Slides
Page 1
INFRATIL ANNUAL RESULTS ANNOUNCEMENT FOR THE YEAR ENDED 31 MARCH 2025
Page 2
1 Disclaimer This presentation has been prepared by Infratil Limited (NZ company number 597366, NZX:IFT; ASX:IFT) (the ‘Company’) To the maximum extent permitted by law, the Company, its affiliates and each of their respective affiliates, related bodies corporate, directors, officers, partners, employees and agents will not be liable (whether in tort (including negligence) or otherwise) to you or any other person in relation to this presentation. Information This presentation contains summary information about the Company and its activities which is current as at the date of this presentation. The information in this presentation is of a general nature and does not purport to be complete nor does it contain all the information which a prospective investor may require in evaluating a possible investment in the Company or that would be required in a product disclosure statement under the Financial Markets Conduct Act 2013 or the Australian Corporations Act 2001 (Cth). This presentation should be read in conjunction with the Company’s Annual Report for the period ended 31 March 2025, market releases and other periodic and continuous disclosure announcements, which are available at www.nzx.com, www.asx.com.au or infratil.com/for-investors/. Not financial product advice This presentation is for information purposes only and is not financial, legal, tax, investment or other advice or a recommendation to acquire the Company’s securities and has been prepared without taking into account the objectives, financial situation or needs of prospective investors. Future Performance This presentation may contain certain “forward-looking statements” about the Company and the environment in which the Company operates, such as indications of, and guidance on, future earnings, financial position and performance. Forward-looking information is inherently uncertain and subject to contingencies outside of the Company’s control, and the Company gives no representation, warranty or assurance that actual outcomes or performance will not materially differ from the forward-looking statements. Non-GAAP Financial Information This presentation contains certain financial information and measures that are “non-GAAP financial information” under the FMA Guidance Note on disclosing non-GAAP financial information, "non‐IFRS financial information" under Regulatory Guide 230: ‘Disclosing non‐IFRS financial information’ published by the Australian Securities and Investments Commission (ASIC) and are not recognised under New Zealand equivalents to International Financial Reporting Standards (NZ IFRS), Australian Accounting Standards (AAS) or International Financial Reporting Standards (IFRS). The non-IFRS/GAAP financial information and financial measures include Proportionate EBITDAF, EBITDAF and EBITDA. The non-IFRS/GAAP financial information and financial measures do not have a standardised meaning prescribed by the NZ IFRS, AAS or IFRS, should not be viewed in isolation and should not be construed as an alternative to other financial measures determined in accordance with NZ IFRS, AAS or IFRS, and therefore, may not be comparable to similarly titled measures presented by other entities. Although Infratil believes the non-IFRS/GAAP financial information and financial measures provide useful information to users in measuring the financial performance and condition of Infratil, you are cautioned not to place undue reliance on any non-IFRS/GAAP financial information or financial measures included in this presentation. Proportionate Operational EBITDAF shows Infratil’s operating costs and its share of the EBITDAF of the companies it has invested in, excluding renewable development companies (Gurīn Energy, Galileo, Mint Renewables). It excludes discontinued operations, acquisition or sale-related transaction costs and management incentive fees. EBITDAF represents consolidated net earnings before interest, tax, depreciation, amortisation, financial derivative movements, revaluations, and gains or losses on the sales of investments. Further information on how Infratil calculates Proportionate EBITDAF can be found in the Appendix. No part of this presentation may be reproduced or provided to any person or used for any other purpose without express permission.
Page 3
Infratil FY2025 Full Year Results Presentation NAVIGATING BEYOND THE NOISE Jason Boyes - Infratil CEO Andrew Carroll - Infratil CFO Portfolio Overview full year Highlights PORTFOLIO OVERVIEW & FULL YEAR HIGHLIGHTS Group Financial performance GROUP FINANCIAL PERFORMANCE 01 02 Portfolio Company Updates PORTFOLIO COMPANY UPDATES03 Guidance liquidity GUIDANCE & LIQUIDITY Portfolio Strategy outlook PORTFOLIO STRATEGY & OUTLOOK 04 05 Concluding remarks Questions CONCLUDING REMARKS & QUESTIONS06
Page 4
PORTFOLIO OVERVIEW & FULL YEAR HIGHLIGHTS SECTION 1
Page 5
4 We are an infrastructure investment company that actively invests in ideas that matter Infratil overview Infratil (IFT.NZX, IFT.ASX) • Market capitalisation of NZ$10.0bn1 (US$5.8bn) • S&P NZX50, ASX300, and MSCI Global Standard Index member • Founded in 1994 A unique value-add infrastructure investment company • Current investments focused on four high conviction sectors; digital infrastructure, renewables, healthcare and airports • Active portfolio construction and management with multiple pillars of value creation over time • Unique management partnership with Morrison, benefitting from Morrison’s extensive global capabilities With a track record of delivering strong returns • Infratil continues to outperform its target of shareholder returns of 11-15% per annum on a rolling 10-year basis Infratil has delivered a 18% TSR since inception1,2 15 FY16 FY17 FY19 FY20 FY21FY18 FY22 FY23 FY24 FY25 FY26-50% 0% 50% 150% 400% 250% 450% 100% 500% 300% 550% 200% 350% 600% IFT NZX 50 ASX 200 Cumulative annual return (%) Period1 IFT TSR 5 – year 23.9% 10 – year 17.0% 20 – year 13.9% Since inception 18.0% Digital Renewables Healthcare Airports 1 Market capitalisation and Returns are calculated to 31 March 2025 2 Chart source: Capital IQ 66% 8% 21% 5%
Page 6
5 Merger of Contact Energy and Manawa is on track for completion in the first half of FY26 at an attractive valuation for both parties, bringing material portfolio flexibility and optionality Acquired an additional stake in CDC alongside the Future Fund, increasing Infratil’s governance rights. The transaction price, set through a competitive third-party process, implied a 30% uplift on CDC’s prior independent valuation Infratil added to both the MSCI Global Standard Index and the ASX300, broadening access to new global investors One NZ exceeded guidance through disciplined execution in a challenging environment, with good progress on key strategic priorities Longroad delivered its most significant year yet, with 1.3GW completed and a further 1GW+ under construction across the U.S. Gurīn Energy's US$2-3 billion Project Vanda received conditional approval from the Singapore Energy Market Authority and over 70% of land required secured Through the noise, pleasing progress on multiple strategic initiatives Portfolio highlights 1 As at 31 March 2025 Available Capital Market Capitalisation Group Assets NZ$18.3 billion1 Up 29% from NZ$14.2 billion at the end of FY24 NZ$10.0 billion1 incl. NZ$1,275 million raised at $10.15 a share NZ$1,438 million1 Up from NZ$820 million at the end of FY24
Page 7
6 Infratil and key portfolio companies - One NZ, CDC, Wellington Airport, Kao Data and Manawa – released updated climate and sustainability disclosures during the period Both One NZ and Wellington Airport have formally committed to setting Science Based Targets initiative (SBTi) emissions reduction targets, joining Infratil in aligning with global best practice Infratil has engaged with all portfolio companies using a new assessment framework developed by Morrison to mature their approach to managing modern slavery risk FY25 GRESB assessments are underway, with Infratil and 100% of portfolio companies participating for the third year running. Infratil’s FY2024 GRESB score was 86, up 4% Engagement with ESG rating providers remains a priority, especially following Infratil’s inclusion in the ASX300 and MSCI Global Standard Index – both of which heighten visibility and the relevance of ESG benchmarks Infratil holds an MSCI ESG Rating of AA (up from A in July 2024). As of May 2024, Infratil’s Morningstar Sustainalytics ESG Risk Rating was 8.5 (Negligible Risk), compared to 43.9 in 2022 Renewable Generation Our focus on sustainability – part of investing wisely – is flowing through to ratings and real-world impacts Sustainability highlights 1 Total Recordable Injury and Loss Time Injury Frequency Rates, based on 200,000 hours on a weighted average basis by employees 2 Infratil and its portfolio companies on a proportionate basis One NZ Emissions & e-waste Health, Safety & Community LTIFR1 0.6 (FY24: 0.7) TRIFR1 1.2 (FY24: 1.2) Community investment2 $3.8m (FY24: $3.6m) emissions (>7,000tCO2e) Scope 1&2 market-based emissions yoy operational e-waste processed 97.5% diverted from landfill 87% lower 66 tonnes enough to power the equivalent of 900,000 New Zealand homes, up 7%6,460GWh
