Infratil Limited · NZX:IFT
Infratil — Investor Day (February 2022)
81 slides from Infratil's investor day presentation, Feb 15, 2022
Slide 1: Investor Day – Digital infrastructure Platform
Investor Day – Digital infrastructure Platform 15 February 2022
Slide 2: Global demand for digital infrastructure is accelerating
Global demand for digital infrastructure is accelerating Infratil has exposed shareholders early to this emerging trend Australia and New Zealand • Invested in 2016 • Australia’s most secure and resilient data centre provider • Recent expansion into Europe New Zealand • Revenues underpinned by long-
Slide 3: Connectivity has evolved to a comprehensive digital economy
Connectivity has evolved to a comprehensive digital economy The fast growing digital industry has become a critical building block of society Digital services are becoming increasingly integrated and essential to every … and has seen exponential growth in data facet of modern life… traffic over the
Slide 4: Demand outlook for digital infrastructure remains strong
Demand outlook for digital infrastructure remains strong New use cases and ways of working will only accelerate the trend Global Data Traffic Forecast (EB/month) Key Demand Drivers Δ in EB ’21-’27 Δ CAGR 920 Total 620 3.1x 21% Accelerated • Existing workloads scale with business activity growth Work
Slide 5: Infratil is well exposed across the digital ecosystem
Infratil is well exposed across the digital ecosystem Fiber, subsea, wireless, and data centres continue to be our focus going forward Legend Infratil current exposure Current pipeline focus SATELLITE THE INTERNET TRANSMISSION SUBSEA DATA Satellite CENTRES People WIRELINE POPs & core POI network Pre
Slide 6: Investor Day – Renewables Platform
Investor Day – Renewables Platform 15 February 2022
Slide 7: A Global Renewables Platform
A Global Renewables Platform Infratil is consolidating its position as a global player in renewable energy Europe • Established in February 2020 • Wind, Solar & Storage • 3.4GW development pipeline • 28 employees • 6 markets addressed Asia • Established in July 2021 • Wind, Solar & Storage • 3.9GW d
Slide 8: A Global Platform
A Global Platform Strengthening commitment to net zero, around 90% of global emissions are now covered Proven Leaders in • • Clean energy investment set to more than triple to around $4 trillion per year by 2030¹ to Renewable Energy meet goals • EU energy crisis is highlighting the need for sovereig
Slide 9: Galileo Green Energy – Infratil Investor Day
Infratil Investor Day 15 February 2022 Galileo Green Energy | Infratil Investor Day | 15 February 2022
Slide 10: Agenda
Agenda 1. Energy Transition in Europe 2. Galileo Green Energy Investment Thesis 3. After 2 years 4. Development Perspectives Galileo Green Energy | Infratil Investor Day | 15 February 2022
Slide 11: Energy Transition in Europe: the fundamentals
1. Energy Transition in Europe: the fundamentals Renewable Energies provide a positive response Europe is a large and cohesive market with to all 4 parameters of a good energy mix internationally leading policies and commitment │ Europe ➢ c. 500 million people SECURE AFFORDABLE ➢ c. €15 trillion GDP
Slide 12: Energy Transition in Europe: outstanding renewable growth trajectory
1. Energy Transition in Europe: outstanding renewable growth trajectory Renewable Energy is set to increase its share in Europe’s Outstanding development and investment power mix by c. 900TWh, covering over 60% by 2030 opportunity in a fast-growing market Net generation (TWh) Installed capacity (GW)
Slide 13: Energy Transition in Europe: geopolitical energy crisis
1. Energy Transition in Europe: geopolitical energy crisis 270 €/MWh DELIVERED DEC 2021 FORWARD 220 CURVES 170 120 70 20 2017 2018 2019 2020 2021 2022 2023 2024 2025 France Germany Italy Spain UK ➢ Forward power prices show record levels across all large European countries, with forward prices for c
Slide 14: Energy Transition in Europe: first policy responses to rising energy prices
