Welcome and thank you for joining us at Winton 's annual meeting of shareholders for 2025, which is being held as a virtual meeting. My name is Chris Meehan. I'm the Chair of the Board of Directors and CEO of Winton . It is my pleasure to address you today. Today, we're very pleased to welcome our online participants through our virtual meeting platform, and this is provided by our share registrar, MUFG Pension and Market Services. You can vote and ask questions online. I'll provide you with further instructions as we progress through the meeting. If you do encounter any issues, please refer to the virtual meeting guide, or you can phone the helpline on 0800 200 220 if you're in New Zealand, or 1-800 990 363 if you're dialing in from Australia or elsewhere.
You can send through any questions at any time, so I encourage you to send them through as soon as you can. This will allow us to answer these questions in the appropriate time of the meeting. To ask a question, you need to click "Ask a Question" within the online meeting platform, select the item of business type, type your question, and then click "Submit." Before we formally begin, I would just like to reintroduce the other members of the Winton Board. In the room with me here, we have Michaela Meehan, Non-Executive Director. We have Glen Tupahy, Independent Director, and we have Stephen Joyce, who's also an Independent Director. Online, you can see we have Julian Cook, who's Executive Director and Director of Retirement. We have Guy Ferguson, Independent Director. We have James Kemp, Non-Executive Director, and we have Josh Phillips, who's also a Non-Executive Director.
With me in the room here, we have our Senior Management Team, which includes Simon Ashe, Chief Operating Officer; Jean McMahon, Chief Financial Officer; Justine Hollows, General Manager, Corporate Services; and Duncan Elliott, General Manager, Project Delivery. Finally, I'd like to welcome the representatives from our FY 2025 auditors, Ernst & Young, and our external legal counsel, Chapman Tripp, as well as our team from the share registrar, MUFG Pension and Market Services, all of whom are in the room here with us today. The share registrar will help conduct the voting on the formal business later in the meeting and will also act as scrutineer. The Company Secretary has confirmed that the notice of meeting has been sent to shareholders and the persons entitled to receive it, and I've been advised that we have a quorum present. On that basis, I'm pleased to formally declare the meeting as open.
Proxies have been appointed for the purposes of this meeting in respect of approximately 246 million shares, and this represents just over 83% of the total number of shares on issue. I'd like to thank shareholders for their participation in today's meeting, and my fellow Directors and I intend to vote all discretionary proxies we have received in favor of the resolutions that are set out in the notice of meeting. The order of events for this morning's meeting is as follows: I'll start with a short presentation. As you've seen in the notice of meeting, we have six resolutions we would like you to approve. We'll take questions from the shareholders on each of these resolutions. Voting of all resolutions will be conducted by way of poll. After the resolutions, we will then open the meeting up to other business from shareholders before we close the meeting today.
This will provide an opportunity for you to ask questions or to make comments about the presentation, the financial statements, or the auditor's report. I do encourage shareholders to submit their questions online through the virtual meeting platform as soon as possible. Before we head into the formal resolutions of today's meeting, I thought I'd just take a moment to reflect on Winton 's FY 2025 results and the landscape that we've been operating within. The property market has definitely remained subdued in many parts of New Zealand, most particularly Auckland. The economy has struggled. It's been impacted by low growth, excessive bureaucracy, and the challenging property market, and obviously the higher unemployment, as well as the ongoing global uncertainty.
While much of this is beyond our control, we do have control of Winton 's response to the economic conditions and how we strategically position the company for long-term shareholder value. With that being said, Winton 's long-standing pre-sale strategy has continued to serve us well and will continue to do so over the coming years. The presentation on screen shows the various FY 2025 key statistics that were set out in our annual FY 2025 report. Moving on, despite a difficult market and very challenging economic conditions, we have continued to settle pre-sold properties, complete new projects, and diversify our revenue streams. This steadfastness is a testament to our commitment and our ability to navigate the cyclical nature of the property market to our advantage.
