Infratil Limited · NZX:IFT
Infratil — H1 FY2022 Earnings Presentation
27 slides from Infratil's earnings presentation, Nov 12, 2021
Slide 1: Interim Results Announcement
Interim Results Announcement For the period ending 30 September 2021 12 November 2021 Digital Infrastructure Renewables Airports Social Infrastructure
Slide 2: Disclaimer
Disclaimer Disclaimer This presentation has been prepared by Infratil Limited (NZ company number 597366, NZX:IFT; ASX:IFT) (Company). To the maximum extent permitted by law, the Company, its affiliates and each of their respective affiliates, related bodies corporate, directors, officers, partners,
Slide 3: Infratil Interim Results Announcement
Infratil Interim Results Presenters Programme Announcement • Introduction Record net • Six Month Overview parent surplus of • Portfolio Composition $1.1 billion and • Guidance & Dividend resilient • Operating Businesses operating • Financial Results performance Jason Boyes – Infratil CEO • Close & Q
Slide 4: Six Month Overview
Six Net Parent Surplus Proportionate EBITDAF Month Overview Record net $1.1b $253.6m parent surplus of +28.2% $1.1 billion and New investments Capital expenditure & investment resilient operating performance despite Covid-19 4 $833.8m challenges +70.5% 6 month shareholder return Fully-imputed interi
Slide 5: Portfolio Composition
Portfolio Composition High conviction investment Digital Social approach Renewables Airports Infrastructure Infrastructure provides 55% 21% 9% 15% exposure to four significant platforms and geographic diversification Infratil Full year results presentation 2021
Slide 6: Portfolio Composition
Portfolio Composition • Acquisition of Pacific Radiology, the largest diagnostic imaging service provider in New Zealand, operating 46 clinics in the Material progress South Island and lower North Island in building out • Agreement to partner with Auckland Radiology, creating a national diagnostic i
Slide 7: Guidance and Interim Dividend
Guidance and Interim Guidance Dividend Dividend • FY2022 Proportionate EBITDAF guidance range is narrowed to $500-$530 million (previously $505- • A fully imputed interim dividend of 6.5 cps has been announced as part of the interim result Guidance range $550 million) • The FY2022 interim dividend i
Slide 8: Operating Businesses
Operating Businesses Digital Infrastructure Renewables Airports Social Infrastructure
Slide 9: CDC Data Centres
CDC Data Centres Operating Performance • EBITDA for the period was A$75.2 million, a A$1.4 million Continued strong (1.9%) increase on the comparative period offering, • Focus remains on $1 billion of construction currently underway across four sites, which remain on track for execution and commissi
Slide 10: Vodafone
Vodafone Transformation Operating Performance progressing and • EBITDA for the period was $251.8 million, a $27.1 million (12.1%) increase on the comparative period solid foundations • Cost efficiency programme is creating headroom to reinvest and being laid to improving margins, while product simpl
Slide 11: Longroad Energy
Longroad Energy Operating Performance • Longroad continues to demonstrate its capability with the Established as a commissioning of 530MW of solar generation in the last six leading U.S. months • Sun Streams 2 (199MW), commissioned in July with a 20-year renewables agreement with Microsoft for the e
Slide 12: Trustpower
Trustpower Portfolio of Operating Performance flexible and • Generation EBITDA for the period was $106.4 million, a $14.3 million (15.5%) increase on the comparative period geographically • Covid-19 lockdowns have been addressed with minimal diverse impact; Generation operations have been relatively
Slide 13: Wellington Airport
Wellington Airport Operating Performance • EBITDA for the period was $31.5 million, a $20.6 million Short term (189%) increase on the comparative period, and cashflow challenges, long positive, including interest and capital expenditure • July’s 424,000 domestic passengers reflected strong recovery
Slide 14: Retire Australia
