Powerco increases profit 8.9 per cent, boosts payout

Powerco boosted net profit 8.9 per cent in the nine months through March in a year when the country's second-biggest local electricity network owner changed its balance date and paid out more to its shareholders.

Profit rose to $25.6 million in the nine months ended March 31, or 6.9c a share, from $23.5 million in the same period a year earlier, the New Plymouth-based company said.

Revenue rose 4.9 per cent to $281 million, while earnings before interest, tax, depreciation, amortisation and fair value adjustments slipped $1 million to $147.8 million.

"The results reflect the company's resilience and stability," chairman Rick Bettle said.

"Our capital structure is stronger and we have invested for the future with a significant increase in investment in our distribution networks and by improving financial and operational systems."

Powerco has four bonds totalling $330 million listed on the stock exchange's debt market and issued a $100 million wholesale bond in December.

All four securities trade at a premium to their face value, and $130 million of that debt matures in September this year.

The company paid $48.3 million, or 13.1c a share, in the nine-month period, up from $25 million, or 6.8 c a share, in the 2011 financial year.

Powerco is 42 per cent owned by Prime Infrastructure Networks.

Prime Infrastructure, formerly Babcock & Brown, reported a net loss of $11 million in the 2011 calendar year, and has $147.1 million of listed New Zealand debt maturing in November this year.