Dalrymple Bay Infrastructure (DBI) H2 2023 earnings summary

Executive summary

• FY-23 net profit after tax rose 7.1% to $73.9m from $69.0m; exports increased to 61.1Mt from 53.3Mt, while reported EBITDA was $261.3m.

• Fully contracted, take-or-pay capacity and CPI-linked pricing support predictable cash flows; FY-23 announced distributions rose 8.4% to 20.8 cps.

Financial highlights

• Revenue excluding interest income was $642.1m vs $623.8m; total income was $654.8m vs $626.4m, including $42.4m of capital works revenue.

• Reported EBITDA was $261.3m, down 1.1%; excluding the prior-year $22.9m TIC true-up and $3.6m IPO-cost adjustment, EBITDA increased 8.3% YoY.

• NPAT was $73.9m vs $69.0m; net finance costs were $109.9m vs $116.3m, and tax expense was $37.5m vs $43.0m.

• FFO was $141.1m vs $177.0m, reflecting higher cash finance costs and current tax; FY-23 capex was $42.0m.

• Operating cash flow was $172.1m vs $189.3m; year-end cash and cash equivalents were $71.1m, alongside $380.0m in term deposits.

Outlook and guidance

• TY-23/24 distribution guidance was 21.5 cps, payable quarterly, and ~7% above TY-22/23; remaining distributions were expected to include dividends and partial loan-note repayments.

• Distribution policy targets 60–80% of FFO and DPS growth of 3–7% p.a., subject to business developments and market conditions.

• NECAP investment is expected to exceed $500m through 2031; Shiploader 1A and Reclaimer 4 are estimated at $165m and $116m, with completion expected in three to four years.

• 8X could lift capacity to 99.1Mtpa; estimated project cost is $1,369m, with investment subject to access commitments, rail capacity and a final decision.