Meridian Energy Limited · NZX:MEL

Meridian Energy — Investor Day (October 2015)

12 slides from Meridian Energy's investor day presentation, Oct 13, 2015

  1. Slide 1: Better energy future

    Better energy future MERIDIAN ENERGY LIMITED Craigs Investment Partners 2015 investor day presentation

  2. Slide 2: Disclaimer

    13 OCTOBER 2015 Disclaimer The information in this presentation was prepared by Meridian Energy with due care and attention. However, the information is supplied in summary form and is therefore not necessarily complete, and no representation is made as to the accuracy, completeness or reliability o

  3. Slide 3: Agenda

    13 OCTOBER 2015 Agenda § Some history… § Perceptions from offshore § The recurring questions, plus a new one § The current operating environment § Focus for the 2016 financial year MERIDIAN ENERGY LIMITED Craigs Investment Partners 2015 investor day presentation 3

  4. Slide 4: Some history... the plot so far

    13 OCTOBER 2015 EBITDAF1 +5% Some history... $M 625 the plot so far 600 +7% 575 618 550 590 § Made two years of forecast numbers 585 525 548 500 2014 PFI 2014 actual 2015 PFI 2015 actual Financial Year ended 30 June 1Earnings before interest, taxation, depreciation, amortisation, changes in fair va

  5. Slide 5: Some history... the plot so far

    13 OCTOBER 2015 FREE CASH FLOW3 Some history... $M 450 +8% +12% the plot so far 400 350 300 250 398 § AND paid out more dividends to 336 376 369 200 shareholders 150 100 2014 PFI 2014 actual 2015 PFI 2015 actual Financial Year ended 30 June 3Net profit after tax adjusted for post tax impact of fair

  6. Slide 6: Some history... the plot so far

    13 OCTOBER 2015 Some history... the plot so far § AND avoided political change to the market structure § While deferring a Tiwai smelter exit decision § And getting a price increase on part of the Tiwai load MERIDIAN ENERGY LIMITED Craigs Investment Partners 2015 investor day presentation 6

  7. Slide 7: Perceptions from offshore

    13 OCTOBER 2015 Perceptions from offshore § The yield story is not dead § China remains a big concern § Chinese government has spooked investors with intervention § Businesses in stable economies with good cashflows and a shareholder friendly bias (capital return) have a story to tell § The pace

  8. Slide 8: The recurring questions, plus a new one

    13 OCTOBER 2015 The recurring questions, plus a new one § Tiwai Point smelter – “should I stay or should I go?” § How are the politicians thinking about the electricity market? § Transmission pricing review – progress? § Demand – any growth yet? § What happens if all the announced thermal retir

  9. Slide 9: The current operating environment

    13 OCTOBER 2015 NEW ZEALAND CUSTOMER NUMBERS The current operating ICP (000) 350 Meridian North Island Meridian South Island -0.1% Powershop environment 300 274 287 272 277 276 48 250 34 51 55 56 200 130 123 114 115 116 150 § New Zealand and Australian retail 100 environments are expected to stay 1

  10. Slide 10: The current operating environment

    13 OCTOBER 2015 AVERAGE RETAIL CONTRACTED SALES PRICE The current operating $/MWh 110 environment -1% 105 100 106 § Retail prices have stayed up 95 103 104 103 98 § National storage is currently at 90 average levels 2011 2012 2013 2014 2015 Financial Year ended 30 June NZ NATIONAL HYDRO STORAGE (7

  11. Slide 11: Focus for the 2016 financial year

    13 OCTOBER 2015 Focus for the 2016 financial year § Understand and execute preferred options for a post 2018 world § Continue our retail efficiency drive § Continue growth in Powershop Australia § Decision on franchising the Powershop model to a northern hemisphere retailer by Christmas MERIDIAN E

  12. Slide 12: Questions

    Questions MERIDIAN ENERGY LIMITED Craigs Investment Partners 2015 investor day presentation

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