Lendlease has secured $3b in new construction work

Lendlease has secured $3 billion in new construction business in recent months, its chief executive said.

About two-thirds of the exterior construction work is done on behalf of government clients in areas such as defense and social infrastructure, CEO Tony Lombardo told investors on Friday.

“Business momentum continues to build,” he said.

Mr Lombardo said Lendlease was also bidding for $25 billion in development opportunities and was aiming to secure $10 billion of these projects in 2025/26.

Opportunities include Lendlease’s RNA Showgrounds, the preferred location for the Olympic athletes’ village in Brisbane, and a harborside residential land development in the Sydney suburb of Rozelle.

Lendlease is also nearing completion of its Victoria Cross commercial office tower in North Sydney, built above a subway station that opens in 2024.

Lendlease expects to complete the One Circular Quay residential skyscraper project in Sydney and the Victoria Harbor waterfront development in Melbourne in 2026/27.

The construction and real estate giant is under pressure from investors to prove it can bounce back after a decade of underperformance.

Weakened Lendlease returned to profitability in August after shedding thousands of roles and abandoning its international ambitions, reporting earnings of $225 million for 2024/25, compared to a loss of $1.5 billion the year before.

“We are focused on returning more capital to strengthen our balance sheet,” Chairman John Gillam told shareholders.

“Our business has clearly been simplified, and this has sharpened our focus on our core markets where we see the greatest potential for growth and long-term value creation.”

All resolutions presented to the meeting passed with 97 percent to 99 percent support.

Lendlease shares were down 0.2 percent to $5.41 on Friday afternoon; There were sharp losses in most of the market today.