1. Energy Transition in Europe: first policy responses to rising energy prices ➢ In October 2021, the European Union published a “toolbox” of measures to tackle surging energy prices. Several countries already announced / adopted short-term measures in line with the EU guidelines: Short-term measure
Slide 15: Galileo Green Energy: key competences and market strategy
2. Galileo Green Energy: key competences and market strategy Differentiation through combination of 4 key Galileo Green Energy’s competences in this new era of renewables Market Strategy Develop the most competitive projects in their Competitive Development respective markets together with local par
Slide 16: Galileo Green Energy: investment thesis and positioning
2. Galileo Green Energy: investment thesis and positioning Investment Thesis Value creation through ➢ competence-driven and fast-moving development of flexibly financed projects, ➢ predominantly green-field in an expanding market, ➢ with risks mitigated through geographical and technological diversi
Slide 17: Galileo Green Energy: 2 years after our start
3. Galileo Green Energy : 2 years after our start At the start Feb 2021 Investor Day Feb 2022 Investor Day │ Created in 1 year after our start 2 years after our start February 2020 │ 16 people │ 28 people │ Capital commitment for development of │ 4 Joint Development Agreements │ 11 active Joint Vent
Slide 18: Galileo Green Energy's European management team
3. Galileo Green Energy’s European management team Ingmar Wilhelm Paolo Grossi Katy Hogg Nikolaus Mainka │ Chief Executive Officer │ Chief Commercial Officer │ Chief Operating Officer │ Chief Financial Officer │ 30 years of experience with E.ON, ENEL, │ 30 years of experience with ENEL, │ 15 years o
Slide 19: Evolution of Galileo Green Energy's pipeline
3. Evolution of Galileo Green Energy’s pipeline GGE’s Pipeline evolution by technology 3,433 3,500 3,247 12% 19% │ Galileo’s development pipeline 3,000 2,591 2,500 2,239 has more than doubled in size 14% over the course of 2021, reaching MW 2,000 43% 39% 1,464 38% 35% Storage 1,500 7% 3.4 GW in Janu
Slide 20: Galileo Green Energy's current portfolio of partnerships
3. Galileo Green Energy’s current portfolio of partnerships Ireland Sweden │ c. 400MW pipeline │ c. 650MW pipeline │ Technology: onshore wind │ Technology: onshore wind │ 1 joint venture │ 1 joint venture Spain UK │ c. 900MW pipeline │ c. 1,100MW │ Technology: solar PV │ Technologies: onshore wind,
Slide 21: Our Growth Plan: Quantitative Development Perspectives
4. Our Growth Plan: Quantitative Development Perspectives Target Growth Plan of Galileo Green Energy Investable projects Ramp up to c.300 to 500MW per year Investment potential of €300 to €500m per year, Investments with ample sell-down opportunities in an deep market Targeting over 10 GW of quality
Slide 22: Our Growth Plan: Qualitative Development Perspectives
4. Our Growth Plan: Qualitative Development Perspectives Who Energy, development and investment experts we are What Create projects and implement we do green energy solutions Responsible, transparent, swift, Shared diverse, Principles united! Why we do it Passion for energy, ecology and efficiency W
Slide 23: Galileo Green Energy GmbH
Galileo Green Energy GmbH Usteristrasse 12 CH-8001 Zurich info@galileogreenenergy.com www.galileogreenenergy.com
Slide 24: Gurin Energy – Infratil Investor Day
Infratil Investor Day – 15 February 2022 Infratil Investor Day 15 February 2022 1
Slide 25: Singapore-headquartered, pan Asian renewables platform
Singapore-headquartered, pan Asian renewables platform, led by team with decades of experience successfully developing and investing in Asia’s energy sector Gurīn Core Competencies Value Delivered Presence Navigate fast evolving energy and regulatory environments Strong in-country staffing and conta
Slide 26: Rationale for Renewable Investment in Asia-Pacific
Rationale for Renewable Investment in Asia-Pacific • Dynamic emerging economies, sustaining world-leading GDP growth as Globalization Target Markets 2.0 unfolds • Governments mobilizing to address urgent green energy requirements in the face of climate crisis. • Renewables transformation gathering s
