Shopping centre owner Stockland has posted just $301 million in first-half profits, a 65 per cent drop from the $850 million the retail landlord brought in during the prior period.

The company’s funds from operations crept up 0.7 per cent from the prior corresponding period to $353 million.

Stockland expects FFO to be heavily skewed to the second half of FY23, more so “than in recent periods” due to the timing of its master planned community settlements.

Managing Director and Chief Executive Officer, Tarun Gupta said: “We have continued to progress the execution of our strategy while delivering solid operational and financial results in an uncertain macroeconomic environment.

“Our 1H23 financial result reflects the strength of our diversified business model.”

Stockland is maintaining its FY23 FFO per security guidance range of 36.4 to 37.4 cents on a pre-tax basis.

“Current market conditions remain uncertain, ” the company notes in its earnings guidance.