ASX ANNOUNCEMENT: Qualitas releases FY25 results

21 August 2025

Record margin driven by strong growth in key funds management topline earnings

Qualitas Limited (ASX: QAL) (Qualitas, or Company), a leading Australian alternative real estate investment manager, is pleased to present its financial results for the year to 30 June 2025 (FY25)1 along with financial and operational updates.

Access the ASX announcement, presentation, or webcast replay.

 

FY25 highlights:

  • Normalised NPBT2 of $53 million, up 36% on FY24, towards the upper end of our FY25 guidance
  • Base management fees of $49 million, up 31% on FY24, representing a record annual growth since IPO
  • Record funds management EBITDA margin of 52%
  • Funds management EBITDA of $56 million, up 39% on FY24
  • Fee Earning FUM3 of $8.7 billion, up 28% on FY24
  • Pool of potential embedded and unrecognised performance fees over the next seven years increased to $92 million4, up 23% on the estimate made in August 2024.

 

FY26 guidance5:

  • FY26 NPBT6 of between $60 million and $66 million, representing an increase of approximately 13% to 25% respectively on FY25
  • FY26 EPS6 is estimated between 14.0 cps and 15.4 cps7.

 

Funds management performance

FY25 demonstrated the strength and consistency of our earnings, with all funds management revenue streams delivering strong growth. Recurring earnings including funds management revenue and principal income, increased by 25% and 35% year‑on‑year respectively, while performance fee revenue rose to $8 million representing a significant uplift on FY24 underpinned by strong funds’ performance, particularly for our credit strategies.

Follow-on investments represent 54% of FY25 deployment, up from 19% in FY24. These include upsizing and renewing existing positions, as well as projects advancing to the next phase, such as a pre-development land loan transitioning to a construction loan. These investments generate new transaction and base management fees at a lower origination cost.

As our platform scales and development activity accelerates, follow-on opportunities are expected to become increasingly common, supporting higher margins and driving sustainable earnings growth.

 

Group Managing Director and Co-Founder, Andrew Schwartz said:

“Our FY25 results reflect another year of strong recurring earnings and high‑quality growth, supported by disciplined deployment and our deep institutional investor base. We continue to benefit from the global bifurcation of private credit, with large institutional investors concentrating capital with a select group of trusted managers. Through these strategic capital relationships, Qualitas maintains a distinct capital advantage and the flexibility to deliver tailored funding solutions to our borrowers.

In recent months, we have seen momentum in the reallocation of private credit capital from the US into the APAC region. Australia has emerged as a preferred growth frontier due to its stable regulatory environment, structural housing undersupply, and attractive yield premiums compared to more mature markets. Leveraging our 17-year track record in the Australian market and our institutional funds management model, Qualitas is extremely well-positioned to benefit from this opportunity.

Through FY25, we deployed a total of $4.6 billion up by 9% on FY24, reflecting increased activity across the commercial real estate (CRE) sector. We continue to observe signs of recovery in the residential development market, while attractive opportunities across other CRE sectors are broadening our pipeline. Notably, we have seen a greater number of large-scale investment opportunities compared with previous years when rates were rising. With further rate cuts expected in FY26, we anticipate continued growth in CRE transaction activity.

From a financial perspective, FY25 marked another milestone year for Qualitas, delivering record annual growth in base management fees, a record funds management EBITDA margin, and the highest balance sheet yield since our IPO. These
achievements reflect the strength of our business which was supported by consistent deployment, strong performance, increasing scalability and the disciplined deployment of balance sheet capital into co-investments.”

Outlook

Qualitas is well-positioned to deliver strong growth in FY26. We expect Fee Earning FUM to continue increasing, and Invested FUM growth is anticipated to accelerate as previously delayed construction facility drawdowns are progressively drawn. Continued strong fund performance is expected to drive performance fee revenue.

Mr Schwartz continued:

“Looking ahead, we anticipate growing opportunities in the CRE sector as rate cuts take effect. Our strong track record, deep industry expertise, robust governance framework, and access to large scale capital sets us apart and supports our deployment growth. We remain focused on expanding our teams, enhancing our technology platform, and leveraging artificial intelligence to drive further efficiencies.
With these opportunities, and based on no material adverse change in the current market conditions, our guidance for FY265 is:

  • FY26 NPBT6 of between $60 million and $66 million, representing an increase of approximately 13% to 25% respectively on FY25
  • FY26 EPS6 is estimated between 14.0 cps and 15.4 cps8.

 

Market briefing

Qualitas’ market briefing is being held tomorrow, 22 August 2025 at 9:00am (AEST), with presenters:
Andrew Schwartz (Group Managing Director and Co-Founder), Mark Fischer (Global Head of Real Estate and Co-Founder), Kathleen Yeung (Global Head of Corporate Development) and Philip Dowman (Chief Financial Officer).