Slide 27: Asia OECD: Profile, People and Pipeline
Asia OECD: Profile, People and Pipeline SOUTH KOREA JAPAN Gurīn Presence and Pipeline Gurīn Presence and Pipeline 2 staff (development) 1 staff (development) Solar, ground: 500 MW Solar, ground: 150 MW Wind, onshore: 100 MW Sector Profile 2020 Sector Profile 2020 Installed capacity 129 GW Installed
Slide 28: ASEAN: Profile, People and Pipeline
ASEAN: Profile, People and Pipeline VIETNAM PHILIPPINES Gurīn Presence and Pipeline Gurīn Presence and Pipeline 1 staff (development) 8 staff (development and operations) Solar, ground: 168 MW Solar, ground: 550 MW Wind, nearshore: 225 MW Sector Profile 2020 Sector Profile 2020 Installed capacity 69
Slide 29: India: Profile, People and Pipeline
India: Profile, People and Pipeline INDIA Gurīn Presence and Pipeline 0 staff Solar, ground: 560 MW Wind, onshore: 120 MW Sector Profile 2020 Installed capacity 370 GW Peak demand 182 GW Generation 1,381 TWh RE share (capacity) 22% 6
Slide 30: Gurin Energy catalysts, targets and KPIs
Gurīn Energy catalysts, targets and KPIs Catalysts Targets KPIs All policies and procedures in place Platform Development Complete build-out (e.g. ESHS, financial, operational, development processes) People: 50 in Gurīn Complete establishment of key People and Partners Partners: 100 via joint develo
Slide 31: Gurin Principals
Gurīn Principals Assaad Razzouk Michael Boardman Robert E. Driscoll Chief Executive Officer Chief Financial Officer Chief Operating Officer • Translates Board strategy into business plan; directs • Translates business plan into annual budget and five- • Maintains standards of technical excellence, a
Slide 32: Gurin Energy Pte. Ltd.
Gurīn Energy Pte. Ltd. 3 Anson Road #24-03A Springleaf Tower Singapore 079909 enquiries@gurīnenergy.com https://gurinenergy.com/
Slide 33: Infratil Investor Day February 2022
Infratil Investor Day 15 February 2022
Slide 34: Retail business sale nears completion
Retail business sale nears completion The operational activities required to separate the Retail business from retained operations are on track, in preparation for settlement of the transaction with Mercury which is now expected to be in the second quarter of 2022 • The key conditions of the sale be
Slide 35: Manawa Energy
Manawa Energy Future Focused: • Upon completion of the sale, Trustpower will be renamed ‘Manawa Energy’ – a name gifted to us by Ngāti Hangarau hapū, who hold mana whenua over the area where our Kaimai scheme is located. • Directly acknowledges our shared whakapapa with Ngāti Hangarau and has specia
Slide 36: Manawa Energy – Core Focus Areas
Manawa Energy – Core Focus Areas Leveraging on the relative strengths of Trustpower: • Excellence in operating small and diverse assets across the country • Excellence in understanding commercial and industrial customers needs • Excellence in understanding transmission and distribution of energy • E
Slide 37: Manawa Energy – Inflation
Manawa Energy – Inflation Manawa Energy revenues are relatively insulated from a high inflationary environment as most are linked to wholesale energy pricing. Particular large hedge contracts either contain CPI escalators or are linked to ASX future prices C&I customer contracts are generally for 3
Slide 38: Market Conditions Update
Market Conditions Update Recent market, hydrological, and other factors have resulted in some downward pressure on earnings for H2 FY-22: • Unsettled weather including a very dry January period • The current outage at our Waipori scheme is experiencing delays due to unexpected emergent works discove
Slide 39: Investor Day – Healthcare Platform
Investor Day – Healthcare Platform 15 February 2022
Slide 40: Healthcare is an essential service globally
Healthcare is an essential service globally A clear path to building a scale healthcare infrastructure platform Australia • Invested in 2020 • Comprehensive diagnostic imaging business operating predominantly on the eastern seaboard of Australia • Qscan is one of Australia’s largest radiology provid
