Financial Terms
A-REIT – Ascendas Real Estate Investment Trust: a listed property trust on the Singapore Exchange managed by Ascendas-MGM Funds Management Limited, a 60/40 joint venture between Ascendas Land (Singapore) Pte Ltd and GMG.
ASIC – Australian Securities & Investments Commission.
ASX – ASX Limited (ABN 98 008 624 691) or the financial market which it operates, as the case requires.
AUM – Assets under management: total value of properties directly held or under management (used synonymously with FUM or funds under management).
Business Day – The meaning given to that term in the Listing Rules.
Cornerstone investments – GMG’s investments in its managed funds.
Corporations Act – Corporations Act 2001 (Cth).
CPS – Cents per security.
Distribution yield – The annual distribution expressed as a percentage of the security price.
DPS – Distribution per security: total distributions to investors divided by the number of securities outstanding.
EBIT – Earnings before interest and tax.
EPS – Earnings per security: total earnings divided by the number of securities outstanding.
Ex-distribution – Securities traded after this date will not qualify for the forthcoming distribution.
Funds management – The management of third-party property funds.
GAIF – Goodman Australia Industrial Fund: an unlisted property fund specialising in the investment and development of industrial property in Australia (formerly Macquarie Goodman Wholesale Fund).
Gearing – The level of a company’s borrowings relative to its assets.
GCT – Goodman Capital Trust (ARSN 100 155 986) (formerly Macquarie Goodman Capital Trust or MGA).
GFM – Goodman Funds Management Limited (ABN 48 067 796 641; AFSL Number 223621), the responsible entity for GIT (formerly Macquarie Goodman Funds Management Limited or MGF).
GIL – Goodman International Limited (ABN 69 000 123 071) and its controlled entities (formerly Macquarie Goodman Management Limited or MGM).
GIT – Goodman Industrial Trust (ARSN 091 213 839) and its controlled entities (formerly Macquarie Goodman Industrial Trust or MGI).
GMT – Goodman Property Trust (formerly Macquarie Goodman Property Trust or MGP): a listed property trust on the New Zealand Exchange managed by GMG.
Goodman Group or GMG – Goodman International Limited and Goodman Industrial Trust, trading as Goodman Group (formerly Macquarie Goodman Group or MGQ).
Hedging – Reducing exposure to risk of loss resulting from fluctuations in exchange rates, commodity prices, interest rates, etc.
IRR – Internal Rate of Return: the return rate which can be earned on invested capital, i.e. the yield on an investment plus capital growth.
LPT – Listed property trusts: Refer to REITs.
Managed funds – Listed or unlisted property funds managed on behalf of institutional and retail investors.
Mandate – The allocation of funds by third parties to acquire and manage properties on their behalf.
Market capitalisation – The security price multiplied by the number of securities on issue.
MIP - Macquarie Industrial Trust.
MGHKW – Macquarie Goodman Hong Kong Wholesale Fund: an unlisted property fund specialising in the investment of industrial property in Hong Kong.
NAV – Net Asset Value: the value of the total assets less liabilities. For this purpose, liabilities include both current and long-term liabilities. To calculate the net asset value per ordinary security, divide the net asset value by the number of securities on issue.
NTA – Net tangible assets: the value of gross assets less all debts and other liabilities, divided by the number of securities on issue expressed as a dollar value.
NZX – New Zealand Exchange Limited or New Zealand Exchange being the equity security market operated by it, as the case requires.
Pooled fund – Any fund in which multiple investors contribute assets and hold them as a group. A common example is a unit trust.
Record Date – The day GMG’s security register is closed for the purpose of determining a Securityholder’s entitlement to the distribution for the relevant period.
REITs – Real Estate Investment Trusts: collective investments which pool investors’ money. REITs are more tax efficient than listed property shares as rental income and the proceeds from the disposal of investment properties are exempt from corporation and capital gains tax.
Responsible Entity – A public company that holds an Australian Financial Services Licence authorising it to operate a registered managed investment scheme, such as GIT.
Return on assets – A measure of a company’s profitability, equal to a fiscal year’s earnings divided by its total assets, expressed as a percentage.
Return on capital – A measure of how effectively a company uses the money (borrowed or owned) invested in its operations.
Securityholder – A holder of stapled securities.
Stapled – The linking together of a GIL share and a GIT unit so that one may not be transferred or otherwise dealt with without the other and which are quoted on ASX jointly as a ”stapled security”.
Stapled security – A GIT unit and a GIL share which are stapled so that they can only be traded together.
WACC – Weighted average cost of capital: an average representing the expected return on all of a company’s securities.
Wholesale fund – An unlisted fund managed by a professional fund manager that pools moneys from institutional investors to invest in assets that would not normally be accessible to individuals. Wholesale funds aim to deliver income and capital growth to investors, eg. Goodman Australia Industrial Fund and Macquarie Goodman Hong Kong Wholesale Fund.
Property Terms
Brownfield site – A site held for redevelopment but with existing building improvements.
Customer – A tenant located in a direct or managed property.
Greenfield site – A site that has no building improvements and is being held for future development.
NLA – Net lettable area.
Speculative development – A development that commences with no customer precommitment.
Sqm – Square metres.
WALE – Weighted average lease expiry: of an asset or a portfolio of assets.