acquired through business combination and whether the initial recognition exception (IRE) in NZ
IAS 12 was previously applied.
The change in tax legislation effective from 1 April 2024 eliminates the tax base for these assets, thereby creating a
temporary difference that leads to a deferred tax liability (DTL). As part of recognising the DTL, a one-off tax expense
of $3.9m has been recognised within the year ended 31 December 2024.
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Profit before income tax26,761 18,699
Income tax using the company tax rate of 28% (2023: 28%)7,493 5,236
Removal of deductibility of tax depreciation for industrial and commercial buildings3,913 -
Over provided in prior years(26) -
11,380 5,236
Effective tax rate (excluding off-one changes on tax depreciation impact)28%28%
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 12
6.
6.6.
6. INCOME TAX EXPENSE
INCOME TAX EXPENSE INCOME TAX EXPENSE
INCOME TAX EXPENSE -
--
-
continued
Pillar 2
Pillar 2Pillar 2
Pillar 2
The ultimate parent of the Group operates in multiple jurisdictions, some of which have enacted or substantively
enacted tax legislation to implement the Pillar Two Model Rules from a date commencing on or after 1 January 2024.
As the Pillar Two Model Rules are not effective in New Zealand, for the current financial year, there is no current tax
impact in the Group’s financial statements for the year ended 31 December 2024. The Group has applied a
temporary mandatory exception from deferred tax accounting in respect of the Pillar Two Model Rules and will
account for any top-up tax liabilities arising from the application of the rules as a current tax when it is incurred.
Under the Pillar Two Model Rules, the Group will be required to pay a top-up tax if the effective tax rate per
jurisdiction (calculated using the prescribed approach) is below the 15% minimum rate.
The group continues to monitor and evaluate the domestic implementation of the Pillar Two rules in the jurisdictions
in which it operates. The group's potential exposure to Pillar Two taxes, based on legislation that is enacted or
substantively enacted, is not expected to be material.
7.
7.7.
7. IMPUTATION CREDITS
IMPUTATION CREDITSIMPUTATION CREDITS
IMPUTATION CREDITS
8
88
8.
..
. DEVELOPMENT PROPERTY
DEVELOPMENT PROPERTYDEVELOPMENT PROPERTY
DEVELOPMENT PROPERTY
Development property is carried at the lower of cost and net realisable value. Cost includes the cost of acquisition,
development, and holding costs such as interest. Interest and other holding costs incurred after completion of
development are expensed as incurred. All holding costs are written off through profit or loss in the year incurred with
the exception of interest holding costs which are capitalised during the period when active development is taking
place. No interest (2023: nil) has been capitalised during the year.
The Group’s inventory of development property is reviewed at each balance date to ensure its carrying amount is
recorded at the lower of its cost and net realisable value. The net realisable value of the development property is
the estimated selling price in the ordinary course of business less the estimated costs of completion and costs
necessary to make the sale. The determination of net realisable value of inventory involves estimates taking into
consideration prevailing market conditions, current prices and expected date of commencement and completion of
the project, the estimated future selling price, cost to complete projects and selling costs. An impairment loss is
recognised in the income statement to the extent that the carrying value of development property exceeds its
estimated net realisable value.
The fair value of development property held at 31 December 2024 was determined by an independent registered
valuer, DM Koomen SPINZ of Extensor Advisory Limited. The fair value is determined to estimate the net realisable
value. The net realisable value as determined by the independent registered valuer, exceeds the carrying value of
development property.
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Imputation credits available for use in subsequent periods98,506 96,243
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Expected to settle greater than one year222,077 203,034
Expected to settle within one year29,368 21,507
Development property251,445 224,541
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 13
9.
9.9.
9. INVESTMENT PROPERTY
INVESTMENT PROPERTYINVESTMENT PROPERTY
INVESTMENT PROPERTY
Investment properties consist of commercial warehousing at Wiri in Auckland, retail shops at Prestons Park in
Christchurch, and retail shops at Stonebrook in Rolleston which are fully operational. The fair value of investment
properties held at 31 December 2024 was determined by an independent registered valuer, DM Koomen SPINZ of
Extensor Advisory Limited as $65.1 million (2023: $62.7 million). The fair value measurement was categorised as
Level 3 (highest of the fair value hierarchy) based on the inputs to the valuation methodology used i.e. primarily the
income capitalisation approach with discounted cash flow and depreciated replacement cost approaches used to
corroborate.
Investment properties are properties held either to earn rental income or capital appreciation or for both, but not for
sale in the ordinary course of business, use in the production or supply of goods and services, or for administrative
purposes.
Investment properties are stated at cost less accumulated depreciation and accumulated impairment losses.
Depreciation on the investment properties is computed by asset classes using the policy disclosed in Note (e). Cost
includes expenditure that is directly attributable to the acquisition of the investment properties. Costs of self-
constructed investment properties include costs of materials and direct labour, any other costs directly attributable
to bringing the investment properties to a working condition for their intended use and capitalised borrowing costs.
Gains and losses on disposal of investment properties (calculated as the difference between the net proceeds from
disposal and the carrying amounts of the investment properties) are recognised in the profit and loss.
