ABN Group lifts profit 49pc to $93.4m as buyers hesitate

ABN Group, led by Alcock, lifted annual profit 49pc to $93.4m this week, The West Australian said, as homebuyers hit the brakes and buyers hesitate on new homes. The group expects buyers to keep hesitating for six to 12 months.

Why it matters

A 49pc profit rise and a six-to-12-month demand outlook, published together: ABN Group has strong annual profit, and buyers are set to keep hesitating for months. ABN Group builds homes across Western Australia, so this demand outlook is a marker other builders and buyers can watch for six to 12 months. A profit rise and a demand outlook together mean strong annual profit now, buyers hesitating for months. For other WA builders, the ABN Group demand outlook is a pace buyers hesitating on new homes may set too, for six to 12 months. Buyers hesitating for six to 12 months also matters for anyone building or buying a new home in Western Australia: the pace of buyer hesitation is what ABN Group is flagging, not the size of this year’s annual profit rise. Six to 12 months is the pace Western Australia buyers and builders can hold ABN Group to this year.

The numbers

Two figures: $93.4m annual profit, up 49pc, and buyers set to keep hesitating, a pace ABN Group expects for six to 12 months. ABN Group and The West Australian added nothing more, so the annual profit and the six-to-12-month demand outlook are the two figures here. ABN Group 49pc profit rise and six-to-12-month demand outlook are the only two figures made public, and Western Australia buyers and builders can treat both as confirmed.

What’s next

ABN Group flags a demand outlook: buyers hesitating on new homes for six to 12 months, a pace the Perth market will test. ABN Group and The West Australian may add more detail on the profit rise and demand outlook ahead. Until then, the 49pc annual profit rise and the six-to-12-month demand outlook from ABN Group are the two figures buyers and builders in Western Australia can watch for the coming months. The ABN Group six-to-12-month demand outlook, alongside its 49pc annual profit rise, gives Western Australia buyers and builders a pace to watch into next year.