How much of the total write-down, if any, was not absorbed within Kāinga Ora's existing budget for the year ended 30 June 2025, and what was the resulting effect on the agency's reported surplus or deficit?

Answer

Kāinga Ora – Homes and Communities advises me that the total final audited value of write-downs arising from the pipeline review in FY2024/25 was $184 million against an approved budget of $21 million, noting the original budget was set prior to the commencement of the pipeline review. As reported in Kāinga Ora’s FY2024/25 Annual Report, while these unbudgeted write-downs impacted the FY2024/25 deficit, Kāinga Ora was able to absorb those costs through savings generated from a combination of strong cost controls and transformation initiatives. The organisation also reported achieving a net operating deficit before tax that was $14 million better than budget, despite incurring those unbudgeted one-off write-down costs during the year.