Impairment
ImpairmentImpairment
Impairment
Annual reviews of the carrying amounts of investment properties are undertaken for indicators of impairment. Where
indicators of impairment were identified, the recoverable amounts were estimated based on internal or external
valuations undertaken. The cash generating units (CGU) are individual properties. The recoverable amounts of the
investment properties, being the higher of the fair value less costs to sell and value-in-use, were predominantly
determined using the fair value less costs to sell basis and were estimated using primarily the income capitalisation
approach with discounted cash flow and depreciated replacement cost approaches used to corroborate.
In thousands of dollarsGroup
GroupGroup
Group
Freehold
Freehold Freehold
Freehold
Land
Land Land
Land Buildings
Buildings Buildings
Buildings
Work in
Work in Work in
Work in
Progress
Progress Progress
Progress Total
Total Total
Total
Cost
CostCost
Cost
Balance at 1 January 2023659 36,331 - 36,990
Additions- - 386 386
Transfers between categories- 386 (386) -
Balance at 31 December 2023659 36,717 - 37,376
Balance at 1 January 2024659 36,717 - 37,376
Additions- - 1,017 1,017
Balance at 31 December 2024659 36,717 1,017 38,393
Depreciation and impairment losses
Depreciation and impairment lossesDepreciation and impairment losses
Depreciation and impairment losses
Balance at 1 January 2023- (609) - (609)
Depreciation charge for the year- (933) - (933)
Balance at 31 December 2023- (1,542) - (1,542)
Balance at 1 January 2024- (1,542) - (1,542)
Depreciation charge for the year- (550) - (550)
Balance at 31 December 2024- (2,092) - (2,092)
Carrying amounts
Carrying amountsCarrying amounts
Carrying amounts
Balance at 1 January 2023659 35,722 - 36,381
Balance at 31 December 2023
Balance at 31 December 2023Balance at 31 December 2023
Balance at 31 December 2023659
659659
659
35,175
35,17535,175
35,175
-
--
-
35,834
35,83435,834
35,834
Balance at 1 January 2024659 35,175 - 35,834
Balance at 31 December 2024
Balance at 31 December 2024Balance at 31 December 2024
Balance at 31 December 2024659
659659
659
34,625
34,62534,625
34,625
1,017
1,0171,017
1,017
36,301
36,30136,301
36,301
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
age 14
9.
9.9.
9. INVESTMENT PROPERTY
INVESTMENT PROPERTY INVESTMENT PROPERTY
INVESTMENT PROPERTY –
––
–
Impairment
Impairment Impairment
Impairment –
––
–
continued
continuedcontinued
continued
During the year, management identified two (2023: two) properties with a carrying value of $14.5 million (2023: $13.7
million) that had indicators of impairment. Average market capitalisation rates appropriate to the properties range
from 6.25% to 7.25% (2023: 6.50% to 7.00%). Average market rent per square metre rates appropriate to the
properties range from $318 to $396 (2023: $341 to $358). There is no impairment expense recognised in the period
(2023: no impairment).
Operating leases
Operating leasesOperating leases
Operating leases
The Group leases out its investment property. The Group has classified these leases as operating leases, because
they do not transfer substantially all of the risks and rewards incidental to the ownership of the assets.
Rental income recognised by the Group during 2024 was $2.7 million (2023: $2.5 million).
The following table sets out a maturity analysis of lease payments, showing the undiscounted lease payments to be
received after the reporting date:
1
11
10
00
0.
..
. DEFERRED TAX ASSETS AND LIABILITIES
DEFERRED TAX ASSETS AND LIABILITIESDEFERRED TAX ASSETS AND LIABILITIES
DEFERRED TAX ASSETS AND LIABILITIES
Recognised deferred tax assets and liabilities
Recognised deferred tax assets and liabilitiesRecognised deferred tax assets and liabilities
Recognised deferred tax assets and liabilities
Deferred tax assets and liabilities are attributable to the following:
Movement in deferred tax balances during the year
Movement in deferred tax balances during the yearMovement in deferred tax balances during the year
Movement in deferred tax balances during the year
Movement in deferred tax balances during the year
Movement in deferred tax balances during the yearMovement in deferred tax balances during the year
Movement in deferred tax balances during the year
Refer note 6 for the deferred tax impact of the removal of tax depreciation on commercial and industrial buildings.
