Infratil (IFT) H1 2025 earnings summary

Executive summary

• Delivered strong operating performance and resilient portfolio results across key assets CDC, 1NZ, and Wellington Airport, despite challenging domestic and global conditions.

• Total shareholder return for H1 FY2025 was 14.5%, outperforming NZX50's 2.7% growth; five-year average annual TSR exceeds 23%.

• Completed a $1.275 billion equity raise in June 2024, enhancing balance sheet flexibility and supporting future growth, with significant allocation to CDC.

• Supported Contact Energy’s proposed acquisition of Manawa Energy at a premium, pending regulatory approval, with expected $186 million cash and a 9.5% Contact stake.

• Discontinued the Console Connect investment due to transaction complexity and market shifts.

Financial highlights

• Proportionate operational EBITDAF for the half year was $506 million, up 25% year-over-year; like-for-like operational EBITDAF increased 7%.

• Proportionate CapEx rose to $1.2 billion, up 52% from HY24, reflecting increased development activity in CDC and renewables.

• Interim dividend of 7.25 cents per share declared, up 3.6% from the prior period, with a 2% DRP discount.

• Net loss attributable to owners was $212.2 million, compared to a $1.1 billion profit YoY, mainly due to lower revaluation gains and current period amortisation and FX losses.

• Net asset value increased to $14.0 billion as at September 2024, with net asset value per share at $14.44.

Outlook and guidance

• FY2025 proportionate operational EBITDAF guidance narrowed to NZ$960–$1,000 million.

• CapEx guidance revised to $2.4–$2.8 billion for the year.

• CDC FY25 EBITDAF guidance maintained at A$320–A$330 million, trending toward the lower end due to timing shifts in customer workloads.

• 1NZ FY25 EBITDAF guidance remains at $580–$620 million, with flat second-half expectations.

• Longroad Energy FY25 EBITDAF guidance reduced to US$55–$60 million due to project delays, increased development expenditure, and US election uncertainty.