Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Infratil FY earnings fall as forecast, affirms 2015 pickup

Infratil full-year earnings fall as forecast, affirms pickup for 2015

May 13 (BusinessDesk) – Infratil, the energy, airport and transport investor, posted a 5.3 percent drop in pretax earnings, meeting guidance, on a weaker contribution from Trustpower and Infratil Energy Australia Group. The company reiterated earnings will grow in 2015.

Earnings before interest, tax, depreciation, amortisation and fair value movements were $500 million in the year ended March 31, down from $528 million a year earlier. Net profit jumped to $199 million from $3 million, driven by a net gain of $183 million from the sale of Z Energy and valuation adjustments.

Infratil’s 50.4 percent holding in Trustpower is its biggest single investment and accounted for 55 percent of Ebitdaf in the full year at $277 million, down from $295 million a year earlier. The utility has already posted its annual results, which showed the impact of a drop in hydro generation in the face of dry weather and depressed wholesale energy prices.

The company described 2014 as “a dynamic year” including the successful float of Z Energy, the exit from its unprofitable Glasgow Prestwick and Kent airports and the acquisition of a 19.9 percent stake in retirement village operator Metlifecare.

The shares rose 1.8 percent to $2.33 and have gained 0.9 percent this year.

The company also agreed to invest A$100 million in the Australian Social Infrastructure Partnership, with the first A$12 million made post March 31.

The company’s 66 percent-owned Wellington International Airport provided the second-largest earnings contribution at $86 million, up from $83 million in 2013 on gains in aeronautical and passenger services income.

Earnings at Infratil Energy Australia Group (IEA) fell to A$61 million from A$80 million and the decline was inflated by the effect of translating earnings back into a strong kiwi dollar. Infratil said today it has started a review of the Lumo and Direct Connect Australia units of IEA that may take six months and will determine whether the businesses are kept as is or sold.

NZ Bus, which operates the bus services in Auckland and Wellington, posted a 9 percent drop in earnings to $40 million, coming in below budget, which Infratil said reflected disappointing passenger growth and engineering costs to comply with new regulations.

Earnings for 2015 would be “between 6 percent and 12 percent higher than this year’s $500 million,” the company said.

“Next year it is expected that New Zealand’s economy will continue to drive demand for transport and energy and that there will be increasing private provision of infrastructure on both sides of the Tasman,” the company said.

Infratil will pay a final dividend of 7 cents a share, up from 6 cents a year earlier and bringing annual payments to 10.75 cents.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Export Values Down: NZ Posts Biggest Annual Trade Deficit In 7 Years

New Zealand has recorded its biggest annual trade deficit since April 2009, reflecting weaker prices of agricultural commodities such as dairy products, beef and lamb, and increased imports of vehicles and machinery. More>>

ALSO:

Currency Events: NZ's New $5 Note Wins International Banknote Award

New Zealand’s new Brighter Money $5 note has been named Banknote of the Year in a prestigious international competition. The $5 note was awarded the IBNS Banknote of the Year title at the International Bank Note Society’s annual meeting. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news