Infratil chief executive Jason Boyes Photo: Supplied
Infrastructure investor Infratil has reported a strong full year result with underlying profit near the top end of its guidance.
However, the company made a bottom line net loss, primarily reflecting a drop in revaluation gains over the year earlier, when Infratil's controlling interest in One NZ resulted in a $1.075 billion revaluation gain.
Key numbers for the 12 months ended March compared with a year ago:
- Net loss ($286.3m) vs net profit $769.9m
- Revenue $3.85b vs $3.14b
- Underlying profit $986m vs $938.6m
- Full year dividend 13.25 cents per share vs 13 cps
Infratil chief executive Jason Boyes said the result reflected strong operating earnings growth of 8.6 percent, driven by growing contributions from CDC Data Centres, One NZ, Wellington Airport and RetireAustralia.
"Overall, the operating results were pleasing, particularly given inflationary pressures heading into the year," Boyes said.
"One NZ's above target performance stands out, given the difficulties the New Zealand economy has faced, and demonstrates the differentiated position of our business.
"CDC and Longroad's strong growth continued. Qscan produced excellent double-digit earnings growth with RHCNZ Medical Imaging not far behind, with both getting on top of the sector's inflationary pressures."
He said AI was accelerating demand for data centre space as well as electricity to power them.
"This calendar year, investors have focused closely on the pace of that acceleration, and now US tariffs, amid tight New Zealand's economic conditions."
Boyes said Australia and New Zealand were emerging as critical destinations for fit-for-purpose AI infrastructure.
"CDC is exceptionally well positioned, benefiting from geopolitical trust, energy stability, and regulatory certainty - factors that are becoming increasingly important to global hyperscale and AI customers."
FY2026 guidance
The company expected the current year to deliver underlying profit of between $1 billion and $1.05b, excluding its stake in Manawa Energy following the sale to Contact Energy.
However, it said the guidance range for its renewable development companies, Gurīn Energy, Galileo and Mint Renewables, was for a loss of $85m-$105m.
Valuation & incentive fees
Boyes said CDC's independent valuer confirmed A$13.7 billion as the mid-point of its independent valuation, which in turn valued Infratil's investment at NZ$7.2b, compared with the year earlier's NZ$4.4b.
He said the CDC valuation alongside independent valuations of its other international assets, would see the portfolio manager, Morrison & Co, receive a $350.6m incentive fee payable over three years.