Some business highlights include the completion of Stage 1 at Northbrook Wānaka and some additional venues at Ayrburn, and you'll see on screen various other highlights for Winton in FY 2025. Winton delivered revenue of $155.4 million, 10.5% down from the $173.6 million that we delivered in FY 2024. A total of 266 units were settled, and commercial revenue increased by $13.7 million in FY 2025, largely due to Ayrburn contributing a full 12 months of trading. A fair value gain of $5.1 million resulted from the revaluation of commercial assets and retirement land within our investment properties portfolio. There was also an increase in the administrative expenses, although this was offset by a decrease in establishment costs, those being incurred in relation to the pre-opening of Ayrburn venues, including branding, marketing, recruitment, and employee training.
The resultant net profit after tax in FY 2025 was $10.3 million, a reduction from $15.7 million net profit after tax in the prior year. Turning now to the fast-track approvals, in February, Winton submitted its detailed application for the Sunfield project under the Fast Track Approvals Act 2024. The project has since been accepted into the fast-track process, and a panel has been appointed. It's definitely encouraging to see the New Zealand government making progress, and we commend them on the process to date. We do remain hopeful for a positive outcome on Sunfield early in the new year, and if approval is granted, it is Winton's intention to commence development immediately. More recently, Winton's Ayrburn Screen Hub was also accepted into the fast-track process under the Fast Track Approvals Act 2024.
The Ayrburn Screen Hub is planned to be an all-inclusive film studio, enabling users to work and stay on site through filming, production, and post-production. The facility will be located adjacent to the Ayrburn Hospitality Precinct and the Northbrook Arrowtown. Should the project receive resource consent, it will be a valuable part of the Ayrburn Master Plan, generating significant recurring income from the Screen Hub and incremental revenue growth for the Hospitality Precinct. Turning to residential development, in addition to the residential settlements during FY 2025, we continued the momentum on site at some of our larger neighborhoods. In addition to the 183 land lots that were settled at Lakeside Te Kauwhata, construction work is ongoing, and the newly completed Scott Road roundabout and intersection upgrade will improve access to the development. At Northbrook Wānaka, 20 Alta Villas townhouses were completed, along with the final Stage 17 land lots.
The first Stage 18 land lots were also titled and settled. Work continues on the balance of Stage 18, including drainage, roading, and landscaping, and a proposed private plan change is underway to expand Stage 19. At Northridge in Cessnock, preparatory works continue for planning approvals for Stage 7 and beyond. At Northbrook Wānaka, as you can see on the slide, the first stage at Northbrook Wānaka officially opened in May 2025, with the first residents moving in to enjoy their Northbrook lifestyle. After years of careful planning, design, and construction, it is incredibly rewarding to see this vision come to life. Revenue from deferred management fees and village service fees has commenced and will continue to grow as the village reaches maturity and stabilization.
The Northbrook Wānaka Wellness Spa is a luxurious amenity with a 13.5 m heated indoor swimming pool, sauna, boutique fitness studio, the hair salon, and various treatment rooms. Construction is progressing at pace and is on target for completion by the end of this year. We look forward to opening this opulent wellness facility. Turning to Cracker Bay, our commercial investment properties include Cracker Bay, as well as Lakeside, and the operating businesses at Ayrburn and Cracker Bay. Revenue for this segment includes rent and hospitality revenue. In FY 2025, commercial revenue was $24.7 million, up from $11 million in FY 2024. Our new hospitality offering, Bravo at Cracker Bay, will be open early in the new year. At Ayrburn, our master plan is coming together well. Ayrburn is situated on the best part of the most expensive street in New Zealand and is a very key long-term asset for Winton.
We intend to continue to maximize the value from the entire master plan for all shareholders. We expect to welcome at least a million visitors to Ayrburn over the next year, and it is on track to become the most visited attraction in Queenstown. As mentioned earlier, in FY 2025, we completed and opened several new venues, unlocking further opportunities, particularly event opportunities across the precinct. These openings included the Bakehouse, RM Produce, and our most recent opening, which is our flagship restaurant, Billy’s. In March, Ayrburn hosted the inaugural Ayrburn Classic, a two-day celebration of motoring, which featured vintage, classic, and modern luxury cars. Thousands of people attended, and whether they were vehicle enthusiasts or not, everyone had a fantastic time. We look forward to the second Ayrburn Classic being hosted this February, 2026, which promises to be significantly bigger and better than the first.