Page 8
GROUP FINANCIAL PERFORMANCE SECTION 2
Page 9
8 33 59 15 26 FY24 EBITDAF CDC One NZ (28) Manawa Energy Wellington Airport Other (27) Corporate FY25 EBITDAF 908 986 Proportionate operational EBITDAF 1 for was $986 million which is towards the upper end of guidance Operating earnings growth reflects strong contributions from CDC, One NZ, RetireAustralia and Wellington Airport compared to the prior period. The uplift relative to FY24 also reflects a full period of One NZ ownership. Excluding Manawa and normalising FY24 for a full year of One NZ ownership, Operational EBITDAF increased 5.8% on FY24 Proportionate development EBITDAF for the period was a loss of $69 million, an increase of 56% on prior year as development platforms continue to invest Proportionate capex increased to $2.4 billion, up 39% from FY24, driven primarily by increased development at CDC Infratil directly invested $939 million into assets in the year. The largest investment in the period was $494 million into CDC Proportionate operational EBITDAF (NZ$m) Stronger operating results from key investments alongside accelerating portfolio capital expenditure Financial performance highlights $2,389 million Up 39% from FY24 Proportionate capital expenditure ($69 million) Up 56% from FY24 Proportionate development EBITDAF $986 million Up 8.6% from FY24 Proportionate operational EBITDAF $939 million Down 58% from FY24 Infratil investment 1 Further information on how Infratil calculates Proportionate EBITDAF can be found in the appendix including a reconciliation to net profit after tax
Page 10
9 Valuation & incentive fees Infratil’s total portfolio asset value has increased to $18.3 billion, a $4.1 billion increase over the FY2024 portfolio asset valuation of $14.2 billion – this includes $938.6 million of direct investment by Infratil Infratil has accrued a $350.6 million incentive fee, primarily driven by the outperformance of CDC and Gurīn, offset by Longroad Energy and RetireAustralia, which is payable over three years o The CDC valuation has increased by 64% on the prior year driven by material contract wins, an equity raise, and in the last quarter an auction process involving third parties establishing a new valuation benchmark o The carrying value of RetireAustralia was reviewed against market-based comparables and other benchmarks at 31 March 2025 to estimate the fair value of Infratil’s investment. The current valuation implies a price to book multiple of 0.74x An incentive fee of $202 million is payable to Morrison in FY2026, $80 million of which will be paid via the issue of Infratil scrip More information including the basis for the valuations is included in the appendix of this pack 183 145 61 160 85 256 83 43 310 26 Gurīn Energy Kao Data Galileo Longroad Energy Manawa Energy One NZ 18,304 CDC 2,829 Other Property (25) FY24 portfolio asset value Wellington Airport RetireAustralia (60) FY25 portfolio asset value Qscan Group RHCNZ 14,209 Portfolio asset valuation (NZ$m) Recent transaction has provided an updated lens on CDC’s value
Page 11
10 Final unimputed dividend of 13.25 cents per share Record date of 12 June 2025 (ex-dividend date of 11 June 2025) Payment date of 2 July 2025 The NZD/AUD exchange rate used for the payment of Australian dollar dividends will be set on 12 June 2025 Dividend reinvestment plan (DRP) There will be a 2% discount offered for the FY25 final dividend Dividend reinvestment plan application forms must be in by 13 June 2025 Trading period for setting price for DRP is 16 June 2025 to 30 June 2025. DRP strike price will be announced on 1 July 2025 Ordinary dividends (CPS) Final unimputed dividend of 13.25 cps, brings the total FY25 dividend to 20.5 cps, up 2.5% from FY24 Final dividend 13.25 CPS 2.5% increase on FY24 total 2% discount On the 10-day VWAP to 30 June 2024 12 June 2025 Payment date of 2 July 2025 DRP strike priceRecord dateFinal dividend 6.25 6.50 6.75 7.00 7.25 11.50 12.00 12.50 13.00 13.25 FY21A FY22A FY23A FY24A FY25A Interim dividend Final dividend
Page 12
CDC DATA CENTRES DIGITAL INFRASTRUCTURE % of the portfolio 40% Valuation $7.2 billion Initial Investment September 2016 IRR since inception 38.7% p.a.
Page 13
12 268 318 372 2,454 453 1,629 FY24A FY25A May 25 Under construction Future build Total capacity Year in review EBITDAF for the year was A$330 million, up A$59 million (22%) from the prior year, driven by commissioning across Melbourne and New Zealand and higher utilisation across existing data centres Record contracting year, securing over 230MW of new customer contracts, of which a little over half are in the form of reservations, across multiple geographies CDC now delivers, or is contracted to deliver, capacity to all the top Western global cloud service providers - establishing trusted relationships that support further contract wins Weighted Average Lease Expiry including customer options remained strong at ~30 years 104MW has become operational and a further 141MW1 has commenced construction, including Marsden Park, one of the largest data centre campuses in the Southern Hemisphere, and Laverton, CDC’s second campus in Victoria These campuses have the potential to add ~1GW of capacity between them, contributing to the forecast build capacity to 2034 doubling from 1.2GW to 2.5GW Strong support from lenders and investors, with A$2.4 billion raised through a combination of debt (A$1.5 billion) and equity (A$900 million) to fund expanding development pipeline Existing capacity and future growth (MW) Record contracting year, significant build programme on track CDC 230MW+ of additional capacity contracted (incl. reservations) 372MW of operating capacity Operating assets • Melbourne – 226MW • Sydney – 168MW • Canberra – 58MW As at 28th May 2025 1 New capacity commencing construction between 1 April 2024 and 28 May 2025
Page 14
13 Outlook FY2026 EBITDAF guidance of A$390 million-A$410 million, up 21% at the midpoint, as rephasing by customers pushed some growth in to FY2027 As a result of this and new contracts signed last year, CDC expects to double its EBITDAF over the next two years (FY2026/27), with approximately 80% of forecast revenue contracted Significant build programme continues, with 453MW under construction as at May 2025, with the potential for up to five data centres to become revenue generating over the next 12 months FY2026 capital expenditure guidance of A$1.6 billion–A$1.8 billion, in line with customer rephasing Have not contracted all of the 400MW expressed in June 2024; however, CDC sees demand moving rather than disappearing Deep pipeline of customer engagements continues: from advanced negotiations to earlier stage conversations, as customer requirements and customer types are constantly evolving Outlook for data centre demand remains robust, and CDC remains well positioned to capture growth in cloud and AI workloads CDC’s strength across Government and National Critical Infrastructure customers continues to be an important point of difference Infratil expects to commit ~A$250 million within the next 12 months to fund the future build, alongside similar amounts from the other shareholders and CDC’s ongoing debt funding programme EBITDAF (A$m) & Margin (%) Well set for strong multi-year growth as data centre demand continues to expand CDC EBITDAF guidance A$390-A$410 million 80% of forecast revenue over the next two years is contracted 161 215 271 330 75% 77% 76% 74% FY22A FY23A FY24A FY25A FY26G EBITDA Margin % 390 - 410
Page 15
One NZ DIGITAL INFRASTRUCTURE % of the portfolio 20% Valuation $3.7 billion Initial Investment July 2019 IRR since inception 21.5% p.a.