Retire Australia Operating Performance • Underlying Profit for the period was A$22.8 million, Strong rebound in a A$9.5 million (71.4%) increase from the comparative period performance, • Priority continues to be the health and wellbeing of RetireAustralia’s residents and its staff reflecting • 296
Slide 15: Diagnostic Imaging
Diagnostic Imaging Operating Performance • As essential healthcare providers, both businesses A new platform continued to provide critical imaging services despite providing lockdowns across New Zealand and Australia • The year-to-date EBITDA impact of Covid-19 is estimated opportunities for at ~$7
Slide 16: Financial Results
Financial Results Earnings Investment Funding Performance 16
Slide 17: Results Summary
Results Summary Record net 30 September ($Millions) 2021 2020 • Operating revenue reflects the addition of surplus for the Operating revenue 541.1 244.1 Qscan and Pacific Radiology and a higher contribution from associates. The comparative period largely Operating expenses (289.8) (76.7) period also
Slide 18: Proportionate EBITDAF
Proportionate EBITDAF Solid 30 September ($Millions) 2021 2020 • Increased CDC operating expenses have offset contributions CDC Data Centres 38.3 38.0 much of the 6.6% revenue growth as the business ramps up for the delivery of H5, EC4, AKL1 and overall and an Vodafone New Zealand 125.6 112.1 • AKL2
Slide 19: Proportionate Capital Expenditure & Investment
Proportionate Capital Expenditure & 30 September ($Millions) 2021 2020 • CDC Data Centres’ ongoing construction of H5, Investment EC4, AKL1 and AKL2 totalling 104MW CDC Data Centres 99.8 77.4 • Vodafone expansion of 4G and 5G, especially in Vodafone New Zealand 110.5 44.9 Significant Trustpower 7.8
Slide 20: International Portfolio Incentive Fees
International Portfolio Incentive Fees 30 September ($Millions) FY2021 Capital Distributions Hurdle1 Valuation Annual Fee IRR2 Performance fees CDC Data Centres 2,401.4 (11.1) 5.8 (144.7) 2,568.9 3.5 37.7% largely driven by Longroad Energy RetireAustralia 136.2 361.0 8.3 - 1.5 - (7.5) (21.7) 156.6 3
Slide 21: Debt Capacity & Facilities
Debt Capacity & Facilities ($Millions) 11 November 31 March 2021 • Upon completion of the Tilt Renewables’ Well positioned Net bank debt/(cash) (1,029.2) 328.2 disposal, Infratil fully repaid its drawn bank debt facilities, leaving a net cash balance of Infratil Infrastructure bonds 1,163.7 1,155.2
Slide 22: Half Year Overview
Half Year Overview Half Year Overview Delivering: • Net parent surplus of NZ$1.1 billion with the completion of the sale of Tilt Renewables. A record Profits and outcome, many years in the making Reinvestment • Operating performance has been resilient in the half-year despite the ongoing challenges
Slide 23: Ideas That Matter
Ideas That Matter www.infratil.com
Slide 24: Share Price Performance
Share Price Performance Infratil Share Price Outstanding 9.00 returns delivered 8.50 over the medium and long-term 8.00 7.50 7.00 Total Shareholder Return1 Period TSR 6.50 6 months 13.2% 6.00 5 Year 26.0% 10 Year 22.7% 5.50 Inception – 27.5 years 19.0% 5.00 30/09 31/10 30/11 31/12 31/01 28/02 31/03
Slide 25: Appendix I
Appendix I Reconciliation of NPAT to 30 September ($Millions) 2021 2020 Proportionate Net profit after tax (‘NPAT’) 1,130.3 57.0 EBITDAF Less: Associates1 equity accounted earnings Plus: Associates1 proportionate EBITDAF (114.1) 180.9 (83.8) 162.9 Less: minority share of Subsidiary2 EBITDAF (77.0) (
Slide 26: Appendix II
Appendix II Movements in 30 September ($Millions) Wholly Owned Opening Wholly Owned Net Bank Debt – 1 April 2021 (328.2 ) Trustpower dividend 29.6 Group Net Bank Tilt Renewables dividend Clearvision dividend 16.1 1.6 Debt Vodafone distributions and shareholder loan interest payments CDC distribution
Slide 27: Appendix III
Appendix III Guidance for the Guidance year ended • Infratil issues guidance on a proportionate EBITDAF basis. Proportionate EBITDAF shows Infratil’s share of the EBITDAF of the companies it has invested in, less Infratil’s operating costs, excluding discontinued operations, and before incentive fee