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Within 1 Year2,745 2,665
More than 1 year but within 2 years2,793 2,675
More than 2 years but within 3 years2,835 2,722
More than 3 years but within 4 years2,784 2,760
More than 4 years but within 5 years1,947 2,668
After 5 years708 2,553
13,812
13,81213,812
13,812
16,043
16,04316,043
16,043
In thousands of dollarsGroup
GroupGroup
Group
Assets
AssetsAssets
AssetsLiabilities
LiabilitiesLiabilities
LiabilitiesNet
NetNet
Net
2024
20242024
20242023
20232023
20232024
20242024
20242023
20232023
20232024
20242024
20242023
20232023
2023
Investment Property- - (4,379) (345) (4,379) (345)
Development Property- - (81) (81) (81) (81)
Employee Benefits106 142 - - 106 142
Net tax assets/(liabilities)106
106106
106
142
142142
142
(4,460)
(4,460)(4,460)
(4,460)
(426)
(426)(426)
(426)
(4,354)
(4,354)(4,354)
(4,354)
(284)
(284)(284)
(284)
In thousands of dollarsGroup
GroupGroup
Group
Investment Property(156) (189) (345)
Development Property(81) - (81)
Employee Benefits84 58 142
(153)
(153)(153)
(153)
(131)
(131)(131)
(131)
(284)
(284)(284)
(284)
Balance at 1 Jan
Balance at 1 Jan Balance at 1 Jan
Balance at 1 Jan
2023
2023 2023
2023
Recognised in
Recognised in Recognised in
Recognised in
profit or loss
profit or loss profit or loss
profit or loss
Balance at 31 Dec
Balance at 31 Dec Balance at 31 Dec
Balance at 31 Dec
2023
2023 2023
2023
In thousands of dollarsGroup
GroupGroup
Group
Investment Property(345) (4,034) (4,379)
Development Property(81) - (81)
Employee Benefits142 (36) 106
(284)
(284)(284)
(284)
(4,070)
(4,070)(4,070)
(4,070)
(4,354)
(4,354)(4,354)
(4,354)
Balance at 1 Jan
Balance at 1 Jan Balance at 1 Jan
Balance at 1 Jan
2024
2024 2024
2024
Recognised in
Recognised in Recognised in
Recognised in
profit or loss
profit or loss profit or loss
profit or loss
Balance at 31 Dec
Balance at 31 Dec Balance at 31 Dec
Balance at 31 Dec
2024
2024 2024
2024
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
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11.
11.11.
11. TRADE AND OTHER RECEIVABLES
TRADE AND OTHER RECEIVABLESTRADE AND OTHER RECEIVABLES
TRADE AND OTHER RECEIVABLES
None of the trade and other receivables are impaired.
Trade and other receivables are stated at their cost less impairment losses. The Group applies the simplified approach
to providing for expected credit losses prescribed by NZ IFRS 9, which permits the use of the lifetime expected credit
loss provision for all trade receivables. The allowance for doubtful debts on trade receivables are either individually
or collective assessed based on number of days overdue. The Group takes into account the historical loss experience
and incorporate forward looking information and relevant macroeconomic factors.
12
1212
12.
..
. CASH AND CASH
CASH AND CASH CASH AND CASH
CASH AND CASH EQUIVALENTS
EQUIVALENTSEQUIVALENTS
EQUIVALENTS
Cash and cash equivalents comprise cash balances and call deposits with an original maturity of three months or
less.
13.
13.13.
13. CAPITAL AND RESERVES
CAPITAL AND RESERVESCAPITAL AND RESERVES
CAPITAL AND RESERVES
Share capital
Share capitalShare capital
Share capital
All shares carry equal rights and rank pari passu with regard to residual assets of the Company and do not have a
par value. At 31 December 2024, the authorised share capital consisted of 291,823,552 fully paid ordinary shares
(2023: 290,784,833).
Dividend Reinvestment Plan
Dividend Reinvestment PlanDividend Reinvestment Plan
Dividend Reinvestment Plan
In 1998, the Company adopted a Dividend Reinvestment Plan pursuant to which shareholders may elect to receive
ordinary dividends in the form of either cash or additional shares in the Company. The additional shares are issued
at the weighted average market price for the shares traded over the first five business days immediately following the
Record Date.
Accordingly, the Company issued 1,038,719 additional shares under the Dividend Reinvestment Plan on 16 May
2024 (2023: 1,977,136) at a strike price of $0.6961 per share issued (2023: $0.7530).
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Trade receivables672 325
Other receivables and prepayments6,845 6,253
Trade and other receivables7,517
7,5177,517
7,517
6,578
6,5786,578
6,578
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Bank balances32,803 2,084
Call deposits- 75
Cash and cash equivalents32,803
32,80332,803
32,803
2,159
2,1592,159
2,159
Company
CompanyCompany
Company
2024
20242024
20242024
20242024
20242023
20232023
20232023
20232023
2023
Shares
Shares Shares
Shares
'000s
'000s '000s
'000s
$000's
$000's $000's
$000's
Shares
Shares Shares
Shares
'000s
'000s '000s
'000s $000's
$000's $000's
$000's
Shares Issued 1 January290,785 67,318 288,808 65,829
Issued under dividend reinvestment plan1,039 723 1,977 1,489
Total shares issued and outstanding291,824
291,824291,824
291,824
68,041
68,04168,041
68,041
290,785
290,785290,785
290,785
67,318
67,31867,318
67,318
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
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13.
13.13.
13. CAPITAL AND RESERVES
CAPITAL AND RESERVESCAPITAL AND RESERVES
CAPITAL AND RESERVES
-
--
-
continued
continuedcontinued
continued
Dividends
DividendsDividends
Dividends
The following dividends were declared and paid during the year 31 December 2024:
The following dividends were declared by the directors on 20 February 2025. The dividends have not been provided
for and there are no income tax consequences. It is anticipated that a portion of the dividends declared will be paid
by way of shares through the Dividend Reinvestment Plan.