Page 16
15 Year in review EBITDAF of $604.8 million, up 1% on the prior year and slightly ahead of guidance midpoint, despite a challenging economic backdrop. EBITDAF margin improved to 31% – Recurring revenue up $25 million on prior year, with strong contributions from Consumer Mobile and Wholesale segments – Performance partially offset by expected declines in legacy fixed services and ongoing competition in parts of the Enterprise segment – Supported by continued execution on cost discipline and simplification Improved cash flow position after absorbing one off spend associated with DEFEND investment and Dense Air spectrum Satellite TXT, launched in December 2024 in partnership with SpaceX, now has 380k+ active users, sending over 12,000 messages/day, providing unmatched emergency and rural coverage Executed mobile product simplification, consolidating legacy postpay plans and expanding the One Wallet loyalty programme to drive retention EonFibre launched, now the second-largest B2B fibre provider in NZ, with EBITDAF of approximately $50 million AI acceleration programme established to enhance service and operational efficiency IT transformation programme on track, delivering Phase 1 focused on prepay and setting the foundation for future simplification and efficiency Revenue (NZ$m) Disciplined execution in a challenging environment, supported by simplification and cost control One NZ 667 735 783 815 404 364 354 347 197 226 222 211 199 209 212 223 500 451 425 325 1,967 1,984 1,996 1,921 FY22A FY23A FY24A FY25A Mobile Consumer Fixed Enterprise Wholesale Procurement & Other Mobile ARPU $34.82 Up from $33.10 in FY24 Consumer and SME fixed ARPU $75.44 Up from $74.01 in FY24
Page 17
16 Outlook EBITDAF guidance of $595-$625 million, up ~1% on FY2025, reflecting ongoing growth in Consumer Mobile - leveraging investment in SpaceX and One Wallet - and Wholesale, supported by ongoing cost management and continued ARPU uplift through pricing adjustments – Guidance is inclusive of circa $25 million of incremental discretionary expenditure on SpaceX, AI acceleration and property relocation costs Capital expenditure guidance (excluding spectrum and head office relocation capex) of $235-$265 million. Capital intensity is expected to normalise to ~11% over the medium term as network and IT investment tapers Disciplined 5G rollout remains a focus, with 62% population coverage as at March 2025. 3G network shutdown, targeted from December 2025, will free up spectrum to enhance mobile network performance and efficiency Continuing to target mid-30% EBITDAF margins in the medium term, under- pinned by scale benefits, product simplification, and long-term cost efficiency IT transformation remains a key enabler, with benefits including lower operating costs and improved customer experience. Product rationalisation and customer migration to in-market plans are well progressed AI initiatives, including working with partners to deploy AI agents at scale, will further lift operational productivity and service quality EBITDAF (NZ$m) & Margin (%) Well-placed to capture operational upside from T-One, AI and simplification initiatives One NZ 481 528 600 605 24% 27% 30% 31% FY22A FY23A FY24A FY25A FY26G EBITDAF Margin % 595 - 625 EBITDAF guidance $595-$625 million Capex guidance $235-$265 million
Page 18
LONGROAD ENERGY RENEWABLES % of the portfolio 12% Valuation $2.1 billion Initial Investment October 2016 IRR since inception 55.2% p.a.
Page 19
18 1.8GW 3.2GW 1.3GW 0.5GW FY24A FY25A Under Construction FY26 FY27 ~1.5GW FY28 FY28 Operating target 1.0GW ~1.5GW ~8.5GW Year in review EBITDAF of US$45 million1, down US$11 million (19%) from the prior year, primarily driven by prior year outperformance from the Prospero 1 & 2 projects Revenue arrangements signed for 1.4GW of new projects, with 400MW under construction and the remaining 1.0GW expected to close by end of FY2026. A further 0.5GW is in advanced negotiation expected to close in FY2027 (total of 1.9GW) Construction momentum continues, with 1.4GW completed during the year, 434MW (Serrano) completed in early FY2026, and a further 0.6GW (1000 Mile – 400MW, Sun Pond – 197MW) forecast to reach completion in late FY2026/early FY2027 Longroad has been preparing for Inflation Reduction Act (IRA) reform by safe harbouring FY2026/27 projects preserving access to existing tax credits. Based on legislation passed last week: – All FY2026 projects (1.3GW) and 0.5GW of FY2027 already safe harboured, working to complete safe harbouring all FY2027 and 2028 projects by September (additional ~2.5GW) – Confident can meet new placed in service deadline of 31 December 2028 for ~2.4GW of FY2026/27 projects, some uncertainty on remaining ~0.4GW and FY2028 – Whilst the Big Beautiful Bill has passed the House, it remains subject to Senate changes – positive or negative Impact of Liberation Day tariffs on Longroad expected to be minimal except battery storage (BESS), which relies heavily on Chinese imports. Looking to use current tariff pause to import BESS for FY2026 projects (~0.4GW). FY2027 includes ~0.5GW of BESS. Higher PPA pricing likely required to maintain project economics on BESS Construction and safe harbouring progress (GW) Record year completing 1.4GW of construction, and positioning for further growth Longroad Energy 1.4GW of new generation completed in FY25 0.6GW across three projects under construction 1. For the year ended 31 March 2025 1000 Mile (400MW) & Sun Pond (197MW) Serrano (434MW) completed in early FY2026 1.8GW safe harboured today ~2.5GW targeting Sep-25 for safe harbouring Operating assets FY28 Operating asset target Construction and safe harbouring progress
Page 20
19 Longroad Energy 3.5GW 0 1 2 3 4 5 6 7 8 9 - 200 400 600 800 1,000 CY23A 3.8GW CY24A 5.5GW CY25F 7.0GW CY26F ~8.5GW CY27F Outlook FY2026 EBITDAF guidance of US$110 million-US$120 million1, up 155% at the midpoint Targeting Opco run-rate EBITDA2 at 31 March 2026 of ~US$370 million, driven by: – ~US$60 million from the full year contribution of projects that just achieved operations and the current under construction projects; – ~US$95 million from the 1.3GW of capacity that is projected to close and start construction during the year; and – Add back of ~US$100 million of all corporate overheads and development related costs (split 50/50) Projecting to reach Opco run-rate EBITDA target of US$600 million by December 2027 with 8.5GW (vs 9.5GW estimated in 2024), as project economics have improved. Still in reach, with CY2025/26 projects set to take the Opco run-rate EBITDA to ~US$500 million – Remaining ~US$100 million requires a further ~1.5GW by FY2028/CY2027; – Assessing another ~3GW+ of additional projects that could also potentially be brought forward, which would provide additional coverage Although significant volatility to be navigated, market fundamentals remain strong. US power demand growth continues at historical highs, supporting PPA volumes and pricing to maintain project economics, particularly for BESS. Solar remains the cheapest and fastest additional source of generation, and needed to meet demand Opco run-rate EBITDA2 (US$m) Earnings growth arrives, with more to come, although significant volatility to navigate Development pipeline increased to 30GW+ High confidence in 0.9GW of solar-only projects achieving FNTP in FY26 1. Guidance prepared in alignment with the Infratil financial year of 31 March 2026 2. Opco run-rate EBITDA calculated based on 5-year average EBITDA once projects reach operational status and recognised in Opco run-rate EBITDA total based on year of financial close, adding back all corporate overheads and development related costs Opco run-rate EBITDA CY2027 Target Opco run-rate EBITDA Operating projects Projects to be constructed, seeking PPAs and safe harbouring by Sep-25 Projects to be constructed with PPAs signed or advanced, almost all safe harboured Projects under construction Potential projects to be brought forwardFuture operating projects Generation capacity, including under construction (Excludes bring forward projects)
Page 21
OTHER PORTFOLIO ENTITIES
Page 22
