# Arvida Group — FY26 Annual Report & Source Brief

**Document:** 2026 - Arvida - FY26 Annual Report.pdf (also: 2026 - Arvida - FY26 Media Release.pdf)
**Company:** Arvida Group Limited (privately owned by Stonepeak since Nov 2024; formerly NZX: ARV)
**Year End:** 31 March 2026
**Report Published:** 27 May 2026
**Currency:** NZD

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## 1. Executive Summary

FY26 was Arvida's **first full financial year under Stonepeak ownership** (acquisition completed 19 November 2024). The company delivered improved underlying performance — Underlying EBITDA up 10% — despite a subdued residential housing market. Key themes: high care occupancy, steady resale volumes, continued development programme, and proactive portfolio rationalisation via two Christchurch divestments.

**Key headlines:**

- Underlying EBITDA: **$133M (+10%)**
- Reported NPAT: **$97.3M** (down 3.5% due to lower fair value gains)
- Total assets: **$5.0B** (+$320M from FY25)
- Investment property: **$4.5B** (+$335M)
- Net Promoter Score: **+42** (solid resident satisfaction)

Management describes the company as entering FY27 with "stronger sales activity and operational momentum."

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## 2. Financial Performance

### 2.1 Income Statement

| Metric                                  | FY26      | FY25     | Change   |
| --------------------------------------- | --------- | -------- | -------- |
| Revenue (care fees + DMF + other)       | $262.7M   | $253.7M  | +3.5%    |
| Underlying EBITDA¹                      | **$133M** | ~$121M   | **+10%** |
| Reported NPAT                           | $97.3M    | $100.8M  | -3.5%    |
| Total income (incl. fair value changes) | $393.6M   | $395.6M  | -0.5%    |
| Employee costs                          | $149.3M   | $151.1M  | -1.2%    |
| Finance costs                           | $41.8M    | $37.6M   | +10.9%   |
| Property costs                          | $39.0M    | $35.7M   | +9.5%    |
| Income tax (credit)                     | ($1.0M)   | ($10.2M) | —        |

¹ Underlying EBITDA is a non-GAAP measure removing fair value movements, unrealised items, interest, depreciation, deferred tax and one-off items, adding realised gains from resales and development margins.

**NPAT decline explained:** The slight drop in statutory NPAT reflects lower fair value gains on investment property ($124.2M vs $140.2M) offsetting stronger operating performance. Tax credit reduced from $10.2M to $1.0M.

### 2.2 Balance Sheet

| Metric                 | FY26       | FY25   | Change |
| ---------------------- | ---------- | ------ | ------ |
| **Total Assets**       | **$5.0B**  | $4.7B  | +$320M |
| Investment Property    | $4.49B     | $4.15B | +$335M |
| Cash & equivalents     | $21.8M     | $14.2M | +$7.6M |
| **Total Equity**       | **$1.72B** | $1.62B | +$103M |
| Residents' Loans       | $1.91B     | $1.81B | +$102M |
| Interest-bearing loans | $1.11B     | $998M  | +$111M |
| Retained earnings      | $786M      | $683M  | +$103M |

### 2.3 Cash Flow

| Metric              | FY26      | FY25   |
| ------------------- | --------- | ------ |
| Operating cash flow | **$108M** | ~$110M |

### 2.4 Capital Structure

- Syrdicated bank facility: **$1.1 billion** committed framework
- Bond (ARV010): **$125M** — still listed on NZX Debt Market (only NZX-listed remnant)
- All financial covenants: **fully compliant**

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## 3. Operational Performance

### 3.1 Portfolio Summary

| Metric                 | FY26                                  |
| ---------------------- | ------------------------------------- |
| Retirement communities | **34** (down from 35 — 2 divestments) |
| Units and care beds    | **~5,700**                            |
| Residents              | **~6,750**                            |
| Team members           | **~2,900**                            |
| Market share           | **~8%** (4th largest operator in NZ)  |
| Net Promoter Score     | **+42**                               |

### 3.2 Sales Activity

| Metric                     | FY26      | Change  |
| -------------------------- | --------- | ------- |
| Gross value of ORAs resold | **$303M** | +slight |

Achieved "strong resale settlement volumes despite the weak residential housing market" — CEO Jeremy Nicoll.