Slide 41: Strong structural tailwinds
Strong structural tailwinds Australian population by age cohort New Zealand population by age cohort The growing and FY2019-30F CAGR FY2019-30F CAGR Millions of people Millions of people ageing population 30 1.3% 85+ (19-30F) 3.3% 6 1.5% 85+ (19-30F) 4.2% continues to drive an 75-84 4.1% 65-74 1.9%
Slide 42: Healthcare sector market update
Healthcare sector market update Australian public healthcare expenditure Government funding FY2013-22F A$bn for healthcare 100 5.4% expenditure 80 4.3% continues to 60 increase, with a step- 40 61 65 66 69 71 75 79 82 94 98 up expected in the 20 near term due to the 0 2013 2014 2015 2016 2017 2018 2
Slide 43: Diagnostic imaging platform strategic vision
Diagnostic imaging platform Strategic vision Australasia’s Strong platform for leading provider of future growth. radiology services, meeting the needs of a growing and aging population Opportunities to build synergies across existing assets Organic growth In-organic growth Synergies Key strategic p
Slide 44: Market leading radiology platform
Market leading radiology platform Platform Revenue Platform EBITDA Combined platform 600 (NZD millions) 180 (NZD millions) 30% growth driven by 500 150 25% focus on high value 400 120 20% modalities 300 90 15% 200 60 10% 100 30 5% 0 0 0% FY19 FY20 FY21 LTM Dec-21 FY19 FY20 FY21 LTM Dec-21 Modality M
Slide 45: Platform synergies
Future healthcare opportunities for Infratil Strategic bolt-on acquisitions for diagnostic imaging Cardiology platform and scale Oncology Neurology Platform synergies acquisitions in Expansion within diagnostic adjacent healthcare imaging Entry into adjacent healthcare sectors sectors • Clinic expan
Slide 46: Global platform expansion
Global platform expansion Global vision and strategy Global platform synergies Significant platform Leverage existing • Number of attractive markets with translatable operating ✓ Building out tele-radiology capability with opportunity for true opportunities radiology operating experience and dynamic
Slide 47: Infratil Investor Day February 2022
Infratil Investor Day 15 February 2022 1
Slide 48: National radiology network
National network of 75+ radiology clinics diversified across metropolitan, regional & super-regional geographic segments Unique portfolio with strong competitive differentiation delivering catchment leadership and high barriers to scale National radiology network… Qscan clinic network as at 30-JAN-2
Slide 49: Australian Diagnostic Imaging Sector Snapshot
Australian Diagnostic Imaging Sector Snapshot
Slide 50: Australia Radiology Industry Snapshot
Australia Radiology Industry Snapshot Radiology in Australia has experienced a consistent industry growth of 6% p.a. Predictable, structural, Predictable long-term industry growth growth of ~6% p.a. 6.4 ▪ Radiology in an essential service and a key pillar in disease identification, prevention and mo
Slide 51: Radiology Key Industry Drivers
Radiology Key Industry Drivers Long term sustainable growth is underpinned by a number of favourable industry conditions Driver Summary ▪ Industry demand increases in-line with population growth Population ▪ Australia’s population is anticipated to grow steadily in the future at 1.6% p.a. ▪ The gene
Slide 52: Current Financial Performance
Current Financial Performance
Slide 53: Short term revenue and earnings impacted by COVID
Short term revenue and earnings impacted by COVID but underlying fundamentals of the radiology industry remain strong Track record of strong annual revenue growth Continuation of margin expansion expected post COVID Revenue ($m) >60% of clinic revenue from high value modalities 4% 10% 36% 266.8 25%
Slide 54: Despite COVID impacts Qscan growth continues to outperform overall DI Market
Despite COVID impacts Qscan growth continues to outperform overall DI Market Qscan has maintained services despite significant impacts of COVID in key states resulting in billings growth for 12 months to December 2021 of 12% vs. Market growth of 8% for the same period. Rolling 12 month YoY Billings
Slide 55: The Next Phase....