21 First project has reached operation and revenue generation showing a step change in maturity Gurīn Energy 75MW of operating generation 6.6GW development pipeline across five markets Year in review Delivered first operational project, the 75MW Palauig Solar Power Plant in the Philippines. The project is 100% owned and underpinned by a 20-year PPA Advanced development of two additional solar projects in the Philippines, including a 39MW project now in construction and a 70MW project at early- stage development Significant progress on Project Vanda (US$2-3 billion capex, 2.2GW of installed solar capacity and 1.2GW of battery storage), including receipt of a conditional licence and securing over 70% of land required Expanded presence in Japan, opening a local office and progressing a 500MW battery storage pipeline with grid access secured for the first 240MW project Outlook Although still highly conditional, Project Vanda remains a priority, requiring ~US$500 million of equity but with potential to create US$500 million+ of value Targeting final investment decision late 2025 and financial close in the first half of 2026. Next steps include critical Indonesian and final Singapore approvals, completing marine surveys, EPC contracting, and securing offtake and financing Strengthened governance with the appointment of former Indonesian Foreign Affairs Minister, Her Excellency Retno Marsudi as a Non-Executive Director Pipeline continues to grow, with diligence underway on over 1.3GW of potential solar and storage capacity across Thailand, the Philippines, and South Korea The Palauig Solar Power Plant, Zambales Province, Philippines
Page 23
22 Barium Bay floating offshore wind project (internal render) Year in review Increased pipeline to 16.1GW across 10 European markets covering PV (27%), BESS (26%), onshore wind (36%), and offshore wind (11%) technologies Demonstrated value realisation and capital recycling through the sale of smaller solar PV projects in Italy, an equity stake in rooftop solar platform Enviria (Germany), and a 40MW BESS project in the UK Advanced negotiations underway for a further 100MW BESS sale in Italy Barium Bay, a 1,100MW floating offshore wind project in Italy, has received Environmental Impact Assessment approval – the largest approval to date Outlook Demand for renewables in Europe is expected to continue, supported by increased power needs from AI and data centres, rising energy and data sovereignty, and ongoing net zero policy commitments Galileo’s development-stage pipeline remains largely insulated from current trade and tariff risks, with flexible procurement and minimal near-term supply chain exposure Focus remains on advancing its high-quality, technology-diverse pipeline while selectively crystallising value through asset sales and partnerships Construction to begin shortly on two solar PV projects in Italy totalling 8MW First project exit marks a new phase of growth as pipeline scales across Europe Galileo Green Energy 48MW of project sales in FY2025 16.1GW development pipeline across 10 markets
Page 24
23 Year in review Near-term capacity and AI-ready design position Kao to capture demand in a constrained London market Kao Data Kao Data Harlow Campus 29MW of operating capacity 72MW development pipeline EBITDAF of £4.3 million, up from (£2.6) million in the prior period, driven by improved data centre utilisation Against a backdrop of more deliberate customer leasing, ability to offer near- term availability in a constrained London market is a key differentiator Evolved ‘engineered for AI’ design for new developments, enabling next- generation high-density compute with hybrid cooling solutions All of the completed phases of KLON-02 have been sold to customers with strong pipeline for the remaining phases (6.6MW) completing in 2025 Commenced expansion of Harlow campus with KLON-03, a 17.6MW facility designed for GPU-accelerated AI workloads and rack densities of up to 130kW Outlook Positioned for continued growth with strategic expansions, capitalising on sector tailwinds including increasing cloud and AI adoption, evolution of GPUaaS cloud, supply constraints and a renewed focus of the UK government to seize and invest in the AI opportunity Data centre portfolio now exceeds 125MW of capacity across operational, under-development, and planned future builds Manchester site development continues alongside advancing customer conversations
Page 25
24 EBITDAF (NZ$m) & Margin (%) Earnings growth underpinned by new clinics and a continued shift toward higher-value modalities RHCNZ Medical Imaging 164 radiologists Up 1 from FY24 73 109 115 126 37% 35% 34% 34% FY22A FY23A FY24A FY25A FY26G EBITDA Margin 130 - 150 Year in review EBITDAF for the year was $125.9 million, up from $115 million (9%) on the prior year, driven by strong organic volume growth, a continued shift towards higher-value modalities, and the opening of new clinics Focus on enhancing strategic relationships with key funders, operational efficiency drivers, including continued investment in technology capability and rollout of several AI applications Three new clinics have opened: two in Hamilton and one in Tauranga – New Zealand’s largest comprehensive radiology site, including PET-CT capability Outlook FY2026 EBITDAF guidance of $130 million-$150 million, up 11% at the midpoint Engaged in constructive discussions with its three major funders - ACC, Health New Zealand Te Whatu Ora, and Southern Cross Healthcare New flagship clinics in Auckland and Dunedin Central will strengthen RHCNZ’s presence in key urban markets, supporting both public and private demand Rollout of single-worklist functionality and additional AI-enabled workflow enhancements to support radiologist efficiency and experience Further collaboration with Qscan, capturing the benefits of scale to expand opportunities in teleradiology, which is experiencing significant demand 72 clinics Stable from FY24
Page 26
25 57 56 68 77 25% 21% 23% 24% FY22A FY23A FY24A FY25A FY26G EBITDA Margin EBITDAF (A$m) & Margin (%) Strong performance driven by technology-enabled innovation to enhance productivity and experience Qscan 80 - 95 164 radiologists Up 29 from FY24 74 clinics Down 3 from FY24 Year in review EBITDAF for the year was A$77.2 million, up A$9 million (14%) from the prior year, driven by: – Yield expansion, supported by Medicare indexation, a continued shift towards higher-value modalities, and a revised pricing strategy – Productivity gains, supported by Qscan’s AI-enabled reporting platform, operating leverage, and improved workforce efficiency Strong growth in Qscan’s radiologist workforce, reflecting the business’s reputation as a high-quality, technology-enabled workplace of choice Successful refinancing of A$445 million debt facility and meaningful distribution to shareholders, reflecting momentum and thoughtful capital management Outlook FY2026 EBITDAF guidance of A$80 million-A$95 million, up 14% at the midpoint Further development of Qscan’s technology platform, with continued AI integration to enhance productivity and improve the experience for doctors, referrers, patients, and staff Recent Government policy settings reinforce the long-term outlook with Medicare indexation increases confirmed for FY2026 Delivery of strategic growth initiatives, including greenfield and brownfield developments, acquisitions, and expansion of the teleradiology platform
Page 27
26 Year in review High occupancy and resident satisfaction reflect strong demand for quality retirement living RetireAustralia 29 villages 96.2% occupancy 1. Underlying Profit is an unaudited non-GAAP measure used by RetireAustralia which removes the impact of unrealised fair value movements on investment properties, impairment of property, plant and equipment, one-off gains and deferred taxation, while adding back realised resale gains and realised development margins Tarragal Glen, Central Coast Underlying profit1 reached A$80 million, an A$1.0 million increase on the prior year supported by strong resale performance and village price increases, offset by lower development settlements 430 settlements were completed - 374 resales and 56 new development unit settlements. Resales down from prior year due to limited stock availability Resale proceeds averaged A$205k per unit, up from A$191k in FY24, reflecting strategic pricing and unit mix. New unit prices exceeded A$1 million on average Portfolio occupancy remains high at 96.2%, with waitlists across 26 of 29 villages, reflecting sustained demand Resident satisfaction remains high with 87% of residents and 88% of home care customers satisfied with village life and home care services respectively Completed a major milestone - The Verge at Burleigh, a 168-apartment village featuring RetireAustralia’s first integrated Care Hub Outlook Development pipeline exceeds 750 units, with 187 units currently under construction across three active projects: Tarragal Glen, Carlyle Gardens, and the new Arcadia Retirement Living community in Yeronga FY26 settlement guidance of 450-475 units, including 75-85 new development settlements as remaining units at The Verge and The Green are sold down and the Tarragal Glen expansion completes
