Dream Unlimited (TSE:DRM) Releases Quarterly Earnings Results

Dream Unlimited (TSE:DRM) posted its quarterly earnings results on Wednesday. The company reported C$0.22 earnings per share for the quarter, FiscalAI reports. The firm had revenue of C$112.19 million during the quarter. Dream Unlimited had a net margin of 1.87% and a return on equity of 0.61%.

Here are the key takeaways from Dream Unlimited’s conference call:

• Q3 standalone net margin rose to CAD 32.6 million from CAD 24.1 million a year earlier, while after-tax earnings were CAD 13.1 million. Management expects the fourth quarter to deliver the strongest margin of the year.
• Asset management had a strong quarter, with CAD 17.8 million in net margin, and AUM currently stands at CAD 31 billion, including Chancerygate. Management cited more than CAD 2 billion of expected industrial acquisitions for clients and expects the platform to continue growing.
• Income-property NOI increased to CAD 7.6 million from CAD 6.5 million, supported by apartment lease-up; the company has about 1,100 operating units and expects to deliver another 930 units during 2027. Western Canada development has secured CAD 100 million in fourth-quarter revenue through presales, though management’s forecast of roughly 30% annualized NOI growth over three years is an expectation, not a guarantee.
• Impact Trust remains a key area of uncertainty, with apartment-market weakness and slow progress at master-planned communities including Zibi and Brightwater. Dream says it is providing secured support and expects to outline a longer-term plan by year-end, but the assets still require further progress.
• Dream reported CAD 264 million of available corporate credit-facility liquidity and said it is comfortable with near-term refinancing needs, including about CAD 205 million of debt maturing in Q1 2027. Quayside financing documents are nearing completion, but final rate-locking and the planned start before year-end remain dependent on volatile interest rates and coordination among multiple parties.

Dream Unlimited Trading Up 9.2%

TSE DRM opened at C$19.35 on Friday. Dream Unlimited has a 12-month low of C$16.02 and a 12-month high of C$22.66. The company has a fifty day simple moving average of C$17.23 and a two-hundred day simple moving average of C$18.89. The company has a current ratio of 209.05, a quick ratio of 0.67 and a debt-to-equity ratio of 145.27. The stock has a market cap of C$811.60 million, a P/E ratio of 92.14 and a beta of 1.37.

Dream Unlimited Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 30th were given a dividend of $0.1750 per share. This represents a $0.70 annualized dividend and a yield of 3.6%. The ex-dividend date of this dividend was Tuesday, September 15th. Dream Unlimited’s payout ratio is currently 321.43%.

Analyst Ratings Changes

Several research firms have commented on DRM. Scotia set a C$25.00 price objective on Dream Unlimited and gave the stock a “sector outperform” rating in a report on Thursday, September 10th. TD lifted their target price on Dream Unlimited from C$25.00 to C$26.00 and gave the company a “buy” rating in a research report on Thursday. Finally, Scotiabank upgraded Dream Unlimited to a “strong-buy” rating in a report on Thursday, September 10th. One research analyst has rated the stock with a Strong Buy rating and three have assigned a Buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of C$26.67.

Dream Unlimited Company Profile

Dream is a leading real estate developer and has an established and successful asset management business, inclusive of $28 billion of assets under management (1) across three Toronto Stock Exchange (‘TSX’) listed trusts, our private asset management business and numerous partnerships. We develop land and housing in our master planned communities in Western Canada and hold a growing portfolio of income generating properties across Canada. Dream expects this area of our business to grow as investment properties under construction are completed and held for the long-term.