Webcast

Please use the following link to access the webcast presentation: https://webcast.openbriefing.com/qal-fyr-2025/

Teleconference

Prefer to dial-in? Please pre-register using the link below and to access dial-in details: https://s1.c-conf.com/diamondpass/10047730-45izwa.html

A replay of the webcast will be available on the Qualitas website at the conclusion of the briefing.

Authorised for release by the Board of Directors of the Company.

For further information, please contact:

Investor enquiries
Nina Zhang
Director – Investor Relations
T: +61 3 9612 3939
E: nina.zhang@qualitas.com.au		 Media enquiries
Kate Stokes
Head of Marketing and Communications
M: +61 481 251 552
E: kate.stokes@qualitas.com.au

Investor Website: https://investors.qualitas.com.au/investor-centre/

 

About Qualitas

Qualitas Limited ACN 655 057 588 (Qualitas) is an ASX-listed Australian alternative real estate investment manager with approximately $9.5 billion of committed funds under management8.

Qualitas matches global capital with access to attractive risk-adjusted investments in real estate private credit and real estate private equity through a range of investment solutions for institutional, wholesale and retail clients. Qualitas offers flexible capital solutions for its partners, creating long-term value for shareholders, and the communities in which it operates.

For 17 years, Qualitas has been investing through market cycles to finance assets, now with a combined value of over $30 billion across all real estate sectors9. Qualitas focuses on real estate private credit, opportunistic real estate private equity, income producing commercial real estate and build-to-rent residential. The broad platform, complementary debt and equity investing skillset, deep industry knowledge, long-term partnerships, and diverse and inclusive team provides a unique offering in the market to accelerate business growth and drive performance for shareholders.

 

Notes

  1. Comparison to FY24 refers to the twelve months to 30 June 2024 throughout this announcement.
  2. FY25 normalised earnings adjusted for abnormal items, including unrealised mark-to-market (MTM) losses ($125k) from Qualitas’ co-investment in QRI and QRI capital raise costs ($5.1m). FY24 normalised earnings adjusted for unrealised MTM gains ($0.9m) from Qualitas’ co-investment in QRI and QRI capital raise costs ($2.4m). Pleaserefer to Appendix A for statutory financial to normalised financial.
  3. Amount earning base management fees. Base management fee structures vary across investment platforms. Committed FUM, Invested FUM, net asset value, gross asset
    value, acquisition price and other metrics may be used to calculate base management fees.
  4. Theoretical estimate based on Qualitas’ assessment of the relevant funds’ performance based on current valuations and market conditions as at August 2025. Due to inherent uncertainties, these performance fees do not fit Qualitas’ revenue recognition criteria and may not eventuate. The timing of when these performance fees may be recognised is not expected to be linear. Excludes staff incentives.
  5. Outlook statements and guidance have been made based on no material adverse change in the current market conditions.
  6. Excludes any MTM movements for Qualitas’ co-investment in QRI and QRI capital raising costs.
  7. Based on the current total number of ordinary shares on issue, that is subject to any future changes.
  8. As at 30 June 2025.
  9. As at 31 December 2024.

 

Disclaimer

This announcement contains general information only and does not take into account your investment objectives, financial situation or needs. Qualitas is not licensed to provide financial product advice in relation to Qualitas shares or any other financial products. This announcement does not constitute financial, tax or legal advice, nor is it an offer, invitation or recommendation to apply for or acquire a share in Qualitas or any other financial product. Before making an investment decision, readers should consider whether Qualitas is appropriate given your objectives, financial situation and needs. If you require advice that takes into account your personal circumstances, you should consult a licensed or authorised financial adviser. Past performance is not a reliable indicator of future performance.

Qualitas results are reported under International Financial Reporting Standards (IFRS), which are used to measure group and segment performance. The presentation also includes certain non-IFRS measures, including Normalised earnings before interest, taxes, depreciation and amortisation (EBITDA), Normalised net profit before tax (NPBT) and Normalised net profit after tax (NPAT). These measures are used internally by management to assess the performance of our business, make decisions on the allocation of resources, and assess operational management. All non-IFRS information unless otherwise stated has not been extracted from Qualitas’ financial statements and has not been subject to audit or review. Certain figures may be subject to rounding differences. Refer to Appendix A for the reconciliation of statutory earnings to normalised earnings. All amounts are in Australian dollars unless otherwise stated.

Statements contained in this presentation may be forward looking statements. Such statements  are inherently speculative and always involve some risk and uncertainty as they relate to events and depend on circumstances in the future, many of which are outside the control of Qualitas. Any forward-looking statements contained in this presentation are based on a number of assumptions which may prove to be incorrect, and accordingly, actual results or outcomes may vary. Past performance is not indicative of future returns.

 

Appendix A – Statutory to normalised earnings reconciliation