Basic and diluted earnings per share
Basic and diluted earnings per shareBasic and diluted earnings per share
Basic and diluted earnings per share
The basic earnings per share and the diluted earnings per share are the same. The calculation of basic and diluted
earnings per share at 31 December 2024 was based on the profit attributable to ordinary shareholders of $15,381,000
(2023: $13,463,000); and weighted average number of ordinary shares outstanding during the year ended 31
December 2024 of 291,477,000 (2023: 290,126,000), calculated as follows:
Profit attributable to ordinary shareholders (basic & diluted)
Profit attributable to ordinary shareholders (basic & diluted)Profit attributable to ordinary shareholders (basic & diluted)
Profit attributable to ordinary shareholders (basic & diluted)
Weighted average number of
Weighted average number of Weighted average number of
Weighted average number of ordinary shares
ordinary sharesordinary shares
ordinary shares
Earnings per share (basic & diluted)
Earnings per share (basic & diluted)Earnings per share (basic & diluted)
Earnings per share (basic & diluted)
Supplementary dividend and foreign investment tax credit
Supplementary dividend and foreign investment tax creditSupplementary dividend and foreign investment tax credit
Supplementary dividend and foreign investment tax credit
The Company pays a supplementary dividend to portfolio non-resident investors to offset non-resident withholding
tax payable on imputed dividends from the Company. Under the foreign investor tax credit (FITC) rules, the Company
receives a tax credit equal to the supplementary dividend paid. The supplementary dividend is based on the amount
of imputation credit attached to the dividend.
In thousands of dollarsCompany
CompanyCompany
Company
2024
20242024
20242023
20232023
2023
3.5 cents per qualifying oridnary share (2023: 3.5 cents)10,177 10,108
10,177
10,17710,177
10,177
10,108
10,10810,108
10,108
In thousands of dollarsCompany
CompanyCompany
Company
2024
20242024
2024
3.5 cents ordinary dividend per qualitying oridnary share10,214
3.5 cents total dividend per qualitying oridnary share10,214
10,21410,214
10,214
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Profit for the period15,381 13,463
Profit attributable to ordinary shareholders15,381
15,38115,381
15,381
13,463
13,46313,463
13,463
Company
CompanyCompany
Company
2024
20242024
20242023
20232023
2023
Shares
Shares Shares
Shares
'000s
'000s '000s
'000s
Shares
Shares Shares
Shares
'000s
'000s '000s
'000s
Issued ordinary shares at 1 January290,785 288,808
Effect of 1,038,719 shares issued in May 2024692 -
Effect of 1,977,136 shares issued in May 2023- 1,318
Weighted average number of ordinary shares at 31 December291,477
291,477291,477
291,477
290,126
290,126290,126
290,126
Group
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Basic and Diluted Earnings per share (cents per share)5.28 4.64
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
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14
1414
14.
..
. FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTSFINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS
The Group only holds non-derivative financial instruments which comprise trade and other receivables, cash and cash
equivalents, short term deposits, and trade and other payables.
Non-derivative financial instruments are recognised initially at fair value plus, for instruments not at fair value through
profit or loss, any directly attributable transaction costs. Subsequent to initial recognition non-derivative financial
instruments are measured as described below.
On initial recognition, a financial asset is classified as subsequently measured at: Amortised cost; FVOCI- debt
investment; FVOCI- equity investment; or FVTPL. Financial liabilities are classified as measured at amortised cost or
FVTPL.
Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business
model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the
first reporting period following the change in the business model.
A financial asset is measured at amortised cost if it meets both of the following conditions and not designated at
FVTPL:
•It is held within a business model whose objective is to hold assets to collect contractual cash flows: and
•Its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest
on the principal amount outstanding.
Financial assets are derecognised if the Group’s contractual rights to the cash flows from the financial assets expire
or if the Group transfer the financial asset to another party without retaining control or substantially all risks and
rewards of the asset.
Financial liabilities are derecognised if the Group’s obligations specified in the contract expire or are discharged or
cancelled.
Exposure to credit and interest rate risks arises in the normal course of the Group’s business.
Credit risk
Credit riskCredit risk
Credit risk
Management has a credit policy in place and the exposure to credit risk is monitored on an ongoing basis. Credit
evaluations are performed on all customers requiring credit over a certain amount. The Group does not require
collateral in respect of financial assets.
The key factor in managing risk is that the Certificate of Title is only transferred to the purchaser when all cash is
received in full upon settlement.
The Group’s exposure to credit risk is mainly influenced by its customer base. As such it is concentrated to the default
risk of its industry. However, geographically there is no credit risk concentration as the Company spreads the risk by
operating in three regions in the North Island and one region in the South Island.
Cash, cash equivalents, and term deposits are allowed only in liquid securities and only with counterparties (minimum
rating of Moody’s Aa3) that have a credit rating equal to or better than the Group. Given their high credit ratings,
management does not expect any counterparty to fail to meet its obligations.
At the balance date there were no significant concentrations of credit risk. The maximum exposure to credit risk is
represented by the carrying amount of each financial asset.