### 3.3 Care Operations

- "High care occupancy across the majority of our facilities" (no exact % in FY26 report; 94% at HY26)
- New People Strategy delivering "consistent way of working across our care centres"

### 3.4 Development Pipeline

| Project              | Location              | Units                                  | Status                            |
| -------------------- | --------------------- | -------------------------------------- | --------------------------------- |
| **Bethlehem Shores** | Tauranga              | 55 care suites + 53 premium apartments | ✅ **Completed** (FY26 milestone) |
| **Lincoln Plains**   | New community         | ~190 villas + 36 care suites           | 🚀 Launched                       |
| **Mayfair Village**  | North Shore, Auckland | 57 apartments                          | 🔧 Well progressed                |
| **Waikanae Beach**   | Kapiti Coast          | ~172 homes & care suites               | 🏗️ Enabling works started         |
| Future opportunities | Portfolio             | **6,750+** future development opps     | Established pipeline              |

"Demand for these offerings has been strong, reflecting both demographic need and the quality of the product delivered."

### 3.5 Portfolio Rationalisation — Divestments

Two Christchurch properties divested during FY26:

- **St Allisa** (Christchurch)
- **Mayfair** (Christchurch)

**Strategy:** Capital recycling — "allocate resources to higher-return opportunities and strengthening overall portfolio quality."

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## 4. Strategic Context

### 4.1 Stonepeak Ownership

- Acquisition completed 19 November 2024
- All-cash deal: NZ$1.70/share (65% premium)
- Total value: ~NZ$2 billion (incl. debt assumption)
- Stonepeak is a US-based alternative investment firm (~$71.2B AUM)
- Arvida operates as a privately held entity under Stonepeak's Asia infrastructure strategy
- CEO Jeremy Nicoll and senior management team retained

### 4.2 Market Position

- 4th largest retirement village operator in NZ
- 34 communities across New Zealand
- Full spectrum: independent living, rest home, hospital, dementia care
- Strong demographic tailwinds from NZ's ageing population
- "Well positioned to benefit from future improvements" in economic conditions

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## 5. Risks & Challenges

1. **Subdued housing market** continues to affect ORA resale volumes and unit pricing — though Arvida maintained resale values
2. **Higher finance costs** ($41.8M, +10.9%) due to elevated interest rate environment
3. **Property cost inflation** ($39.0M, +9.5%) outpacing revenue growth
4. **Development execution risk:** large pipeline requires continued capital and construction resources
5. **Private ownership transparency:** as a Stonepeak-owned private entity, future public reporting may be less detailed than when NZX-listed

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## 6. Opportunities

1. **Demographic tailwind:** NZ's 75+ population growing rapidly — sustained demand for aged care and retirement living
2. **Development completions** at Bethlehem Shores adding high-quality care capacity in high-demand Bay of Plenty region
3. **Lincoln Plains** new community launch provides long-term growth runway
4. **Capital recycling** via divestments improving portfolio quality and returns
5. **Stonepeak backing** provides access to significant capital and operational expertise for growth

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## 7. Related KB Assets

- `2024 - Arvida - Annual Report.pdf` — FY24 (year ended 31 Mar 2024)
- `2025 - Arvida - Annual Report.pdf` — FY25 (year ended 31 Mar 2025)
- `2026 - Arvida - FY26 Annual Report.pdf` — **this document** (FY26)
- `2026 - Arvida - FY26 Media Release.pdf` — NZX market release (28 May 2026)
- `2026 Provider Comparison Matrix - Financial Operational and Care Risk.md` — cross-provider comparisons
- `2026 Provider Market Refresh Tracker.md` — market intelligence tracker
- `09_Housing_and_Property/2026 Regional Ageing Mini-Brief - Bay of Plenty.md` — Bethlehem Shores context

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## 8. Key Dates

| Date        | Event                                                     |
| ----------- | --------------------------------------------------------- |
| 19 Nov 2024 | Stonepeak acquisition completed; Arvida delisted from NZX |
| 27 May 2026 | **FY26 Annual Report published**                          |
| 31 Mar 2027 | FY27 year end (expected)                                  |
| May 2027    | FY27 results (expected)                                   |

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## Sources

- Arvida FY26 Annual Report (27 May 2026): https://www.arvida.co.nz/web-assets/images/Import/20.investors_3169/07.results-reports_3310/FY2026-Arvida-Annual-Report.pdf
- Arvida FY26 Media Release / NZX Announcement (28 May 2026): https://www.nzx.com/announcements/473462
- Arvida HY26 Interim Results (28 Nov 2025): https://www.nzx.com/announcements/463618
- Arvida Investor Centre: https://www.arvida.co.nz/investors
- Stonepeak completes Arvida acquisition (19 Nov 2024): https://stonepeak.com/news/stonepeak-completes-acquisition-of-arvida
- All sources accessed 7 June 2026.

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_This source brief supplements the FY26 Annual Report PDF held in the KB. For full audited financial statements, refer to the PDF document._