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Channel Infrastructure NZ (CHI) investor relations material
Channel Infrastructure NZ H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Delivered strong and stable financial results for the six months ended 30 June 2025, with EBITDA of $48.5 million and a 69% margin, despite the expiry of the Wiri lease.
Revenue increased 1% year-over-year, driven by new storage contracts and PPI indexation, offsetting lower lease income.
Interim dividend of 6.25 cents per share declared, a 42% increase, with a new payout policy and reinvestment plan.
Secured four storage contracts in 18 months, including a nine-year extension adding ~$50 million in revenue from 2028.
Major capital projects, including ZEUS Energy jet storage and bitumen import terminal, are on track and within budget.
Financial highlights
EBITDA up 5% year-over-year, excluding the impact of the Wiri lease expiry; reported EBITDA $48.5 million.
Net profit after tax from continuing operations was $13.1 million, up 2% year-over-year; total comprehensive income was $10.4 million.
Normalized free cash flow increased to $35.2 million, with a 73% EBITDA to free cash flow conversion rate.
Net debt stable at $297 million as of 30 June 2025; interest cover ratio at 5.2x and gearing at 27%.
Operating cash flow increased to $39.7 million from $36.8 million year-over-year.
Outlook and guidance
FY25 guidance unchanged, with normalized EBITDA expected at $89–94 million and ordinary dividend between 12.0–12.5 cps.
Jet fuel demand outlook remains flat due to airline capacity and economic issues, but medium-term outlook is positive.
Additional $8 million annual revenue projected from H2 2026 with new projects.
Nine-year storage contract extension to add ~$50 million revenue from 2028, requiring $20–26 million growth capex over 2026–2030.
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