Spark New Zealand : H2 FY25 Results Market Release

About this update from Spark New Zealand Limited

MARKET RELEASE - Wednesday, 20 August 2025 Spark announces FY25 results within updated guidance Delivering EBITDAIi, capex, and FY25 dividend within updated guidance Reported revenueii of $3,725m declined 2.5%; adjusted revenue of $3,700m declined 4.2% Reported EBITDAI of $1,053m declined 7.7%; adjusted EBITDAI of $1,060m declined 8.9% Reported NPAT of $260m declined 17.7%; adjusted NPAT of $227m declined 33.6% Final dividend of 12.5 cents per share declared, bringing total FY25 dividend to 25 cents per shareiii Significant transformation on track - with portfolio management delivering $356miv in proceeds from non-core asset divestments and cost reduction programme delivering $85m in H2 25 vs H2 24 Sale of 75% stake in data centre business expected to deliver initial cash proceeds of ~$486mv at completion, while retained 25% stake supports long-term shareholder value creation New five-year strategy and capital management reset refocus Spark and its capital investment on its core connectivity business Spark New Zealand (Spark) today announced its FY25 results within updated guidance, and a new five-year strategy and capital management reset that refocuses Spark on its core connectivity business. Spark Chair Justine Smyth said, "The past year has been one of the most challenging periods in Spark's history, as we navigated economic headwinds, materially lower customer spending, and ongoing structural change in some of our markets. "Not all the challenges we faced were beyond our control, and at our AGM in November we outlined the significant transformation programme we would implement to improve performance. This included a renewed focus on our core business, a strategic review of non-core assets, an expanded cost-out programme, and a focus on realising value from our data centre business. "We have made good progress since that time. We undertook a strategic review of non-core assets to recycle capital into our core business and reduce net debt. This culminated in the sale of our remaining stakes in Connexa and HTALvi, delivering combined proceeds of $356 million. "To support the growth of our data centre business, we were pleased to announce we had entered into an agreement to sell a 75% interest to Pacific Equity Partners (PEP) in August. The agreement values the business at up to $705 millionvii, which represents a FY25 pro-forma EBITDA multiple of 30.8xv...

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