Page 28
27 Year in review EBITDAF (NZ$m) & Margin (%) Despite challenges with passenger volumes, PSE5 and diversified income streams supported growth Wellington Airport 4.5 million domestic passengers in FY25 Down 3.9% on FY24 0.8 million international passengers in FY25 Up 7.4% on FY24 56 90 107 130 62% 68% 71% 74% FY22A FY23A FY24A FY25A FY26G EBITDA Margin % 125 - 135 EBITDAF for the year was $130.2 million, up $23 million (22%) from the prior year, driven by: – Strong international recovery, with passenger volumes up 7.4%, and expanded seat capacity on Brisbane and Melbourne routes – Improved commercial returns across aeronautical and non-aeronautical income streams, supported by key new tenants in the property portfolio $117.4 million of capital expenditure delivered in the year, including progress on EMAS runway safety system, new carpark, terminal and retail upgrades, and enabling works for future expansion Successful $125 million retail bond issue and expanded bank facilities to fund transformational infrastructure investment Outlook FY2026 EBITDAF guidance of $125 million-$135 million, flat at the midpoint FY2026 expected to see continued international growth, while domestic recovery remains constrained by airline fleet availability Staged delivery of 5-year, $500 million infrastructure programme underway, including EMAS runway safety system, new car park, upgraded terminal and new Airport Fire Station
Page 29
GUIDANCE AND LIQUIDITY SECTION 4
Page 30
29 Proportionate Operational EBITDAF (NZ$m) Data points are shown at the midpoint of guidance – and should therefore be considered indicative (47)Manawa Energy FY25A Normalised CDC One NZ Longroad Energy FY26G Corporate Other Wellington Airport Qscan Group RHCNZ 986 940 1,000 – 1,050 FY25A FY2026 Proportionate Operational EBITDAF guidance range set at NZ$1,000 to $1,050 million FY2026 Guidance – Proportionate EBITDAF FY2026 guidance up circa 9% on FY2025 (normalised for Manawa Energy) Key guidance assumptions (at 100%) include: – CDC EBITDAF of A$390 million–A$410 million – One NZ EBITDAF of $595 million–$625 million – Longroad Energy EBITDAF of US$110 million–US$120 million – Wellington Airport EBITDAF of $125 million–$135 million – Qscan EBITDAF of A$80 million– $95 million – RHCNZ EBITDAF of $130 million–$150 million – Corporate costs of $125 million–$135 million Proportionate Development EBITDAF Guidance Gurīn, Galileo, and Mint development costs at an EBITDAF loss of NZ$85-$105 million (IFT Share) Proportionate Operational EBITDAF guidance 1. The following forecast exchanges rates are assumed for the purposes of currency translation in the guidance calculation NZD/AUD 0.9066, NZD/USD 0.5693, NZD/EUR 0.5397, and NZD/GBP 0.4626 2. Guidance is based on Infratil management’s current expectations and assumptions about trading performance, is subject to risks and uncertainties, and dependent on prevailing market conditions continuing throughout the outlook period. Guidance is based on Infratil’s continuing operations and excludes the impact of any transactions announced in the period. Note that guidance excludes Manawa Energy
Page 31
30 FY2026 Proportionate Capital Expenditure guidance range set at NZ$2.2 billion to $2.6 billion FY2026 Guidance – Proportionate Capital Expenditure Key guidance assumptions (at 100%) include: – CDC capex of A$1,600 million–A$1,800 million – One NZ capex of $235 million–$265 million – Kao Data capex of £150 million-£200 million – Longroad Energy capex of US$800 million–US$1,000 million – Wellington Airport capex of $90 million–$120 million – Qscan and RHCNZ capex of $45 million-$55 million (IFT Share) – RetireAustralia capex of A$210 million–A$240 million – Gurīn, Galileo, and Mint capex of $200 million-$250 million (IFT Share) 1. The following forecast exchanges rates are assumed for the purposes of currency translation in the guidance calculation NZD/AUD 0.9066, NZD/USD 0.5693, NZD/EUR 0.5397, and NZD/GBP 0.4626 2. Guidance is based on Infratil management’s current expectations and assumptions about trading performance, is subject to risks and uncertainties, and dependent on prevailing market conditions continuing throughout the outlook period. Note that guidance excludes Manawa Energy Proportionate Capital Expenditure guidance Proportionate Capital Expenditure (NZ$m) (27)Manawa Energy FY25A Normalised CDC One NZ Longroad Energy Qscan and RHCNZ FY26G Other 2,389 2,362 2,200 – 2,600 Kao Data RetireAustralia Gurin, Galileo, and Mint Wellington Airport FY25A Data points are shown at the midpoint of guidance – and should therefore be considered indicative
Page 32
31 Net debt and gearing % Strong credit profile and significant flexibility to support investment opportunities across the portfolio Funding and liquidity Significant balance sheet flexibility to support additional capital investment across FY2026/FY27 $170 million of net new bonds issued in FY25 with the issue of IFT350 and IFT360 Weighted average cost of debt of 5.33% and a weighted average tenor of debt2 of 3.2 years 1. Gearing is total net debt over total capital 2. Drawn debt excluding Perpetual IFTHAs 31 March ($Millions) 2024 2025 Net bank debt $791.8 $544.8 Infrastructure bonds $1,241.1 $1,411.1 Perpetual bonds $231.9 $231.9 Total net debt $2,264.8 $2,187.8 Market value of equity $9,066.7 $10,048.7 Total capital $11,331.5 $12,236.5 Gearing 1 20.0% 17.9% Undrawn bank facilities $800.9 $1,365.6 100% subsidiaries cash $19.2 $71.9 Liquidity available $820.1 $1,437.5 164 156 102 146 273 365 204 200 292 125193 253 446 125 110 239 232 FY26 FY27 FY28 FY29 FY30 FY31 FY32 >FY32 Bonds Bank Debt Drawn Bank Debt Undrawn Acquisition Facilities IFTHA Debt maturity profile (NZ$m) 1,181 1,775 1,715 623 725 2,265 2,188 34% 41% 25% 9% 10% 20% 18% 0% 5% 10% 15% 20% 25% 30% 35% 40% - 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 FY19 FY20 FY21 FY22 FY23 FY24 FY25 Net debt Gearing
Page 33
PORTFOLIO STRATEGY & OUTLOOK SECTION 5
Page 34
33 Restating our portfolio strategy and approach Ideas that matter Portfolio construction approach Target returns Infrastructure characteristics Attractive global thematics Pillar 2: Mature growth platforms Scaled businesses, more concentrated to drive returns Pillar 1: Cashflow generators Scaled business with enough diversity for stability Pillar 3: Future growth platforms Multiple smaller businesses that can scale to $1bn+ over 3-5 years 11–15% p.a. target portfolio returns per annum over a rolling 10-year period Realised 10-year return of 17% p.a., and 18% p.a. over 31 years since inception Active portfolio management to maintain growth through cycles • Drive operational excellence • Dynamically allocate capital from cash flow generators to best 15%+ IRR growth opportunities • Identify new opportunities and emerging trends to optimise cash flow and growth pillars • Manage balance of cash flow and growth pillars and overall portfolio breadth as assets evolve
Page 35
34 Portfolio remains well-positioned for growth, with clear priorities ahead Outlook and medium-term strategic objectives Identify and scale our growth platforms beyond CDC and Longroad Gurīn Energy and other opportunities are poised for growth Success would see CDC maintain its relative portfolio weighting Divest businesses unlikely to scale under our ownership and reinvest We expect over $1 billion in proceeds Balance Infratil’s operating cash flow and dividends Portfolio company distributions should cover fixed costs and dividends, supported by deleveraging, growing free cash flow from One NZ and the completion of CDC and Longroad’s current build programmes Expect incentive fees to be funded by investment realisations Continue to broaden our shareholder base to support future scale Supported by inclusion in key global indices