In thousands of dollarsGroup
GroupGroup
Group
Note
NoteNote
Note2024
20242024
20242023
20232023
2023
Financial Assets
Financial AssetsFinancial Assets
Financial Assets
Cash and cash equivalents1232,803 2,159
Short term deposits484 50,000
Trade and other receivables117,517 6,578
Financial Liabilities
Financial LiabilitiesFinancial Liabilities
Financial Liabilities
Trade and other payables2,154 3,820
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
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14.
14.14.
14. FINANCIAL
FINANCIAL FINANCIAL
FINANCIAL INSTRUMENTS
INSTRUMENTSINSTRUMENTS
INSTRUMENTS
-
--
-
continued
continuedcontinued
continued
Interest rate risk
Interest rate riskInterest rate risk
Interest rate risk
The Group has no debt (2023: nil) and is only exposed to movements in interest rates on short-term investments
which is explained in the sensitivity analysis. Interest income is earned on the cash and cash equivalent balance and
the short-term deposits balance.
Sensitivity analysis
Sensitivity analysisSensitivity analysis
Sensitivity analysis
The Group manages interest rate risk by maximising its interest income through forecasting its cash requirements
and cash inflows. Over the longer-term, however, permanent changes in interest rates will have an impact on profit.
An increase of one percentage point in interest rates would have increased the Group’s profit before income tax by
$473,000 (2023: $641,000) in the current period. Conversely, a decrease of one percentage point in interest rates
would have decreased the Group’s profit before income tax by $473,000 (2023: $641,000) in the current period.
Effective interest and repricing analysis
Effective interest and repricing analysisEffective interest and repricing analysis
Effective interest and repricing analysis
In respect of income earning financial assets, the following tables indicate the effective interest rates at the balance
sheet date and the periods in which they reprice.
Liquidity risk
Liquidity riskLiquidity risk
Liquidity risk
Liquidity risk represents the Group’s ability to meet its contractual obligations. The Group evaluates its liquidity
requirements on an ongoing basis. In general, the Group generates sufficient cash flows from its operating activities
to meet its obligations arising from its financial liabilities. It is the Group’s policy to provide credit and liquidity
enhancement only to wholly owned subsidiaries.
The following table sets out the contractual cash flows for all financial liabilities that are settled on a gross cash flow
basis:
Estimation of fair values
Estimation of fair valuesEstimation of fair values
Estimation of fair values
The following summarises the major methods and assumptions used in estimating the fair values of financial
instruments reflected in the above tables.
(a) Cash, accounts receivable, accounts payable and related party receivables. The carrying amount for these
balances approximate their fair value because of the short maturities of these items.
Ca
CaCa
Capital management
pital managementpital management
pital management
The Group’s capital includes share capital and retained earnings.
The Group’s policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence and
to sustain future development of the business. The impact of the level of capital on shareholders’ return is also
recognised and the Group recognises the need to maintain a balance between the higher returns that might be
possible with greater gearing and the advantages and security afforded by a sound capital position.
Group
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Note
NoteNote
Note
Effective
Effective Effective
Effective
interest
interest interest
interest
rate
raterate
rate
Total
TotalTotal
Total6
6 6
6
months
months months
months
or less
or lessor less
or less
6-12
6-126-12
6-12
months
monthsmonths
months
Effective
Effective Effective
Effective
interest
interest interest
interest
rate
raterate
rate
Total
TotalTotal
Total6
6 6
6
months
months months
months
or less
or lessor less
or less
6-12
6-126-12
6-12
months
monthsmonths
months
Cash and cash
equivalents
12
0.00% to
4.25%
32,803 32,803 -
0.00% to
5.77%
2,159 2,159 -
Short term
deposits
5.24% to
5.46%
484 75 409
5.79% to
6.05%
50,000 45,000 5,000
33,287 32,878 409 52,159 47,159 5,000
In thousands of
dollars
In thousands of dollarsGroup
GroupGroup
Group
2024
2024 2024
2024 2023
2023 2023
2023
Balance
Balance Balance
Balance
Sheet
SheetSheet
Sheet
6 months
6 months 6 months
6 months
or less
or lessor less
or less
6-12
6-126-12
6-12
months
monthsmonths
months
Balance
Balance Balance
Balance
Sheet
SheetSheet
Sheet
6 months
6 months 6 months
6 months
or less
or lessor less
or less
6-12
6-126-12
6-12
months
monthsmonths
months
Trade and other payables2,154 2,154 - 3,820 1,625 2,195
2,154
2,1542,154
2,154
2,154
2,1542,154
2,154
-
--
-
3,820
3,8203,820
3,820
1,625
1,6251,625
1,625
2,195
2,1952,195
2,195
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
P
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14.
14.14.
14. FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTSFINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS
–
––
–
Capital management
Capital management Capital management
Capital management -
--
-
continued
continuedcontinued
continued
The Group is not subject to any external imposed capital requirements. The allocation of capital is, to a large extent,
driven by optimisation of the return achieved on the capital allocated. The Group’s policies in respect of capital
management and allocation are reviewed regularly by the Board of Directors. There have been no material changes
in the Group’s management of capital during the period.
15
1515
15.
..
