By David Winning
SYDNEY–New Zealand telecommunications company Chorus forecast higher earnings in fiscal 2024, drawing a line under a year when its operations were jolted by damage to networks from flooding and Cyclone Gabrielle.
Chorus said it expects earnings before interest, tax, depreciation and amortization–or Ebitda–of between 680 million New Zealand dollars (US$403.6 million) and NZ$700 million in the 12 months through June, 2024. Its Ebitda totaled NZ$672 million in fiscal 2023, after incorporating NZ$10 million in costs related to flood and cyclone-related damage along with changes to its operating model. Excluding those one-off costs, annual Ebitda was within guidance for NZ$675 million-NZ$690 million.
Cyclone Gabrielle, one of the worst to hit New Zealand in decades, led to serious flooding in February and prompted authorities to declare a rare national emergency, only a few weeks after another system battered Auckland, the country’s biggest city.
Chorus reported a statutory net profit of NZ$25 million for fiscal 2023, down 61% from NZ$64 million, as it continued to progress its fiber rollout with around 1.03 million connections at the end of June. Annual revenue rose by 1.6% to NZ$980 million.
In its fiscal 2024 guidance, Chorus said it expected to lift its dividend to 47.5 New Zealand cents a share, from 42.5 NZ cents in the just-ended period. The company also forecast capital expenditure of NZ$400 million-NZ$440 million.
Write to David Winning at [email protected]
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