Looking ahead to FY 2026, the focus on Ayrburn is on visitor growth, gaining further efficiencies from the multi-venue site, and continuing to build the event pipeline and delivering the high-end Ayrburn experience to every visitor that comes there, whether it be day or night. Turning to ESG, during FY 2025, our most significant ESG progress related to meeting the additional requirements of Year Two reporting of climate-related disclosures and GHG emissions inventory measurement. You’ll see a number of the other key contributions aligning with Winton’s sustainability framework on the current slide on your screens, and whilst there is still much to do, we’re very proud of the progress to date. In terms of the market and outlook, in addition to the unemployment continuing to rise, net migration is at the lowest it has been for over 10 years, and ready-mix concrete volumes are below the 10-year average.
However, there are some positive signs in Winton’s operating environment, including a declining official cash rate, increased competition among suppliers, lower labor costs, and a rise in the number of houses sold compared to the prior year, with the Queenstown Lakes District outperforming the rest of the country. We move into 2026 cautious but confident. I’m grateful for the dedication of the Winton team and their ability to continue excelling through what’s been a tough property cycle. We’d like to extend our appreciation to our trade partners, to our contractors, and our suppliers for their hard work, as well as to our community of stakeholders and shareholders for their continued support. I think we’ll now turn to the formal part of the business, the matters requiring resolution, which are outlined in the notice of meeting.
You may ask questions on each matter being put to shareholders through the virtual meeting website. Now moving to the resolutions, I propose to call a poll on each of these resolutions. Shareholders will be able to cast their vote using the electronic vote card received when online registration is validated. To vote, you'll need to click "Get Voting Card" within the online meeting platform. You will be asked whether to enter your shareholder or proxy number to validate. Please then mark your voting card in the way you wish to vote by clicking "For," "Against," or "Abstain" on the voting card. Once you've made your selection, please click "Submit Vote" on the bottom of the card to lodge your vote. Please refer to the virtual meeting guide or use the helpline specified if you do require assistance.
Voting will remain open for five minutes after the conclusion of the meeting, and results of the vote will be announced via the stock exchange. Each resolution set out in the notice of meeting is to be considered as an ordinary resolution and, as such, must be approved by a simple majority of the votes cast by shareholders who are entitled to vote and are voting on the resolution. The outcome of proxy votes will be displayed for your information after voting on all the resolutions. Now turning to the resolutions, the first resolution is that Josh Phillips, having been appointed by the Board and only holding office until the annual meeting of shareholders, be elected as a Director of the Company. The Board considers Josh to be a Non-Executive Director if re-elected and supports his re-election.
Josh has been appointed to the Board of Winton in his capacity as a representative of Macquarie Asset Management's investment vehicle, TC Akuruwa 2 Pty Ltd, being a substantial shareholder in Winton . There's a profile of Josh in the notice of meeting, and the resolution is that Josh Phillips, having been appointed by the Board and only holding office until the annual meeting of shareholders, be elected as a Director of the Company. Are there any questions for the Board in relation to, or Josh, concerning Resolution 1?
There are no questions for the Board at this time.
Okay, would you now please select "For," "Against," or "Abstain" for Resolution 1 on your voting cards. Turning to Resolution 2, the second resolution is that Chris Meehan, who retires and is eligible for re-election, be re-elected as a Director of the Company. The Board considers myself as an Executive Director and, if re-elected, supports my re-election. There is a profile of myself in the notice of meeting, and the resolution is that Chris Meehan, who retires and is eligible for re-election, be re-elected as a Director of the Company. Are there any questions for myself or the Board concerning Resolution 2?
There are no questions on this resolution from shareholders joining online.