@ The Next Phase....
Slide 56: Clinic expansions opening in FY22/23
Clinic expansions opening in FY22/23 Qscan Windsor Gardens, SA Qscan Kingswood, NSW Qscan Aspley, QLD Opened February 2021 Opened January 2022 Expansion completed in January 2022 Modalities include: Modalities include: Modalities include: • X-ray • PET-CT • Ultrasound (3 of now) inc. echo • Ultrasou
Slide 57: Clinic expansions opening in FY22/23
Clinic expansions opening in FY22/23 Qscan Westmead, NSW Qscan Midland, WA Opening March 2022 Opening March 2022 Modalities will include: Modalities will include: • X-ray • X-ray • Ultrasound • Ultrasound • PET-CT • PET-CT • CT • CT • Interventional procedures • Interventional procedures
Slide 58: FY23 Key Focus areas
FY23 Key Focus areas • Continued implementation of ‘best in class’ IT / operating systems across the entire network, to maximise benefits of integration and scale • Focussed investment in Teleradiology, including the roll-out of a national, integrated Radiologist orchestrated workflow management too
Slide 59: RHC Group
RHC Group Infratil Investor Day 15 February 2022
Slide 60: NZ's Largest Radiology Network
NZ's Largest Radiology Network Large-scale national business providing specialist imaging, diagnostic and interventional radiology services National portfolio of 70 clinics o 39 clinics north island o 31 clinics in south island o + located at 18 key private hospitals o 140 radiologists nationwide 31
Slide 61: New Zealand Industry Drivers
New Zealand Industry Drivers Sustainable growth driven by favourable market context • Pressure on public health >higher demand for private radiology services COVID • Radiology an essential service in identification, prevention and monitoring of CONTEXT patient health-care cycle; people more health c
Slide 62: Our Competitive Advantage
Our Competitive Advantage • Largest private radiology provider in NZ • PRG/RHC is the national leader in PET National Scale • Combined group approximately four times larger than next largest provider • Offers full suite of diagnostic imaging modalities Extensive range of • Expansive breadth of radio
Slide 63: High-Value Modalities
High-Value Modalities Modality # of Machines Modality value Patient / Referrer value R • High margin modality • MRI technology provides highly detailed body images for diagnosis MI 33 • Focused on private pay market of a range of issues / diseases CT 19 • Focus on the high yield volume Including 4 a
Slide 64: Strategic Modality Mix
Strategic Modality Mix • Good mix of modality in all locations • Target high margin growth in new services • ‘World class radiology” Revenue by funder ACC Revenue by modality MRI DHB/MOH CT Other PET/CT 9% 8% US Private 30% 13% XR SX et al 36% MA 34% 20% 1% 26% 5% 18%
Slide 65: Strategic Growth Plan
Strategic Growth Plan With a strong commercial platform, significant market share and proven reputation for clinical and operational excellence, we can achieve above-market growth expectations Research Growing share of Technology external reporting Continually market expanding Leverage existing netw
Slide 66: Recent expanded Capability
Recent expanded Capability (Post acquisition) Unprecented growth, new purpose-built regional facilities delivered on time within budget Continued future capital spend at key locations Pacific Radiology, Pacific Radiology, Pacific Radiology, Kawarau Park Queenstown Rolleston, Canterbury Wakefield, We
Slide 67: In Summary
In Summary • Diversified funding sources : ACC , Public Hospitals, Ministry of Health screening initiatives, private health care Diversified insurance & direct patient fees funding • With capacity constraints on public health systems, private clinics broadly accepted as valuable & necessary for stre
Slide 68: RetireAustralia