. CAPITAL AND LAND DEVE
CAPITAL AND LAND DEVECAPITAL AND LAND DEVE
CAPITAL AND LAND DEVELOPMENT COMMITMENTS
LOPMENT COMMITMENTSLOPMENT COMMITMENTS
LOPMENT COMMITMENTS
As at 31 December 2024, the Group had entered into contractual commitments for development expenditure and
unconditional purchases of land. Development expenditure represents amounts contracted and forecast to be
incurred in 2025 in accordance with the Group’s development programme.
16
1
616
16.
..
. RELATED PARTIES
RELATED PARTIESRELATED PARTIES
RELATED PARTIES
Identity of related parties
Identity of related partiesIdentity of related parties
Identity of related parties
The Company has a related party relationship with its wholly owned subsidiary, CDL Land New Zealand Limited, as
well as a fellow subsidiary of its parent (see Note 17), and with its Directors and executive officer.
Transactions with key management personnel
T
ransactions with key management personnelTransactions with key management personnel
Transactions with key management personnel
None of the Directors of the Company and their immediate relatives have control of the voting shares of the Company.
Key management personnel include the Board comprising non-executive directors, executive director and executive
officer.
The total remuneration and value of other benefits earned by each of the Directors of the Company for the year ending
31 December 2024 was:
Non-executive directors receive director’s fees only
. The executive director and executive officer receive short-term
employee benefits which include a base salary and an incentive plan. They do not receive remuneration or any other
benefits as a director of the Company or its subsidiary.
Total remuneration of non-executive directors is inc
luded in “administrative and other expenses” (see Note 3) and
total remuneration of executive director and executive officer is included in “personnel expenses” (see Note 4).
17.
17.17.
17. GROUP ENTITIES
GROUP ENTITIESGROUP ENTITIES
GROUP ENTITIES
Control of the Group
Control of the GroupControl of the Group
Control of the Group
CDL Investments New Zealand Limited is a subsidiary of Millennium & Copthorne Hotels New Zealand Limited by
virtue of Millennium & Copthorne Hotels New Zealand Limited owning 65.31% (2023: 65.54%) of the Company and
having one out of five of the Directors on the Board. Millennium & Copthorne Hotels New Zealand Limited is 75.86%
(2023: 70.79%) owned by CDL Hotels Holdings New Zealand Limited (computed on voting shares), which is a wholly
owned subsidiary of Millennium & Copthorne Hotels Limited in the United Kingdom. The ultimate holding company is
Hong Leong Investment Holdings Pte Ltd in Singapore.
During the year, CDL Investments New Zealand Limited
has reimbursed its parent, Millennium & Copthorne Hotels
New Zealand Limited, $431,000 (2023: $427,000) for shared office expenses incurred by the parent on behalf of the
Group and reimbursed its parent for its portion of insurance premiums of $254,000 (2023: $199,000).
During 2024, CDL Investments New Zealand Limited iss
ued no additional shares (2023: Nil) to its parent, Millennium
& Copthorne Hotels New Zealand Limited, under the Dividend Reinvestment Plan (see Note 13). The total shares on
issue to Millennium & Copthorne Hotels New Zealand Limited is 190,591,297 (2023: 190,591,297).
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Development expenditure24,269 19,743
Land purchases13,261 6,620
37,530
37,53037,530
37,530
26,363
26,36326,363
26,363
In thousands of dollarsGroup
GroupGroup
Group
2024
20242024
20242023
20232023
2023
Non-executive directors126 130
Executive director86 413
Executive officer482 -
694
694694
694
543
543543
543
CDL Investments New Zealand Limited
CDL Investments New Zealand LimitedCDL Investments New Zealand Limited
CDL Investments New Zealand Limited
Notes to the Consolidated Financial Statements
For the year ended 31 December 2024
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18.
18.18.
18. CONTINGENT LIABILITIES
CONTINGENT LIABILITIESCONTINGENT LIABILITIES
CONTINGENT LIABILITIES
CDL Investments New Zealand Limited has a bank guarantee in place as a requirement of being listed on the New
Zealand Stock Exchange. The maximum value of this guarantee is $75,000 (2023: $75,000).
19.
19.19.
19. SUBSEQUENT EVENTS
SUBSEQUENT EVENTSSUBSEQUENT EVENTS
SUBSEQUENT EVENTS
Post balance date, the purchase of 6.5 hectares of land for $13.3 million in Hamilton was settled during January 2025.
The settlement will be recognised as an increase in land classified as development property in 2025.
On 20 February 2025, an ordinary dividend of 3.5 cents per qualifying share was declared by the Directors (see Note
13).
© 2025 KPMG, a New Zealand Partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited,
a private English company limited by guarantee. All rights reserved.
Document classification: KPMG Public
Independent Auditor’s Report
To the shareholders of CDL Investments New Zealand Limited (Group)
Report on the audit of the consolidated financial statements
Opinion
We have audited the accompanying consolidated
financial statements which comprise:
the consolidated statement of financial position as
at 31 December 2024;
the consolidated statements of comprehensive
income, changes in equity and cash flows for the
year then ended; and
notes, including material accounting policy
information and other explanatory information.
