National Highways Infra Trust (NHIT) Investor presentation summary

Investment highlights

• Demonstrated robust and consistent performance since listing, with actual financials in line with projections and a 14.7% CAGR in returns (NAV plus distribution) since Nov 2021.

• Geographically diversified portfolio across 11 high-growth states, with 2,345 km of operational highways and limited single-state concentration.

• Unique collaboration between a sovereign sponsor and marquee global and domestic investors, including Canadian pension funds and major Indian institutions.

• Concession agreements ensure inflation-hedged returns, with WPI-linked tariffs and mechanisms for revenue variation and force majeure protection.

• Experienced board and management team with strong governance, including former senior government officials and global infrastructure leaders.

Portfolio and financial performance

• Portfolio includes 26 assets and 41 toll plazas, with an average residual life of over 20 years and 99%+ electronic toll collection.

• Enterprise value stands at INR 29,448 crore, with a debt-to-total assets ratio of 0.44x and AAA credit ratings.

• Quarterly distributions have totaled INR 19.39 per unit since listing, with a 6% annualized distribution yield for 9M FY25.

• Strong debt-raising capabilities, with Rs. 13,357 crore sanctioned and successful public bond issuances, including oversubscribed NCDs and zero-coupon bonds.

• Financial highlights for 9M FY25 include revenue of INR 1,717 crore, EBITDA of INR 1,401 crore, and distribution per unit of INR 5.62.

Growth drivers and market context

• Portfolio assets are present in states contributing 66.3% of India's GDP, with 63% of revenues from states growing faster than the national average.

• India's GDP growth and rising vehicle sales and fuel consumption are driving traffic and toll collections, with FASTag collections growing at a 41.7% CAGR from FY21 to FY24.

• NHAI's asset monetization program provides a sustainable pipeline, with over INR 749 billion monetized and continued reliance on InvIT and TOT models.