Page 36
QUESTIONS
Page 37
SUPPORTING MATERIALS INFRATIL FY2025 FULL YEAR RESULTS PRESENTATION
Page 38
37 Portfolio composition at 31 March 2025 Focus on four high-conviction platforms, across a geographically diverse portfolio of companies 37.2% 38.0% 73.0% 51.1%2 95.0% 49.8%1 20.0% 99.9% 54.0% 51.8% 57.2% 50.0% 66.0% 66% portfolio 21% portfolio 8% portfolio 5% portfolio Shareholding Shareholding Shareholding Shareholding 1. Infratil has agreed to acquire an additional 1.58% of CDC’s ordinary shares for A$220.2 million, taking Infratil’s ownership on settlement to 49.8% 2. Infratil remains committed to support Contact Energy’s proposed acquisition of 100% of Manawa. If the Scheme proceeds as announced, and subject to any pre-completion dividends, Infratil’s gross cash proceeds from the sale will be approximately NZ$186 million and following completion we will own approximately 9.5% of Contact Energy
Page 39
38 Overview The table represent Infratil’s proportionate share of an asset's independent valuation, market value, or book value CDC, One NZ, Kao Data, Longroad Energy, Gurīn Energy, Galileo, Mint Renewables, Qscan, RHCNZ Medical Imaging, and Wellington Airport reflect the midpoint of 31 March 2025 independent valuations The fair value of Manawa Energy is shown based on the market price per the NZX as at 31 March 2025 ($4.93) Fortysouth, Clearvision and Property reflect their accounting book values as at 31 March 2025 The carrying value of RetireAustralia was reviewed against market-based comparables and other benchmarks at 31 March 2025 to estimate the fair value of Infratil’s investment. The current valuation implies a price to book multiple of 0.74x Key valuation methodologies and assumptions underpinning current independent valuations are summarised on the following pages Net asset value Year ended 31 March ($Millions) 2024 2025 CDC $4,419.7 $7,248.5 One NZ $3,530.5 $3,713.5 Fortysouth $195.2 $186.3 Kao Data $556.2 $701.6 Manawa Energy $728.0 $788.8 Longroad Energy $1,952.0 $2,111.9 Galileo $240.7 $326.0 Gurīn Energy $237.1 $493.0 Mint Renewables $2.0 $22.8 RHCNZ Medical Imaging $606.7 $689.3 Qscan Group $411.9 $454.5 RetireAustralia $464.4 $404.3 Wellington Airport $623.7 $933.9 Clearvision Ventures $142.6 $156.2 Property $98.4 $73.1 Portfolio asset value $14,209.1 $18,303.7 Wholly owned group net debt ($2,264.8) ($2,187.8) Net asset value $11,944.3 $16,115.9 Shares on issue (million) 832.6 968.1 Net asset value per share (pre fees) $14.35 $16.65 1. Price to book multiple calculated as equity value over net assets
Page 40
39 Primary valuation methodology: Historical Transaction (with a cross check to DCF, comparable companies and precedent transactions) Forecast period: 30 years (2055) Enterprise value: A$17,264m Equity value: A$13,701m Net debt: A$3,563m CDC (48.17%) – A$6,600m (NZ$7,249m) Kao Data (54.01%) – £310.6m (NZ$701.6m) Primary valuation methodology: DCF using FCFE (with a cross check to comparable companies and precedent transactions) Terminal value methodology: Exit multiple Forecast period: 10.0 years (Mar-2034) Enterprise value: £690.0m Equity value: £575.0m One NZ (99.9%) – NZ$3,713.5m Primary valuation methodology: DCF using FCFF on a sum of the parts basis (ServeCo & EonFibre) (with a cross check to comparable companies and precedent transactions). During the year there has been a change in the Independent Valuer of One NZ. The Independent Valuer has applied a different methodology of risk weighting cash flows rather than adding an Asset Specific Risk Premium (ASRP) to the WACC, resulting in a lower WACC for FY25 Forecast period: 10 years (2035) Enterprise value: NZ$5,156m (pre IFRS16 - excluding lease liabilities of ~NZ$932m) Equity value: NZ$3,718m (IFT share NZ$3,713.5m) Independent valuation reports are prepared for Infratil’s portfolio companies for the purpose of calculating the international portfolio incentive fee (for the international portfolios) and setting management long-term incentives for some portfolio companies Independent valuation summary – Digital Valuation methodologyKey valuation assumptions Risk free rate: 3.90% Asset beta: 0.575 Cost of equity: 11.07% (blended rate) reflecting the assessed risk of the spectrum of CDC’s activity, from operating data centres with contracted revenues through to developing projects without contracted revenues Terminal growth rate: 2.5% Long term EBITDAF margin: 83% (2055) Future capex reflects CDC’s published development pipeline (valuation assumes no development beyond FY40) Risk free rate: 5.18% Asset beta: 0.80 Specific risk premium: 7.0% Cost of equity: 17.0% reflecting Kao Data intends to undertake a number of development projects across its data centre sites Terminal value multiple: 22.0x Capex assumes operating capacity increases ~150MW across existing and new sites with development occurring between FY26-FY34 (valuation assumes no development beyond FY34) Risk free rate: 4.56% Asset beta: 0.60 (ServeCo) & 0.475 (EonFibre) Weighted average cost of capital: 8.0% (ServeCo) & 7.2% (EonFibre) Terminal growth rate: 2.25% Long term capital expenditure: Expected to gradually decrease to ~11% of revenue (incl. spectrum) over the forecast period on a blended basis for ServeCo and EonFibre. Short-term capital intensity expected to be elevated driven by investment in T-One and 5G rollout March 2025 valuation March 2025 valuation March 2025 valuation
Page 41
40 Primary valuation methodology: DCF using FCFE. Valuation approach consists of: – A top-down approach (aggregate enterprise cashflows, including a terminal value); and – Bottom-up valuation approach (DCF using FCFE for operating, under-construction, and near-term development projects2, and a multiples approach for long-term development pipeline), – Platform derived from the difference between top down and bottom-up valuations Forecast period: Top down: 30Y, Bottom up: 40Y (2065) Enterprise value: US$7,125m Equity value1: US$3,745m Risk free rate: 4.6% Asset beta: top down - 0.86 Cost of equity: 13.9% top-down, 9.6% operating assets, 9.7% under construction, 10.2% near-term projects plus milestone discounts, 16.6% long-term pipeline plus milestone discounts Terminal growth rate: 2.5% (top-down, year 30) Near-term (3 years) development pipeline: 5,019MW Long-term development pipeline (5 years): 25,287MW Multiple for long-term development projects: US$140/kW Platform value assessed around ~10% of total enterprise value Longroad (37.7%) – US$1,209m (NZ$2,112m) Gurīn (95%) – US$282.2m (NZ$493.0m) Primary valuation methodology: valuation range based on two different methodologies: – Income and asset-based approach: adopts a DCF using FCFE for more certain and near-term developments, probability weighted to account for development and construction risk and values less certain projects at cost – Market and asset-based approach: using multiples of comparable companies/transactions (which includes platform value), applied to the development pipeline (probability weighted), considering projects only with a 50%+ probability Forecast period: ~33 years (2057) Equity value: US$297m Risk free rate: 1.5%-6.2% based on 10 year govt bond yield of each country Asset beta: 0.35 Cost of equity: 6.7% -12.4% (the discount rates used for each project are calculated with reference to each project’s location) Terminal value: N/A (finite life assets) Multiples: US$0.6-$0.9m / MW (transaction), US$0.7-1m / MW (trading) Discount for lack of marketability (DLOM): 11% Galileo (38%) – €172.4m (NZ$326.0) Primary valuation methodology: Transaction multiples for more advanced projects and cost for entry-stage projects (DCF used for a single minor project) Equity value: €453.8m (€397.5m in December 2024) Independent valuation reports are prepared for Infratil’s portfolio companies for the purpose of calculating the international portfolio incentive fee (for the international portfolios) and setting management long-term incentives for some portfolio companies Independent valuation summary - Renewables 1. Longroad Equity Value adjusted for committed but uncalled capital included in the independent valuation 2. Assets that are expected to achieve FNTP in the next three calendar years March 2025 valuation March 2025 valuation March 2025 valuation Valuation methodologyKey valuation assumptions Risk free rate: n/a Asset beta: n/a Multiples for development projects that are ‘ready to build’ range from €50-400k/MW depending on country and technology type (i.e. solar, wind, or standalone battery storage) The valuer assigns a discount (~10-95%) to the multiple that it considers appropriate as the project moves towards ‘ready to build’ stage. For projects that are early to mid-stage of the development lifecycle, only a small percentage of the ‘ready to build’ value is captured with the majority of value being recognised as projects get close to ‘ready to build’ stage Platform premium of ~1% applied
