Charter Hall share price storms 6% higher on record FY22 result

Charter Hall had a strong 12 months in FY 2022…

| More on:
Woman looks amazed and shocked as she looks at her laptop.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Charter Hall has released its full year results
  • The property company delivered stellar earnings growth in FY 2022
  • This was driven largely by its fund management business which had an incredible year

The Charter Hall Group (ASX: CHC) share price was a strong performer on Thursday.

The property company's shares have just closed the session up over 6% to $13.36 following the release of its full year results.

Charter Hall share price higher on strong FY 2022 results

  • Record operating earnings of $542.8 million
  • Operating earnings per share (OEPS) up 89.5% to 115.6 cents per share
  • Statutory profit after tax of $911.1 million
  • Distributions up 4.1% to 40.1 cents per share
  • Outlook: Distribution guidance of 6% growth in FY 2023

What happened in FY 2022?

For the 12 months ended 30 June, Charter Hall reported record operating earnings of $542.8 million. This was an increase of 90.2% over the prior corresponding period.

While this strong profit was driven by growth across the business, the key driver was its fund management operations.

Fund management EBITDA grew a whopping 170.1% to $552.2 million in FY 2022 thanks to a 456.9% in transaction and performance revenue. This reflects fund outperformance and transaction activity.

Management commentary

Charter Hall's managing director and CEO, David Harrison, was pleased with the record result. He said:

FY22 delivered a record year of earnings for Charter Hall and earnings growth. The business continues to execute on its strategy of partnering with tenants and investors to drive mutually beneficial outcomes. Our strong investor and tenant customer feedback evidences the customer centric approach to partnering we continue to prosecute.

Further, our ability to execute complex privatisations provides additional deployment opportunities that are not readily replicated. Our development pipeline has grown to $16 billion, with strong growth in pre-leased projects continuing to provide develop to core enhanced returns for our investors. Our focus on partnering, execution, deployment and co-investment alongside fund investors drives growth for securityholders.

Outlook

Also potentially boosting the Charter Hall share price today was the company's outlook.

While the company is guiding to a softer OEPS result, it still expects one that is materially higher than what was recorded in FY 2021.

Based on no material adverse change in current market conditions, Charter Hall's FY 2023 earnings guidance is for post-tax OEPS of no less than 90 cent per share.

This is expected to underpin distribution per share growth of 6% over FY 2022.

Should you invest $1,000 in Pendal Group right now?

Before you buy Pendal Group shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Pendal Group wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Earnings Results

A man in full American NFL playing kit crouches over with his arms across his chest in a defensive stance against a dark background.
Technology Shares

ASX 300 tech stock charges 7% higher to record high on stellar results

This tech stock delivered another impressive result this morning.

Read more »

a group of people sit around a computer in an office environment.
Earnings Results

Guess which ASX 200 tech stock is rocketing 12% on record results

Another half, another record result from this high-quality company.

Read more »

A young man sitting at an outside table uses a card to pay for his online shopping.
Consumer Staples & Discretionary Shares

Why is the Kogan share price crashing 12%?

Profits are down at this ecommerce company during the second half.

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Resources Shares

Guess which ASX 200 mining stock is sinking 7% following its quarterly update

Let's see how this miner performed during the third quarter.

Read more »

A man sits thoughtfully on the couch with a laptop on his lap.
Earnings Results

Up 50% in a year, are Xero shares a buy after Thursday's earnings results?

ASX investors reacted positively to Xero’s full-year earnings results on Thursday. Now what?

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Earnings Results

Xero share price higher despite FY25 earnings miss

The cloud accounting platform provider reported strong top line growth but its earnings fell short of expectations.

Read more »

A man looking at his laptop and thinking.
Earnings Results

Why did the Aristocrat share price just plunge 13%?

Investors are smashing the Aristocrat share price today. But why?

Read more »

A woman wearing yellow smiles and drinks coffee while on laptop.
Earnings Results

CBA share price edges higher on $2.6b quarterly profit

Let's see how Australia's largest bank performed during the quarter.

Read more »