Goodman : Appendix 4D Half Year Accounts

APPENDIX 4D

GOODMAN GROUP

(comprising Goodman Limited, Goodman Industrial Trust and Goodman Logistics (HK) Limited)

RESULTS FOR ANNOUNCEMENT TO THE MARKET

For the half year ended 31 Dec 2020

The Appendix 4D should be read in conjunction with the annual report of Goodman Group for the year ended 30 June 2020. The information included in the Appendix 4D and the interim financial report for the half year ended 31 December 2020 comprises all the information required by ASX Listing Rule 4.2A.

Highlights of results

31 Dec 2020 31 Dec 2019 Change

Operating profit (before specific non-cash and other significant items) attributable to Securityholders ($M)

Revenue and other income ($M)

Profit (statutory) attributable to Securityholders ($M)

614.9

530.4 up 15.9%

1,885.7

1,391.6 up 35.5%

1,041.5

810.6 up 28.5%

Diluted operating profit per security (cents)

Diluted statutory profit per security (cents)

Interim distribution per GMG security (cents)

Interim distribution ($M)

Franked amount per security/share (cents)

Record date for determining entitlements to the distributions

Date interim distribution is payable

33.1

28.8

up 14.9%

55.1

43.2

up 27.5%

15.00 277.1

15.00 274.3

up

-

- 1.0%

-

-

-

-

31 Dec 2020

31 Dec 2019

25 Feb 2021

25 Feb 2020

Distribution reinvestment plan

Goodman Group's Distribution Reinvestment Plan (DRP) remains suspended.

Total assets under management ($B) 51.8

External assets under management ($B) 48.5

Net tangible assets per security/share (cents) 603.4

Gearing (%) 4.8

49.2	up	5.3%
45.7	up	6.1%
560.1	up	7.7%
10.0	down	(52.0%)

Controlled entities acquired or disposed

There were no material acquisitions of controlled entities during the half year. The following material controlled entities were disposed during the half year as part of the divestment of Goodman Group's Central and Eastern European operations on 8 July 2020:

Goodman Czech Republic s.r.o.

Goodman Hungary Ingatlankezelo Kft. Goodman Poland Sp. z o.o. Goodman Slovakia s.r.o.

Associates and joint venture entities

Goodman's Group's associates are set out in note 6 to the interim financial statements.

Goodman Group's joint ventures and its percentage holding in these joint ventures are set out below:

BGMG1 Oakdale West Trust (50%)

BGMG2 Rochedale North Trust (50%)

BL Goodman Limited Partnership (50%)

Euston Road Subtrust No.2 Trust (50%)

GEP Ilias Logistics (Spain) (50%)

Goodman Australia Development Partnership (20%)

Goodman Beige Logistics (Lux) Sàrl (50%)

Goodman Bondi Logistics Netherlands (50%)

Goodman Blue Logistics (Hungary) Kft. (50%)

Goodman Brazil Logistics Partnership (15%)

Goodman China Logistics Partnership (20%)

Goodman Doris Logistics Netherlands (50%)

Goodman Helena Logistics (Spain) (50%)

Goodman Japan Development Partnership (50%)

Goodman Lazulite Logistics (Lux) Sàrl (50%)

Goodman Mona Logistics (Netherlands) B.V (50%)

Goodman North America Partnership (55%)

Goodman Odysse Logistics (Lux) Sàrl (50%)

Goodman Princeton Partnership (Jersey) Ltd (20%)

Goodman Tangerine Logistics (Lux) Sàrl (50%)

Goodman UK Partnership L.P (33.3%)

Loreto Investments, S.L. (50%)

KWASA Goodman Germany (19.2%)

KWASA Goodman Industrial Partnership (40%)

Pochin Goodman (Northern Gateway) Ltd (50%)

South East Asia Joint Venture (50%)

Consolidated interim financial report for the half year ended 31 December 2020

Contents	Page
Directors' report	2
Lead auditor's independence declaration	10
Consolidated interim statements of financial position	11
Consolidated interim income statements	12
Consolidated interim statements of comprehensive income	13
Consolidated interim statements of changes in equity	14
Consolidated interim cash flow statements	16
Notes to the consolidated interim financial statements
Basis of preparation