In our opinion, the accompanying consolidated
financial statements of CDL Investments New
Zealand Limited (the Company) and its subsidiaries
(the Group) on pages 1 to 20 present fairly in all
material respects:
the Group’s financial position as at 31
December 2024 and its financial
performance and cash flows for the year
ended on that date;
In accordance with New Zealand
Equivalents to International Financial
Reporting Standards (NZ IFRS) issued by
the New Zealand Accounting Standards
Board and the International Financial
Reporting Standards issued by the
International Accounting Standards Board.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)). We
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
We are independent of CDL Investments New Zealand Limited in accordance with Professional and Ethical
Standard 1 International Code of Ethics for Assurance Practitioners (Including International Independence
Standards) (New Zealand) issued by the New Zealand Auditing and Assurance Standards Board and the
International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants
(including International Independence Standards) (IESBA Code), as applicable to audits of financial statements of
public interest entities. We have also fulfilled our other ethical responsibilities in accordance with Professional and
Ethical Standards 1 and the IESBA Code.
Our responsibilities under ISAs (NZ)(Revised) are further described in the Auditor’s responsibilities for the audit of
the consolidated financial statements section of our report.
Our firm has provided other services to the Group in relation to tax compliance, taxation advisory and limited
assurance services in respect of Green House Gas Emissions reporting. Subject to certain restrictions, partners
and employees of our firm may also deal with the Group on normal terms within the ordinary course of trading
activities of the business of the Group. These matters have not impaired our independence as auditor of the Group.
The firm has no other relationship with, or interest in, the Group.
2
Materiality
The scope of our audit was influenced by our application of materiality. Materiality helped us to determine the
nature, timing and extent of our audit procedures and to evaluate the effect of misstatements, both individually
and on the consolidated financial statements as a whole. The materiality for the consolidated financial statements
as a whole was set at $2m determined with reference to a benchmark of the Group’s total assets. We chose the
benchmark because, in our view, this is a key measure of the Group’s performance.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the consolidated financial statements in the current period. We summarise below those matters and our key audit
procedures to address those matters in order that the shareholders as a body may better understand the process
by which we arrived at our audit opinion.
Our procedures were undertaken in the context of and solely for the purpose of our audit opinion on the
consolidated financial statements as a whole and we do not express discrete opinions on separate elements of the
consolidated financial statements.
The key audit matter How the matter was addressed in our
audit
Capitalisation and allocation of development costs
Refer to Note 8 to the financial
statements.
The group’s development property
comprises land and development costs
incurred to develop land into
subdivisions and individual properties
for sale. The development property
portfolio represents 77% of total assets
on the consolidated statement of
financial position.
The capitalisation and allocation of
development costs is a key audit matter
as determining whether to capitalise or
expense costs relating to development
of the land is subjective, as it depends
on whether the costs enhance the land
or maintain the current value. In
addition, there is significant judgement
in determining whether obligations exist
for future costs and how to allocate
capitalised development costs to
individual properties or stages.
The key judgements used in this
determination are:
Our audit procedures included:
• Evaluating the group’s accounting policy for capitalisation
of development costs using the criteria in the accounting
standard.
• Developing an understanding of the key controls over the
cost capitalisation and allocation process.
• Agreeing a sample of capitalised development costs to
supporting documentation. For each selected transaction
we:
- considered the nature of the costs capitalised and
evaluated whether they are eligible for capitalisation
under the relevant accounting standard.
- assessed the appropriateness of allocation to the
individual project stages and land lots.
• Agreeing a sample of land acquisitions to sales and
purchase agreements, settlement document and cash
payment.
• Performing analytical procedures in relation development
property costs of sales to assess that margins recognised
between periods were appropriate, including considering
alternative methods of allocation.
• Performing a retrospective review of the forecast costs
and cost of sales to ensure the reasonableness of forecast
cost estimation.
3
The key audit matter How the matter was addressed in our
audit
• Whether costs are eligible for
capitalisation under the relevant
accounting standards
• the allocation of capitalised costs to
the individual projects, stages and
land lots and the associated
recognition of cost of sales
• Whether a capitalised cost and the
associated liability for future
obligations should be recorded
under the relevant accounting
standard.
• Evaluating the reasonableness of the group’s judgement
to record liabilities for future obligations and that these
have been appropriately measured and recorded in
accordance with the applicable accounting standard.
• Assessing disclosures included in the consolidated
financial statements in respect of the development
properties using our understanding obtained from our
testing and against the requirements of the accounting
standards.
Our testing did not identify any material exceptions related to
capitalised development costs, the allocation of those costs to
individual project stages and the recognition of future development
cost obligations.
Other information
The Directors, on behalf of the group, are responsible for the other information included in the entity’s Annual
Report and Annual Climate Statement (prepared in accordance with the Aotearoa New Zealand Climate
Standards). Other information in the Annual Report may include the Directors’ Review, disclosures relating to
Corporate Governance, Portfolio information, Financial Summary, and the other information included in the Annual
Report. The Annual Climate Statement discloses information about the effects of climate change on the entity’s
business. Our opinion on the consolidated financial statements does not cover any other information and we do
not express any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements our responsibility is to read the Annual Report
and Annual Climate Statement when they become available and consider whether the other information it contains
is materially inconsistent with the consolidated financial statements, or our knowledge obtained in the audit, or
otherwise appear misstated. If based on the work we have performed, we conclude that there is a material
misstatement of this other information, we are required to report that fact. We have received the Directors’ review
and have nothing to report in regard to it.
