Keppel Infrastructure Trust (A7RU) H1 2025 earnings summary

Executive summary

• Distributable income (DI) for 1H 2025 rose 31.2% year-on-year to SGD 119.4 million, driven by higher contributions from City Energy, Ixom, Ventura, and gains from the divestment of Philippine Coastal.

• Declared distribution per unit (DPU) of SGD 0.0197, up 1% year-on-year.

• Strategic capital recycling included the sale of a 24.62% stake in Ventura and the completed divestment of Philippine Coastal, generating SGD 301 million in proceeds.

• Proposed SGD 122.3 million investment in Global Marine Group (GMG) to enter the digital infrastructure segment, expected to be DPU accretive.

• Profit attributable to unitholders was SGD 60.0 million, reversing a loss of SGD 23.9 million in 1H 2024, mainly due to divestment and fair value gains.

Financial highlights

• Group EBITDA increased 5.9% to SGD 236.6 million year-on-year; distributable income reached SGD 119.4 million, a 31.2% increase year-on-year.

• DPU for 1H 2025 was SGD 0.0197, a 1% increase year-on-year, with payment scheduled for 13 August 2025.

• Net gearing stood at 39.3% as of 1H 2025; net debt to EBITDA at 4.6x.

• Interest coverage ratio improved to 11.9x from 7.0x at end-2024.

• Portfolio AUM reached SGD 8.7 billion as of 30 June 2025, reflecting growth from acquisitions and value creation.

Outlook and guidance

• Strong investor appetite for infrastructure assets expected to continue, supported by trends in decarbonization, deglobalization, demographics, and digitalization.

• Energy transition sector projected to see robust growth, with global investment needs averaging USD 5.6 trillion annually to 2030.

• Digital infrastructure, especially submarine cables, expected to grow at a 6.3% CAGR to USD 56.9 billion by 2035.

• City Energy expects continued growth in town gas volumes, especially from commercial and industrial segments.

• Environmental Services and Ixom segments expected to remain stable, with ongoing contract extensions and bolt-on growth opportunities.