Infratil Limited · NZX:IFT
Infratil — Investor Day (April 2016)
11 slides from Infratil's investor day presentation, Apr 13, 2016
Slide 1: Infratil Investor Day
Infratil Investor Day 13 April 2016
Slide 2: The Infratil plan for the next phase
The Infratil plan for the next phase: Execution of high conviction ideas with a focus on future platforms and optionality • Optimise value and performance while the portfolio is being repositioned – Extract value from remaining internal options and position for end- games where appropriate – Hit tar
Slide 3: We are well placed to commit when we see value
We are well placed to commit when we see value Divestments of mature assets has created unprecedented financial flexibility • Our existing portfolio is forecast to deliver above-average total returns over the next five years Confidence enables “no- – Assuming no changes to the current portfolio and
Slide 4: The low-rate environment dominates returns analysis
The low-rate environment dominates returns analysis • Market is redefining required rates of return for mid-risk and growth infrastructure • “Lower for longer” expectations continue to drive up Declining core returns valuations, reinforcing the importance of proprietary encourages the development pi
Slide 5: Significant value in our proprietary platforms
Significant value in our proprietary platforms Clear path to deploy capital on an accelerated basis • IFT is in a very strong position to invest significant new capital into our key development platforms of renewables and retirement living – A combination of proprietary development options and inorg
Slide 6: Several emerging future platforms for Infratil
Several emerging future platforms for Infratil Portfolio will be enhanced by creating future platforms capable of independent scale • “Swim with the tide” and focus on new models to • Research and relationships required to develop deliver essential services in the future emerging future platforms –
Slide 7: We are also seeing value in listed markets
We are also seeing value in listed markets A pragmatic approach towards listed market opportunities • Public markets are increasingly relevant under current conditions – Distortions are evident between private and listed markets relative valuations – Large corporates focused on capital intensity are
Slide 8: A clear set of criteria to manage capital allocation decisions
A clear set of criteria to manage capital allocation decisions Each asset has a role in the overall optimisation of the portfolio • The total portfolio needs to be able to operate within targeted return, credit and liquidity parameters under realistic potential downside scenarios – These parameters
Slide 9: IFT Portfolio strategy on a page
IFT Portfolio strategy on a page High return development platforms supported by a cash-generating core Core portfolio CORE CASH-GENERATING PORTFOLIO Rotate out of generates cash to • TPW Core businesses with support IFT-level • WIAL declining outlooks debt and • NZ Bus, Perth Energy dividends • Futu
Slide 10: Infratil FY17 guidance and near term outlook
Infratil FY17 guidance and near term outlook • Steady growth in earnings and dividends as we reposition the portfolio for the future 2017 2016 NZ $M • EBITDAF trends reflect current Guidance* Outlook* momentum and changes in the portfolio EBITDAF (continuing ops) $485-$525 $495-$505 – 2016 EBITDAF g
Slide 11: Infratil investment programme is clear
Infratil investment programme is clear Targeting a balance of incremental high confidence moves and option development • Infratil is set to perform well under a number of scenarios – Performance of existing assets – Quality of people and capability – Strength of origination pipeline – Access to capi