Dalrymple Bay Infrastructure (DBI) H2 2024 earnings summary

Executive summary

• EBITDA increased 7.1% year-over-year to $279.8 million, with funds from operations up 11.1% to $156.7 million and net profit after tax rising to $81.8 million, a 10.7% increase.

• Distributions for FY24 totaled 22.0 cents per security, up 5.8%, with guidance for TY-24/25 raised to 23.0 cents per security, a 7% uplift.

• Capacity remains fully contracted at 84.2 million tons under take-or-pay contracts through at least 2028, eliminating volume and coal price risk.

• Major NECAP projects and optimization initiatives, including capacity pooling and the 8X expansion feasibility, are underway to drive future revenue.

• No fatalities, serious injuries, or reportable environmental incidents occurred in FY24.

Financial highlights

• Revenue from TIC reached $296.1 million, up 6.2% year-over-year; total revenue was $382.9 million, with total income (excluding interest) at $783.8 million.

• Net profit after tax for FY24 was $81.8 million, up from $73.9 million in FY23.

• Cash and cash equivalents at year-end were $70.7 million, with $450 million in undrawn bank facilities.

• Q4/24 distribution was 5.625 cents per security, totaling 22.0 cents for FY24.

• EPS was $0.16, up from $0.15 in FY23; ROE improved to 7.48%.

Outlook and guidance

• Distribution guidance for TY-24/25 raised to 23.0 cents per security, a 7% uplift, with a target payout ratio of 60-80% of FFO.

• Targeting 3-7% annual DPS growth, supported by ongoing NECAP investments and capacity optimization.

• Strategic priorities include organic growth, diversification, and maintaining investment-grade credit ratings.