The Annual Report and Annual Climate Statement are expected to be made available to us after the date of this
Independent Auditor's Report and we will report the matters identified, if any, to those charged with governance.
Use of this independent auditor’s report
This independent auditor’s report is made solely to the shareholders. Our audit work has been undertaken so
that we might state to the shareholders those matters we are required to state to them in the independent
auditor’s report and for no other purpose. To the fullest extent permitted by law, none of KPMG, any entities
directly or indirectly controlled by KPMG, or any of their respective members or employees, accept or assume
any responsibility and deny all liability to anyone other than the shareholders for our audit work, this independent
auditor’s report, or any of the opinions we have formed.
Responsibilities of directors for the consolidated financial
statements
The directors, on behalf of the Group, are responsible for:
— the preparation and fair presentation of the consolidated financial statements in accordance with NZ
IFRS issued by the New Zealand Accounting Standards Board and the International Financial Reporting
Standards issued by the International Accounting Standards Board;
— implementing the necessary internal control to enable the preparation of a consolidated set of financial
statements that is free from material misstatement, whether due to fraud or error; and
— assessing the ability of the Group to continue as a going concern. This includes disclosing, as
applicable, matters related to going concern and using the going concern basis of accounting unless
they either intend to liquidate or to cease operations or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the consolidated
financial statements
Our objective is:
— to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error; and
— to issue an independent auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance but it is not a guarantee that an audit conducted in
accordance with ISAs NZ w ill always detect a material misstatement when it exists.
Misstatements can arise from fraud or error. They are considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic decisions of users taken on the basis of the
consolidated financial statements.
A further description of our responsibilities for the audit of the consolidated financial statements is located at the
External Reporting Board (XRB) website at:
https://www.xrb.govt.nz/standards/assurance-standards/auditors-responsibilities/audit-report-1-1/
This description forms part of our independent auditor’s report.
The engagement partner on the audit resulting in this independent auditor’s report is Geoff Lewis.
For and on behalf of:
KPMG
Auckland
24 February 2025
---
Distribution Notice
Please note: all cash amounts in this form should be provided to 8 decimal places
Section 1: Issuer information
Name of issuer
CDL Investments New Zealand Limited
Financial product name/description
Ordinary Shares
NZX ticker code
CDI
ISIN (If unknown, check on NZX
website)
NZKGLE0001S8
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X
Quarterly
Half Year Special
DRP
applies
X
Record date
02/05/2025
Ex-Date (one business day before the
Record Date)
01/05/2025
Payment date (and allotment date for
DRP)
16/05/2025
Total monies associated with the
distribution
1
$10,213,824.32
Source of distribution (for example,
retained earnings)
Retained earnings
Currency
NZD
Section 2: Distribution amounts per financial product
Gross distribution
2
$0.04861111
Gross taxable amount
3
$0.04861111
Total cash distribution
4
$0.03500000
Excluded amount (applicable to listed
PIEs)
n/a
Supplementary distribution amount
$0.00617647
Section 3: Imputation credits and Resident Withholding Tax
5
Is the distribution imputed
Fully imputed
Partial imputation
No imputation
1
Continuous issuers should indicate that this is based on the number of units on issue at the date of the form
2
“Gross distribution” is the total cash distribution plus the amount of imputation credits, per financial product, before the deduction of
Resident Withholding Tax (RWT).
3
“Gross taxable amount” is the gross distribution minus any excluded income.
4
“Total cash distribution” is the cash distribution excluding imputation credits, per financial product, before the deduction of RWT.
This should include any excluded amounts, where applicable to listed PIEs.
5
The imputation credits plus the RWT amount is 33% of the gross taxable amount for the purposes of this form. If the distribution is
fully imputed the imputation credits will be 28% of the gross taxable amount with remaining 5% being RWT. This does not constitute
advice as to whether or not RWT needs to be withheld.
If fully or partially imputed, please
state imputation rate as % applied
6
28%
Imputation tax credits per financial
product
$0.01361111
Resident Withholding Tax per
financial product
$0.00243056
Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any)
Nil
Start date and end date for
determining market price for DRP
05/05/2025 09/05/2025
Date strike price to be announced (if
not available at this time)
12/05/2025
Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)
Ordinary shares (new issue)
DRP strike price per financial product
[to be advised]
Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms
05/05/2025
Section 5: Authority for this announcement
Name of person
authorised to make
this announcement
Takeshi Ito (Company Secretary)
Contact person for this
announcement
Takeshi Ito (Company Secretary)
Contact phone number
09 353 5077
Contact email address
takeshi.ito@cdli.co.nz
Date of release through MAP
24/02/2025
6
Calculated as (imputation credits/gross taxable amount) x 100. Fully imputed dividends will be 28% as a % rate applied.
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.
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