Full Year Results for year ended 31 March 2019
17 May 2019
Infratil Limited's Annual Report for the full year ended 31 March 2019 is now available here
Strong underlying performance enabled significant capital to be invested in high performing renewable energy and data
Underlying EBITDAF before incentive fees was $580.1 million for the year ended 31 March 2019, up from $482.0 in the
prior year. Infratil’s Underlying EBITDAF was $539.5 million, down from the $546.4 million reported in 2018.
The reduction in Underlying EBITDAF reflects the $102.6 million initial incentive fee payable in relation to Infratil’s
investments in Canberra Data Centres (‘CDC’), Longroad Energy, Tilt Renewables, and the Australian National University’s
Purpose-Built Student Accommodation concession (‘ANU PBSA’). The fee assesses the performance of these assets since
their respective dates of acquisition and reflects the outperformance of each asset over that period.
During the year, $679.0 million was reinvested into Infratil’s existing businesses, including $236.4 million into Tilt
Renewables, $140.6 million into CDC, $87.2 million into Longroad Energy and $72.1 million of capital expenditure at
Wellington International Airport. The investment has supported the following significant projects underway within these
• Tilt Renewables’ construction of the 336MW Dundonnell wind farm;
• CDC’s acquisition of the Eastern Creek Data Centre facility in Sydney, which has development potential of up to 120MW;
• Longroad’s construction of the Project Phoebe (315MW) solar project and the Project Rio Bravo (238MW) wind project;
• Wellington Airport’s Rydges Hotel and multi-level carpark which are completed and open for business.
This investment now underway will underpin Infratil’s future earnings and long-term capital growth. Significant progress
has also been made tightening the portfolio during the year. Infratil has signed conditional sales agreements for its
interests in NZ Bus, ANU and Snapper, and is in negotiations with prospective buyers of its interest in Perth Energy
with conclusion of the strategic review expected in FY2020.
Infratil’s share price rose from $3.10 on 31 March 2018, to $4.17 on 31 March 2019. Dividends of 17.00 cents per share
were paid during the year. Had the cash dividends been reinvested in Infratil shares at the time they were paid they
would have provided a return of 5.5% per annum on the 31 March 2018 share price. Added together, the dividend and share
price movement resulted in shareholders receiving a return of 41.3% in the year to 31 March 2019.
Infratil has announced a final dividend of 11 cents per share, plus 2 cents per share of imputation credits, delivering
a total ordinary dividend to shareholders of 17.25 cents per share for the 2019 financial year. The final dividend will
be paid on 27 June 2019.
On 14 May Infratil made a significant announcement post balance date regarding the conditional acquisition of Vodafone
NZ alongside Brookfield Asset Management. The acquisition of New Zealand's leading mobile telecommunications company
is transformational for Infratil and significantly strengthens the cash generative core of the portfolio. Vodafone NZ
increases Infratil's exposure to longterm data and connectivity growth and complements the acquisition of Canberra Data
Following the recently announced divestments, the Infratil portfolio will now hold substantial positions across
renewable energy, data, retirement and aged care, and airports. Infratil has provided Underlying EBITDAF guidance range
from continuing operations of $635 - $675 million for the year ending 31 March 2020. This includes a 7-month
contribution from Vodafone NZ.