Page 42
41 Primary valuation methodology: DCF using FCFE (with a cross check to comparable companies and precedent transactions) Forecast period: 20 years (2045) Enterprise value: NZ$2,121m Equity value: NZ$1,415m (IFT share NZ$933.9m) Risk free rate: 4.50% Asset beta: 0.600 Cost of equity: 9.85% Terminal growth rate: 3.5% Wellington Airport (66%) – NZ$933.9m RHCNZ (51.74%) – NZ$688.7m Primary valuation methodology: DCF using FCFE (with a cross check to comparable companies and precedent transactions) Forecast period: 12 years (2037) Enterprise value: NZ$1,770.8m Equity value: NZ$1,331.2m (IFT share NZ$688.7m) Risk free rate: 4.2% Asset beta: 0.67 Cost of equity: 11.7% (discrete period), 12.6% (terminal value) Terminal growth rate: 3.5% Qscan (57.16%) – A$413.9m (NZ$454.5m) Primary valuation methodology: DCF using FCFE (with a cross check to comparable companies and precedent transactions) Forecast period: 10 years (2035) Enterprise value: A$1,007.5m Equity value: A$724.1 Risk free rate: 4.00% Asset beta: 0.775 Cost of equity: 13.20% Terminal growth rate: 3.5% Independent valuation reports are prepared for Infratil’s portfolio companies for the purpose of calculating the international portfolio incentive fee (for the international portfolios) and setting management long-term incentives for some portfolio companies Independent valuation summary – Airports & Healthcare Valuation methodologyKey valuation assumptions March 2025 valuation March 2025 valuation March 2025 valuation
Page 43
42 Portfolio returns Asset Segment Geography Month of Initial Investment Duration (years) Total capital invested1 (NZD) Total realised proceeds2 (NZD) Total unrealised proceeds3 (NZD) Total value4 (NZD) IRR (NZD) CDC Digital Infrastructure Australasia September 2016 8.6 1,032 162 7,248 7,411 38.7% One NZ Digital Infrastructure New Zealand July 2019 5.7 2,852 1,203 3,714 4,917 21.5% Kao Data Digital Infrastructure United Kingdom August 2021 3.6 476 - 702 702 18.4% Fortysouth Digital Infrastructure New Zealand October 2022 2.4 212 6 186 192 (4.2%) Clearvision Ventures Digital Infrastructure United States March 2016 9.1 96 2 156 158 12.3% Longroad Energy Renewable Energy United States October 2016 8.4 781 308 2,112 2,420 55.2% Manawa Energy5 Renewable Energy New Zealand April 1994 31.0 395 1,542 789 2,331 17.3% Gurīn Energy Renewable Energy Asia July 2021 3.7 172 1 493 494 87.9% Galileo Renewable Energy Europe February 2020 5.1 151 - 326 326 41.2% Mint Renewables Renewable Energy Australia December 2022 2.3 22 - 23 23 4.1% RHCNZ Medical Imaging Healthcare New Zealand May 2021 3.8 473 63 689 752 15.5% Qscan Group Healthcare Australia December 2020 4.3 328 46 455 500 10.9% RetireAustralia Healthcare Australia December 2014 10.3 365 35 404 439 2.2% Wellington Airport Airports New Zealand November 1998 26.4 96 641 934 1,575 17.4% Infratil Property Other New Zealand December 2007 17.3 94 104 73 178 9.3% Notes: 1. Total capital invested is equal to the sum of all capital invested by Infratil into the asset during the holding period, and consists of initial capital contributions, shareholder loan contributions, capital calls, and acquisition of management shares vesting under LTI schemes 2. Total realised proceeds is equal to the sum of all distributions received by Infratil during the holding period and consists of capital returns, shareholder loan interest payments, shareholder loan principal payments, dividends, and subvention payments. 3. Total unrealised proceeds is equal to the valuation of Infratil’s stake in each of its assets. These valuations are aligned t o Infratil asset values as summarised on page 38 4. Total value is equal to total realised proceeds plus total unrealised proceeds 5. A non-cash benefit equal to the value of Infratil’s share of Tilt on split from Trustpower has been recognised in Total realised proceeds for Manawa to capture the value of the embedded option within Manawa
Page 44
43 Incentive fee overview The net incentive fee accrual for 31 March 2025 is $350.6 million Valuations for the purposes of the incentive fee are calculated net of estimated costs of disposal and any potential capital gains taxes Incentive fees 31 March ($millions) FY24 Incentive Fee Valuation Capital FX Distributions Hurdle FY25 Incentive Fee Valuation Incentive Fee Annual Incentive Fee CDC 4,399.3 (494.2) - 24.1 (543.3) 7,212.2 359.9 Kao Data 550.7 (82.9) (8.3) - (70.2) 694.5 (3.5) Longroad Energy 1,503.1 (163.4) (2.6) - (185.2) 1,728.2 (25.2) Galileo 237.1 (41.9) - - (30.1) 321.1 2.4 Gurīn Energy 233.5 (67.5) (4.3) 0.6 (31.3) 485.6 29.9 RetireAustralia 454.1 - - 5.2 (54.3) 404.2 (19.8) Qscan 407.8 - - 43.6 (48.9) 450.0 7.4 Initial Incentive Fee Mint Renewables (21.8) - - (3.1) 22.6 (0.5) 7,785.6 (871.7) (15.2) 73.5 (966.4) 11,318.6 350.6
Page 45
44 (50,000) (25,000) - 25,000 50,000 75,000 100,000 125,000 150,000 175,000 (50% (25% - 25% 50% 75% 100% 125% 150% 175% Accumulation indexAnnual Return Dividend Yield (LHS) Capital Return (LHS) Accumulation Index (RHS) Total shareholder return of (2.6%) for the year to 31 March 2025 and a 18.0% return over 31 years Total shareholder returns Period TSR 1 - year (2.6%) 5 – year 23.9% 10 – year 17.0% 20 – year 13.9% Since inception (31 years) 18.0% Notes: 1. The accumulation index assumes that $1,000 was invested in Infratil’s IPO and that an investor reinvests all dividends at the time of receipt and participates in any equity raises or rights offerings so that they neither take any money out or invest any new money into Infratil 2. Accumulated dividends represent the total value of dividends received by the investor
Page 46
45 Year ended 31 March ($Millions) Share 2024 2025 CDC 48.2% $140.8 $173.9 One NZ 99.9% $545.5 $604.0 Fortysouth 20.0% $11.5 $13.6 Kao Data 54.0% ($2.3) $4.9 Manawa Energy 51.1% $74.1 $46.6 Longroad Energy 37.2% $33.4 $27.3 RHCNZ Medical Imaging 51.8% $58.1 $63.2 Qscan Group 57.2% $40.6 $48.7 RetireAustralia 50.0% $12.1 $21.6 Wellington Airport 66.0% $70.7 $86.1 Corporate & other ($76.5) ($103.5) Operational EBITDAF $908.0 $986.4 Galileo 38.0% ($15.2) ($26.7) Gurīn Energy 95.0% ($21.9) ($32.0) Mint Renewables 73.0% ($6.8) ($9.9) Development EBITDAF ($43.9) ($68.6) Total continuing operations $864.1 $917.8 Trustpower Retail business 51.1% ($0.3) - Total $863.8 $917.8 Proportionate capital expenditure Proportionate EBITDAF Proportionate capital expenditure and EBITDAF Year ended 31 March ($Millions) 2024 2025 CDC $291.8 $928.2 One NZ $261.4 $269.3 Fortysouth $3.1 $4.8 Kao Data $58.8 $82.8 Manawa Energy $33.6 $26.5 Longroad Energy $825.5 $805.6 Gurīn Energy $60.0 $39.5 Galileo $42.7 $52.6 Mint Renewables $1.1 $0.5 RHCNZ Medical Imaging $26.1 $25.3 Qscan Group $16.0 $13.1 RetireAustralia $50.9 $62.8 Wellington Airport $42.2 $77.5 Proportionate Capital Expenditure $1,713.2 $2,388.5 Proportionate capital expenditure shows Infratil’s share of the investment spending of investee companies. Proportionate EBITDAF shows Infratil’s share of the earnings of the companies in which it invests. Proportionate EBITDAF is shown from continuing operations and includes corporate and management costs, however, excludes incentive fees, transaction costs and contributions from businesses sold, or held for sale.