RetireAustralia Infratil Investor Day – 15 February 2022
Slide 69: Strong rebound in performance
Strong rebound in performance • FY22 has presented significant challenges due to the Covid-19 pandemic, including supply chain issues, workforce pressures and increased cost of materials for refurbishments and construction activities • On the flip side, a buoyant property market has contributed to t
Slide 70: Capitalising on momentum
Capitalising on momentum Total Settlements • RetireAustralia is anticipating a strong finish to 600 FY22 with total sales of 490 to 520 units forecast compared a budget of 442 and last year’s 343 500 • In FY23 RetireAustralia will focus on optimising its 400 processes to return stock to market as qu
Slide 71: Developments under construction
Developments under construction • After a pandemic-induced slowdown with developments in 2021, RetireAustralia is accelerating construction with four sites under construction • 34 apartments are being added to The Rise at Wood Glen, and 22 units at Forresters Beach - both are premium villages on the
Slide 72: Investor Day – Airports
Investor Day – Airports 15 February 2022 1
Slide 73: Wellington International Airport
Wellington International Airport Infratil Investor Day 2022
Slide 74: Resilient long-term passenger growth pre-Covid
Resilient long-term passenger growth pre-Covid Average annual pax growth over 20 years to FY20 was +2.7% p.a. Millions 7 Covid-19 2020 - 2022 GFC Swine Flu Chch EQ 6 2008 2009 2011 Global aviation SARS recovery expected by 5 2024-25 with earlier 2002 - 2004 domestic and short haul recovery 4 3 FOREC
Slide 75: 82% domestic traffic means WLG less exposed to Covid
82% domestic traffic means WLG less exposed to Covid Passenger numbers have recovered strongly between periods of lockdown but currently Omicron disruption All NZ at Level 1 & Trans Tasman bubble open Auckland Level 3 lockdown Delta outbreak. TT bubble Omicron emerges & all of NZ closes & Auckland L
Slide 76: Industry expects global aviation recovery by 2024/25
Industry expects global aviation recovery by 2024/25 Previous results show domestic/short haul demand is materially restored when travel restrictions are lifted • Covid is the biggest and longest shock to ever hit aviation Domestic Passenger Capacity at WLG 2019 2020 2021 700,000 • Omicron outbreak
Slide 77: Focus remains on managing cash flows and long term funding
Focus remains on managing cash flows and long term funding Preparing a platform for a return to growth ✓ Positive cashflows forecast for FY22 despite Covid-19 disruption, reflecting cost efficiency & ongoing capex management ✓ Strong liquidity following $125m retail bond issue in September Funding &
Slide 78: EBITDA, Capex & FY22 Highlights
EBITDA, Capex & FY22 Highlights EBITDA forecast to recover in line with pax; capex managed in line with free cash flow Capex Forecast • Ongoing focus on essential capex only; maintaining debt EBITDA ($m) levels COVID-19 120 2020 - 2022 • No major capex works committed or required in short term other
Slide 79: Appendix
Appendix Infratil Investor Day 2022 1
Slide 80: Portfolio Composition
Portfolio Composition • CDC Data Centres is the largest privately owned and operated data centre business in Australia. Infratil is a high • CDC currently operates nine data centres, powered by 133MW, across three campuses in Sydney and Canberra During 2022 this will grow to in excess of 200MW acros
Slide 81: Portfolio Composition
Portfolio Composition • Development platforms in Asia (Gurīn Energy) and Europe (Galileo Green Energy) focussed on greenfield Infratil is a high development, acquisitions, strategic co-development opportunities across multiple markets in wind and solar assets. Combined development pipeline of 7.3GW