NZ Windfarms (NWF) H2 2024 earnings summary

Executive summary

• Secured partnership and established a 50:50 joint venture with Meridian Energy for New Zealand's first windfarm repowering at Te Rere Hau, with shareholder approval and resource consent obtained.

• Fully repaid bank debt through equity placement, with surplus funds allocated for operations and growth.

• Transitioned from owner-operator to full-scale renewable energy developer, expanding the development pipeline and investigating two new major renewable projects with fast-track consenting applications lodged.

• Approved Aokautere Extension Project, adding potential 46MW capacity with nine new turbines.

• Achieved zero lost time injuries and advanced sustainability initiatives, including TOITU and greenhouse gas certification.

Financial highlights

• Net electricity revenue rose 12% year-over-year to $10.8m, driven by higher prices, generation, and wind speeds.

• EBITDAF increased 17% to $5.4m, supported by 8% higher generation and new revenue streams, within guidance range.

• Net profit after tax was $0.15m, reversing a prior year loss of $5.3m.

• Operating cash flow declined 17% to $3.1m due to increased consultancy costs.

• Net cash position of $0.7m, with $5.8m in term deposits and $6.9m available credit facility headroom.

Outlook and guidance

• FY25 EBITDAF guidance set at $3.0m–$5.5m, assuming FID on repower project in Q2 2025.

• Production expected between 75 GWh and 106 GWh, with net electricity price estimated at $116.07/MWh.

• 100% hedged for FY25 and until FID, with guidance subject to climatic and operational variability and finalisation of conditional agreements.

• Continued focus on maximising returns from existing assets and progressing new windfarm opportunities.