Page 47
46 Overview This investment is either used to acquire new assets, increase holdings in existing assets, or used by investee companies to invest into capital projects, pay their operational expenses, or to pay down debts Capital contributed to CDC to better position the business for its next stage of growth as it delivers on 382MW of capacity currently under construction Investment into Kao Data is primarily to support the development of its Harlow data centre facility Longroad equity injections have been used to support new projects as they reach full notice to proceed and begin construction Capital invested into RHCNZ was to support doctor liquidity and growth in the platform Investment into Gurīn Energy, Galileo, and Mint Renewables is used to support platform growth and investment into capital projects and to support the growth of capability within the assets Year ended 31 March ($Millions) 2024 2025 CDC $35.1 $494.2 One NZ $1,800.0 $20.9 Kao Data $156.2 $82.9 Fortysouth - - Longroad Energy $96.2 $163.4 Gurīn Energy $55.8 $67.5 Galileo $39.6 $41.9 Mint Renewables $5.7 $11.7 RHCNZ Medical Imaging - $48.1 Qscan $17.8 - Clearvision $18.8 $8.0 Infratil direct investment $2,225.2 $938.6 Infratil direct investment
Page 48
47 Overview This table reflects the Infratil wholly owned group’s cash flow and serves as a reconciliation between Infratil’s opening and closing cash balances The breakdown of distributions received and capital invested by asset are provided in the Detailed Financial information & Operating Metrics tables that are released alongside this presentation International Portfolio Incentive fees paid during the period include FY2024 initial incentive fee of $38.4 million, Tranche 1 of the FY2024 annual incentive fee ($30.4 million), Tranche 2 of the FY2023 annual incentive fee ($54.6 million), Tranche 3 of the FY2022 annual incentive fee ($33.2 million), $50 million of which were paid in scrip to Infratil’s Manager Year ended 31 March ($Millions) 2024 2025 Distributions received from portfolio companies $231.6 $258.0 Management fees ($86.2) ($108.7) Net interest ($110.9) ($115.1) Other corporate operating cash flows ($7.0) ($30.2) Net cash inflow/(outflow) from operating activities $27.5 $4.0 Infratil direct investment ($2,225.2) ($938.6) Other investment costs ($14.0) ($16.3) Incentive fees paid ($102.2) ($106.8) Net cash inflow/(outflow) from investing activities ($2,341.4) ($1,061.7) Dividends paid ($154.3) ($124.1) Net bond issuance $155.1 $170.0 Debt drawdown/(repayment) $811.0 ($194.4) Equity raised $928.1 $1,258.8 Net cash inflow/(outflow) from financing cashflows $1,739.9 $1,110.3 Net increase/(decrease) in cash and cash equivalents ($574.0) $52.7 Cash and cash equivalents at the beginning of the year $593.2 $19.2 Net increase/(decrease) in cash and cash equivalents ($574.0) $52.7 Cash and cash equivalents at end of year $19.2 $71.9 Infratil wholly owned group cash flow
Page 49
48 Overview Proportionate EBITDAF is an unaudited non-GAAP (‘Generally Accepted Accounting Principles’) measure of financial performance, presented to provide additional insight into management’s view of the underlying business performance Proportionate EBITDAF is shown from continuing operations and includes corporate and management costs, however, excludes incentive fees, transaction costs and contributions from businesses sold, or held for sale Specifically, in the context of operating businesses, Proportionate EBITDAF provides a metric that can be used to report on the operations of the business (as distinct from investing and other valuation movements) Year ended 31 March ($Millions) 2024 2025 Net profit after tax (‘NPAT’) 761.0 (261.3) Less: Associates1 equity accounted earnings (144.2) (505.0) Plus: Associates1 proportionate EBITDAF 217.7 213.7 Less: minority share of subsidiary2 EBITDAF (193.9) (182.8) Plus: share of acquisition or sale-related transaction costs 24.6 15.5 Plus: one-off restructuring costs (including Fibreco) 13.5 7.6 Net loss/(gain) on foreign exchange and derivatives 56.4 69.4 Net realisations, revaluations and impairments (998.7) 110.9 Discontinued operations 0.4 - Underlying earnings (263.2) (532.0) Plus: Depreciation & amortisation 558.6 624.9 Plus: Net interest 366.7 428.8 Plus: Tax 74.2 49.2 Plus: International Portfolio Incentive fee 127.8 346.9 Proportionate EBITDAF 864.1 917.8 Earnings reconciliation
Page 50
49 Gearing and credit metrics are monitored across the portfolio in aggregate and at the individual portfolio company level One NZ, Welington Airport and Qscan completed full refinancing of debt packages in the period, upsizing debt capacity and securing improved commercial terms As previously signalled, CDC completed a A$900 million capital raise in December 2024 and will require additional equity from shareholders over the next 12 months to fund its accelerated growth while maintaining disciplined capital management and credit metrics EBITDAF based leverage metrics not appropriate for Longroad, RetireAustralia and Kao Data based on industry segment and current operating models In addition to the below metrics, Wellington Airport maintains a BBB S&P credit rating (stable outlook) Exposure to interest rates is monitored across each portfolio company and managed within approved treasury policy limits 89% of drawn debt was hedged on a fixed rate basis as at 31 March 2025 Portfolio company debt 31 March 2025 Gearing1 Net Debt / EBITDA2 % of drawn debt hedged3 CDC4 19.7% 9.5 110% One NZ 27.9% 3.0 72% Fortysouth 44.7% 13.9 87% Kao Data 16.0% n/a 111% Manawa Energy 24.5% 5.9 67% Longroad Energy5 25.4% n/a 91% Galileo6 - n/a n/a Gurīn Energy7 - n/a n/a Mint Renewables8 - n/a n/a RHCNZ Medical Imaging 24.7% 3.7 78% Qscan Group 28.4% 3.9 60% RetireAustralia 25.3% n/a 69% Wellington Airport 33.6% 5.5 78% Value Weighted Average of Portfolio Companies9 23.6% 89% 1. Gearing calculated as total net debt / total capital based on most recent independent valuations, listed equity value or book value at 31 March 2025 2. Unless otherwise stated EBITDAF definitions based on pre IFRS16 and allowable pro forma adjustments under financing arrangements for each Portfolio Company rounded to one decimal place 3. Calculated as floating rate drawn debt plus active ‘pay fixed’ interest rate swaps / total drawn debt as at 31 March 2025. CDC and Kao Data hedge positions reduced to 100% or below in Q1 FY26 4. CDC leverage metric applies March 2025 run rate EBITDAF annualised and includes Shareholder Loans in Net Debt 5. Longroad gearing calculation reflects holding company Net Debt position and excludes non-resource project financing, % of drawn debt hedged is based on non-recourse term debt but excludes construction and working capital facilities 6. 7. 8. Holding company Net Debt position, excludes non-recourse project finance borrowing 9. Calculated based on IFT’s value weighted, proportionate share of Total Net Debt /Total Capital across all portfolio companies Overview