LONDON (Alliance News) - Infinis Energy PLC, the renewable energy generator majority owned by Guy Hands' private equity firm Terra Firma, Thursday reported a lower profit for its last financial year due to refinancing costs and the costs of its initial public offering last November, although revenue rose 7.3% on the back of higher exports of wind power and average selling prices.
The company, which has been admitted to the FTSE 250, reported a net loss of GBP11.8 million for the year to end-March compared with the GBP8.9 million profit it made a year earlier. However, this was mainly due to a GBP59.2 million pretax charge for the listing costs and as it refinanced and consolidated ten of its wind projects last October.
Excluding the charges, its profit rose to GBP41.0 million, from GBP26.9 million, as revenue rose to GBP242.5 million, from GBP225.9 million. It said its earnings before interest, tax, depreciation and amortisation, excluding operation exceptional items, rose to GBP148.4 million, from GBP125.4 million, which beat the target it had set at its IPO.
"We have performed strongly in both our landfill gas and wind businesses, exporting 2.6 terrawatt hours of renewable power, which has translated into financial results ahead of our expectations," Chief Executive Eric Machiels said in a statement.
"Our balanced portfolio of landfill gas and onshore wind assets leaves us well placed to fulfil our dividend commitments and execute our growth plans. We continue to make progress on our wind development pipeline and are on target to deliver incremental capacity of 130-150 megawatts by 2017 as set out in our IPO," he added.
The company said it will pay a final dividend of 6.63 pence the period between the IPO and the end of the financial year. It intends to pay a GBP55 million dividend in the current financial year and increase it at least in line with inflation after that.
It cautioned that wind speeds had been below average in the first quarter of the current financial year, while mild weather and lower gas prices has led to softer wholesale power markets in the near-term
The company's shares were up 0.9% at 230.6 pence Thursday morning.
By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1
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