Thank you. Please now select either "For," "Against," or "Abstain" for Resolution 2 on the voting card. Turning to Resolution 3, the third resolution is that Michaela Meehan, who retires and is eligible for re-election, be re-elected as a Director of the Company. The Board considers Michaela as a Non-Executive Director if re-elected and supports her re-election. There is a profile of Michaela in the notice of meeting, and the resolution is that Michaela Meehan, who retires and is eligible for re-election, be re-elected as a Director of the Company. Are there any questions for Michaela or for the Board concerning Resolution 3?
There are no questions on this resolution from shareholders joining online.
Thank you. Okay, could you please either select "For," "Against," or "Abstain" for Resolution 3 in your voting cards? The fourth resolution is that Julian Cook, who retires and is eligible for re-election, be re-elected as a Director of the Company. The Board considers Julian as an Executive Director and, if re-elected, supports his re-election. There is a profile of Julian in the notice of meeting, and the resolution is that Julian Cook, who retires and is eligible for re-election, be re-elected as a Director of the Company. Are there any questions for the Board or for Julian in relation to Resolution 4?
There are no questions on this resolution from shareholders joining online.
Thank you. Could you please now select either "For," "Against," or "Abstain" for Resolution 4 on the voting card? The fifth resolution is that Glen Tupahy, who retires and is eligible for re-election, be re-elected as a Director of the Company. The Board considers Glen to be an Independent Director and, if re-elected, supports his re-election. There's also a profile of Glen in the notice of meeting, and the resolution is that Glen Tupahy, who retires and is eligible for re-election, be re-elected as a Director of the Company. Are there any questions for Glen or the Board concerning Resolution 5?
There are no questions on this resolution from shareholders joining online.
All right, please now select either "For," "Against," or "Abstain" for Resolution 5 on the voting card. Turning to Resolution 6, the sixth resolution is that the Board be authorized to fix the fees and expenses of Ernst & Young as the Auditor of the Company for the ensuing year. The current Auditor of the Company, Ernst & Young, will be automatically reappointed as Winton's Auditor at the annual meeting in accordance with Section 207(t) of the Companies Act 1993. Winton remains satisfied with the quality of the audit work that has been performed by Ernst & Young. Are there any questions for the Board relating to question 9? Sorry, 6, Resolution 6.
There are no questions on this resolution from shareholders joining online.
Okay, thank you. Now please select either "For," "Against," or "Abstain" for Resolution 6 on the voting card. That completes the voting on all the resolutions at this time. I would like to advise the outcome of proxy votes that were lodged in respect of each of the resolutions, and those results are showing up on the screen now. I won't go through each and every one of them, but all resolutions were carried as "For." Voting will be open for five minutes after the conclusion of this meeting. I'd now like to give shareholders the opportunity to ask questions, whether related to the presentations, to the financial statements, or to the management of the Company. You can continue to provide questions online, and we will address questions already submitted online.
If we run short of time and are unable to answer your questions online today, we will endeavor to respond to you shortly after the meeting. If there's any media attending online, we're happy to answer your questions after the meeting. Are there any questions from shareholders?
We've received a question from Barry J. Lindsey. The question is, just interested to hear whether there is any chance or likelihood of a return to paying dividends.
The short answer is yes, but the Board will consider the timing of that in due course. I think for the meantime, whilst we see the market in the state that it's in and some headwinds there, we sort of have a preference to conserve capital. We do consider it regularly at our Board meetings, and we do want to get back to a position in short order, if possible, to paying dividends. We do take a conservative view of the Company's balance sheet and the management of our debt profile and our cash flows and our ability to forward fund further projects. Whilst we do take that conservative approach, we'd like to see a bit of a turnaround in the market before we get to that point. It is regularly considered by the Board and will continue to be considered by the Board.
There are no further questions from shareholders online.
Okay, with that being it, thank you very much for your attendance today. That ends the formal part of the meeting, and I declare the meeting closed with formal voting to close five minutes from now. Thank you very much.