1

Basis of preparation 17

Results for the half year

2 Profit before income tax 19

3 Profit per security/Company share 20

4 Segment reporting 20

Operating assets

5 Receivables 24

6 Property assets 24

7 Intangible assets 31

Capital management

8 Net finance income/(expense) 32

9 Interest bearing liabilities 32

10 Financial instruments 35

11 Dividends and distributions 37

12 Issued capital 37

Other items

13 Equity attributable to Goodman Limited and non-controlling interests 38

14 Commitments 40

15 Related parties 41

16 Events subsequent to balance date 41

Directors' declaration 42

Independent auditor's review report 43

Appendix A - Goodman Logistics (HK) Limited interim financial report for the half year ended 31 December 2020

A1

Directors' report for the half year ended 31 December 2020

The directors (Directors) of Goodman Limited (ABN 69 000 123 071) (Company or GL) and Goodman Funds Management Limited (GFML), the responsible entity for Goodman Industrial Trust (ARSN 091 213 839) (Trust), present their Directors' report together with the consolidated interim financial statements of Goodman Limited and the entities it controlled (Goodman or Group) and the consolidated financial statements of Goodman Industrial Trust and the entities it controlled (GIT) at the end of, or during, the half year ended 31 December 2020 (half year or HY21) and the review report thereon.

Shares in the Company, units in the Trust and CHESS Depositary Interests (CDIs) over shares in Goodman Logistics (HK) Limited (GLHK) are stapled to one another and are quoted as a single security on the Australian Securities Exchange.

As permitted by the relief provided in Australian Securities & Investments Commission (ASIC) Instrument 20-0568, the accompanying consolidated interim financial statements present both the interim financial statements and accompanying notes of Goodman and GIT. GLHK, which was incorporated and is domiciled in Hong Kong, prepares its financial statements under Hong Kong Financial Reporting Standards and the applicable requirements of the Hong Kong Companies Ordinance and accordingly the financial statements of GLHK have not been included as adjacent columns in the consolidated interim financial statements. The consolidated interim financial statements of GLHK have been included as an appendix to this interim financial report.

Preparation of the consolidated interim financial report of Goodman Industrial Trust

GFML, a controlled entity of Goodman Limited, as responsible entity for the Trust, is solely responsible for the preparation of the accompanying consolidated interim financial report of GIT, in accordance with the Trust's Constitution and the Corporations Act 2001.

Rounding

Goodman and GIT are entities of a kind referred to in ASIC Corporations (Rounding in Financial/ Directors' Reports) Instrument 2016/191. In accordance with that Instrument, amounts in this Directors' report have been rounded to the nearest hundred thousand dollars, unless otherwise stated.

Directors

The Directors of the Company and GFML at any time during, or since the end of, the half year were:

Directors

• Mr Stephen Johns (Independent Director and, from 19 November 2020, Independent Chairman)

• Mr Ian Ferrier, AM (Independent Chairman) retired on 19 November 2020

• Mr Gregory Goodman (Group Chief Executive Officer)

• Mr Christopher Green (Independent Director)

• Mr Mark Johnson (Independent Director)

Ms Rebecca McGrath (Independent Director)

• Mr Danny Peeters (Executive Director, Corporate)

• Mr Phillip Pryke (Independent Director)

• Mr Anthony Rozic (Deputy Group Chief Executive Officer and Chief Executive Officer, North America)

Ms Penny Winn (Independent Director)

Company Secretary

The Company Secretary at any time during the half year and up to 19 February 2021 was Mr Carl Bicego.

Dividends and distributions

No dividends were declared by the Company during the half year (HY20: $nil).

An interim distribution in respect of HY21 of 15.0 cents per security, amounting to $277.1 million (HY20: $274.3 million) was determined by GIT during the half year. This interim distribution will be paid on 25 February 2021.

No dividends were declared by GLHK during the half year (HY20: $nil).

2