Property developer Cedar Woods is hoping prospective homeowners in Queensland will bolster its bottom line.
After expanding into the Sunshine State with the purchase of a large swathe of land near Brisbane in May, it expects a strong upswing in housing starts in Queensland in the coming years.
Planning approvals have been lodged but it will be up to nine months before construction begins.
Cedar Woods made a $40.3 million profit in the year to June and expects a similar result in the current year.
Managing director Paul Sadleir said most of that profit would come in the second half of the year, due to the timing of housing projects and settlements.
The company has already recorded $139 million in property presales, at projects in Victoria and Western Australia, most of which will settle in 2014/15.
After expanding into Queensland, the property developer is keen to investigate new acquisitions.
Mr Sadleir said Cedar Woods' strong balance sheet means it has the ability to fund existing developments, as well as finding new opportunities.
Cedar Woods shares were down 21 cents, or 2.7 per cent at $7.69 at 1450 AEST.
CEDAR WOODS INCREASES NET PROFIT
* Net profit of $40.3m, up 11 pct from $36.3m in 2012/13
* Revenue of $214.4m, up 24 pct on $172.7m
* Final dividend of 15.5 cents a share, up from 15 cents
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