NZ Windfarms (NWF) H1 2025 earnings summary

Executive summary

• Net electricity revenue for H1 FY25 was $6.1m, down 3.2% year-over-year due to lower wind speeds and generation volume.

• EBITDAF decreased 17% to $3.0m, mainly from reduced generation and higher operating expenses.

• Net profit after tax improved to $2.7m from a loss of $3.1m in the prior period.

• Operating cash flow rose 108% to $2.5m, supported by improved derivative settlements and no interest payments after BNZ facility repayment.

• Health and safety focus maintained, with zero lost time injuries in the period.

Financial highlights

• Generation: 56.9 GWh (down from 59.6 GWh year-over-year); average wind speed: 9.5 m/s (down from 9.8 m/s).

• Net GWAP: $107.99/MWh (up from $106.49/MWh year-over-year).

• Availability: 96.5% (slightly down from 96.9% year-over-year); above manufacturer benchmarks.

• Operating expenses increased 18% to $3.3m, mainly due to Hau Nui and substation costs, and contract staff.

• Basic and diluted EPS for H1 FY25 was 0.0073, compared to -0.0102 in H1 FY24.

Outlook and guidance

• Board continues to pause dividends, prioritizing investment for future growth.

• EBITDAF guidance for FY25 revised down to $4.0m–$5.2m due to lower wind volumes and challenging meteorological conditions.

• Guidance subject to variability in wind generation and other external factors.

• Focus remains on safe operations, profitability, and advancing the Te Rere Hau repower project toward a final investment decision in June 2025.

• Continued pursuit of greenfield wind development opportunities with landowner agreements in place.