Mirvac’s urban strategy delivered excellent results in FY17, with operating earnings up 11 per cent and distributions up 5 per cent, at the top end of guidance provided.
The 2017 financial year was an outstanding year for Mirvac, and our ambition to reimagine urban life by creating, owning and managing high-quality assets in Australia’s largest cities has delivered strong results across the Group, positioning us well for the future.
Mirvac is an integrated, urban property group and a key contributor to Australia’s major cities.
Mirvac’s urban strategy and a strong focus on capital management delivered growth in FY17, and has ensured the Group is well placed for the year ahead.
In February this year, we launched Marrick & Co in Sydney’s inner west: a 220-apartment development on the old Marrickville Hospital site.
Mirvac has a priority focus on the health and safety of its employees, contractors and customers, and in FY17, we launched a refreshed policy and focus to strengthen our safety practices, behaviours and culture across our business, while supporting the wellbeing of our people, places and the communities in which we operate.
Developing a Reconciliation Action Plan (RAP) has been one of Mirvac’s key cultural goals over the past 12 months.
This Changes Everything is Mirvac’s sustainability strategy, comprised of four focus areas with long-term missions.
This Changes Everything FY17 at a glance
Susan Lloyd-Hurwitz, CEO & Managing Director.
With a number of commitments due, we expect a big year ahead in FY18. We’ve learned a lot over the past four years, and we’ll be applying that learning to refreshing our strategy. It’s a good time in the cycle for us to review our key issues and reaffirm the alignment of sustainability within our purpose to reimagine urban life.
We’ll continue to put people at the heart of what we do, to be a customer-centric and human organisation that creates sustainable and connected environments. We look forward to building on the great work we have done to date, and continuing to integrate sustainability into the business in a way that adds value to our stakeholders and supports our ambition to be zero waste and net positive by 2030.
In 2017, we’re collaborating widely to review our significant issues. We will apply the broad learnings of the past four years to help us to focus on fewer things more deeply to deliver more value.
Importantly, this review will be anchored in risk management and will address those areas which we agree are, and will be, the most important in our sector, and for Mirvac in particular.
We are a people-focused business. It’s absolutely vital that we listen to and reflect on the needs of our stakeholders and to put them front and centre in designing our next stage. We’re planning a wide and thoughtful consultation process which seeks to understand what is valuable to our employees, customers, partners, communities and securityholders.
We’ll take those insights and align them with our particular capabilities and strengths, as well as our interest areas, to ensure that what we’re designing truly reflects our competitive points of difference.
Mirvac is a great partner. We want to strengthen our capability and reputation as being a trustworthy partner who listens to understand needs, collaborates on projects of mutual interest, and delivers on our promises every time. Our approach to refining key issues can really help us in this effort.
Some of the things which we know will continue to be a focus for us are our bold promise to be net positive and zero waste by 2030. Delivering our first megawatt of renewable energy has set us on the path to meeting this commitment.
In addition, we are continuing our journey to ensure excellent governance across the organisation, including the integrity of our supply chain and its materials, our investment in social businesses, and our ethical use of data.
We are strengthening our disciplined approach to understanding our customers and their communities. Our processes to listen and understand their values and engagement, measuring and refining our approach, will continue to help us to develop products that are good for people and will deliver ever increasing social benefits.
And of course, we are seeing real challenges on affordability in Sydney and Melbourne. Costs of housing and living are causing real pain and stress for an increasing group of people who are the most vulnerable in our society. We will continue to engage closely on these topics to ensure we understand the needs, appreciate the differences across our customer and community groups, and use our special capabilities to deliver on their needs. Social cohesion matters to us, and I think we will see our commitment to this increase over the evolution of This Changes Everything.
Sarah Clarke, Group General Manager,
Sustainability & Reputation.