In its first end-of-year statement, AIH reported a net profit after tax of $A4.1 million for its inaugural period of operation from 5 October 2005 to 31 December 2005.
AIH’s result for the period was achieved on total revenue of $A62.9 million and earnings before interest tax depreciation and amortisation (EBITDA) of $A46.3 million. Asset performance was in line with expectations for the period, said chairman Mark Barnaba.
“AIH is now well established and the Directors and management team are confident about AIH's prospects for 2006 and beyond,” he said.
Alinta said its net profit before significant items was $A105.6 million – slightly higher than the previous guidance of $A95-$100 million.
Chairman Tony Howarth said while the results were dominated by the AIH transaction, the company’s underlying business continued to be very strong and was tracking slightly ahead of expectations.
“The AIH transaction has not only resulted in a sizeable accounting profit, but it has also returned around $700 million in capital to Alinta, the majority of which we have invested in our stake in AGL,” Howarth said.
“We are very optimistic about the prospects of moving forward with our AGL proposal and the benefits we think that will bring. The two asset and business portfolios complement each other perfectly and would create Australia’s leading energy utility.”
Howarth also reaffirmed chief executive Bob Browning’s statement that Alinta’s offer price of $19.45 per share for on-market purchases would be its final offer to build its 19.9% stake in AGL.
Alinta started its bid for AGL, which has proposed a demerger of its own assets into separate companies, by initially acquiring 10% of the firm on Monday.
Meanwhile, Alinta’s earnings before interest, tax, depreciation and amortisation rose 40% to $A550.2 million for the year. It said this result was substantially due to the AIH transaction, however, its asset management division also generated strong growth.
Total revenue from continuing operations grew to $A1.06 billion, compared with $A820.1 million in 2004.
“The primary factors behind the increase were commencement of retail electricity sales in Western Australia, additional east cost gas wholesaling arrangements and the strength of the asset management services business,” Howarth said.
The company also declared a final fully franked dividend of A23c per ordinary share. This brings the total dividend for the year to a fully franked 44c, up 2c from 2004.
