Infratil Limited · NZX:IFT
Infratil — Shareholder Meeting (August 2004)
24 slides from Infratil's shareholder meeting presentation, Aug 2, 2004
Slide 1: AGM Presentation
AGM Presentation 2 August 2004
Slide 2: Track Record
Track Record • Ten year record of >20% pa after tax return • In 7 of the 10 years the return was >20% pa after tax • $100 invested in March 1994 would have compounded to >$900 now • In ten years Infratil has raised $174.9million from shareholders. It has paid $175.9 million in gross dividends and ha
Slide 3: Portfolio Evolution
Portfolio Evolution $M 1000 800 600 400 200 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 Energy Distribution Other Ports Generation Airports
Slide 4: Wellington Airport
Wellington Airport
Slide 5: Wellington Airport
Wellington Airport
Slide 6: Passenger Services Income
Passenger Services Income Hobbiton Airport Middle-Earth Airport
Slide 7: Wellington Airport
Wellington Airport $ Non-Property Income Per Passenger 000s Passengers 14 4,500 Aeronautical Income Terminal Services Income Domestic International 12 4,000 10 3,500 8 6 3,000 4 2,500 2 2,000 0 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 1997 1998 1999 2000 2001 2002 2003 2
Slide 8: Passenger Growth
Passenger Growth • Competition → capacity → price → passenger numbers ¾ Airlines currently focused on cost Index minimisation NZ Domestic/International Air Travel Costs: Real 160 ¾ Air trave demand price sensitive 150 Domestic International 140 130 • The AirNZ-Qantas alliance 120 would reduce compet
Slide 9: Passenger Growth
Passenger Growth • The low-cost/low-fare airline model propels growth 000s London-Barcelona (seats offered) • Stable low-growth routes 1,500 respond to vigorous competition Iberia BA Others easyJet Ryanair and lower fares 1,200 ¾ London-Barcelona in 1995 was 900 350,000 seats pa 99% BA and Iberia 60
Slide 10: Glasgow Prestwick Airport
Glasgow Prestwick Airport a vege RYANAIR El-CJH 88 RYANAIR COCR RCCRCCR CREE Ge beeeeoeeeaeecca.
Slide 11: Glasgow Prestwick Airport
Glasgow Prestwick Airport Passenger Numbers Freight Tonnage 4,500 50,000 Passengers Annual Total 250 2,500 4,000 45,000 Freight Annual Tota Monthly Passengers 3,500 40,000 Freight (Tonnes) 200 2,000 35,000 3,000 (Tonnes) 150 1,500 30,000 2,500 (000s) (000s) 25,000 2,000 100 1,000 20,000 1,500 15,000
Slide 12: TrustPower
TrustPower asa >
Slide 13: Electricity Prices: Actual
Electricity Prices: Actual Wholesale Electricity Price c/kWh 25 20 Monthly average 15 10 Half year average 2yr contracts 5 0 Apr-99 Apr-00 Apr-01 Apr-02 Apr-03 Apr-04 Apr-05 Apr-06 Oct-99 Oct-00 Oct-01 Oct-02 Oct-03 Oct-04 Oct-05 1 c/kWh increase = $20million increase to TrustPower’s earnings
Slide 14: Electricity Prices: Generation Tight
Electricity Prices: Generation Tight GWh Dry Year Margin Electricity Generation by Type 50,000 20% Hydro Geothermal forecasts 45,000 18% Other/wind Coal/Gas* 40,000 Oil Other Gas 16% New CCGT/Coal Dry Year Margin 35,000 14% 30,000 12% 25,000 10% 20,000 8% 15,000 6% 10,000 4% 5,000 2% 0 0% 1975 1980
Slide 15: Electricity Prices: New Plant Economics
Electricity Prices: New Plant Economics New Zealand Cost of Generation Alternatives c/kWh (firm base load equivalent) 9 8 7 6 5 4 3 2 1 0 Wind Hydro Gas @ $6/GJ Small Scale Large Scale Coal West Coast Coal @ $3.50/GJ @ $1.50/GJ Capital & O&M Fuel cost CO2 Tax @ $15/t
Slide 16: Electricity Prices: Gas Availability
Electricity Prices: Gas Availability 250 NZ Gas Supply and Demand Kupe Pohukura Minor On-shore 200 McKee/Mangahewa NZ Gas Supply (PJ pa) Kapuni Maui ROFR Maui 150 Base Demand + Methanol (low) + max Methanol & Huntly 100 50 0 2004 2006 2008 2010 2012 2014 2016 2018 2020
Slide 17: Delivered Electricity Prices
Delivered Electricity Prices International Electricity Prices - June Qtr 2003 50 45 NZ c/kWh (incl all taxes) 40 35 30 25 20 15 10 5 0 Italy Turkey Mexico* Norway* Switzerland France* United Finland New Zealand Denmark Canada* Belgium* Industry Residential Source: MeD Data File Jan 2004 - Table I12d
Slide 18: Future: Infratil Investment Approach
Future: Infratil Investment Approach • Investment strategy & approach ¾ Invest in areas of expertise ¾ Invest to exert influence/control ¾ Invest in anticipation of above average returns on a risk adjusted basis • Sector selection critical • 10+ year track record of adherence to vision statement ¾ F
Slide 19: Whenuapai: It Exists
Whenuapai: It Exists A Ei Waitakere City Council Te Taiao o Waitakere Infratil
Slide 20: Whenuapai
Whenuapai • Waitakere’s rationale ¾ Economic stimulation ¾ Jobs & ratings base ¾ Less demand for roads • 1,200,000 people in Auckland ¾ 2,000,000 forecast for 2050 ¾ 850,000 (from 400,000) north/west Auckland • Whenuapai would materially benefit Auckland’s traffic ills ¾ Road, ferry, rail ¾ Consiste
Slide 21: Whenuapai: Auckland Central
Whenuapai: Auckland Central
Slide 22: Whenuapai: Auckland Connectivity
Whenuapai: Auckland Connectivity 8 Hours 6 hours 4 hours 100% 100% 90% 97% 96% 96% 97% 94% 80% 83% % of resp on d en ts 70% 72% 60% 65% 65% 64% 61% 50% 54% 40% 47% 44% 41% 30% 38% 34% 35% 34% 20% 26% 10% 0% 3 nights 4 nights 5 nights 6 nights 7 nights 8 nights 9 nights Duration of stay
Slide 23: Infrastructure People & Environments
Infrastructure People & Environments
Slide 24: www.infratil.com
www.infratil.com