Infratil Results for Year Ended 31 March 2014
-Net parent company surplus for the year was $199 million ($3 million the prior year). Net consolidated operating cash flow was $407 million, up from $288 million.
-A final dividend of 7.0 cents per share (6.0 cents prior year) will be paid on 16 June to shareholders on the register on 29 May. Infratil has the goal of providing shareholders with growing tangible returns and over the last 4 years the annual dividend has increased from 6.25 cps to this year's 10.75cps. The dividend reinvestment plan will not operate on this occasion.
-Infratil and its 100% subsidiaries ended the period with $1,062 million of net debt, down from $1,276 million a year prior.
-To drive future earnings and value growth the group committed $616 million of capital to new investments, bringing the five year total to $1,973 million.
The investment undertaken and the plans for further investment are expected to drive future earnings and value growth. This is also related to a strategy of asset rejuvenation and providing proof of value.
Next year is expected to be at least as active as the last and will include a review of Lumo Energy and Direct Connect to compare a continuation of the current organic growth plans against inorganic merger/acquisition options and against divestment.
The growing New Zealand economy will drive demand for transport and energy and it is expected there will be increasing private provision of infrastructure on both sides of the Tasman.
Guidance for FY2015 earnings before interest, tax, depreciation, amortisation and fair value movements is that it will be between 6% and 12% higher than last year’s $500 million.