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Contact Energy (CEN) investor relations material
Contact Energy CMD 2025 summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Strategic vision and leadership
Launched Contact31+, a strategy to lead New Zealand’s renewable energy future, building on Contact26 and targeting transformation beyond electricity decarbonization, with a focus on geothermal, wind, solar, and battery storage expansion.
Renewed and refreshed leadership team to support execution of Contact31+.
Emphasized empowered people, stakeholder relationships, and technology as key enablers.
Set clear, measurable commitments for 2027 and 2031, including operational, financial, and sustainability milestones.
The company’s diversified portfolio and cost leadership position it to capture new demand and manage volatility.
Growth, investment, and financial guidance
Targeting EBITDA/EBITDAF growth to NZD 1.3–1.4 billion by FY2031, with a 300 basis point uplift in ROIC and dividends over NZD 0.50 per share.
Committed NZD 2–2.5 billion in growth capital over five years, focusing on geothermal, batteries, wind, and solar, with 250MW+ geothermal, 500MW batteries, 500MW+ wind, and 450MWac solar targeted by FY31.
Maintaining a net debt/EBITDA ratio of 2.6x–2.8x, protecting BBB credit rating, and using a mix of on- and off-balance sheet funding for projects exceeding 10% IRR.
Productivity improvements and Manawa integration expected to deliver NZD 38 million in run-rate savings by FY2027 and $28M in cost synergies by FY27.
Dividend guidance is >50cps by FY31, with a payout policy of 80-100% of operating free cash flow.
Renewable development and technology
Leading geothermal expansion with plans to double output to nearly 7 TWh, including new investments at Tauhara and Te Mihi, and major projects like Te Mihi Stage 2 and Tauhara 2/3 underway.
Advancing 500 MW of battery storage, with 300 MW operational by 2026, a pipeline of 900-1,200MW by 2030, and the first 100MW online in Q1 CY26.
Wind and solar growth to be delivered via partnerships, joint ventures, and off-balance sheet structures, targeting 450 MW of solar and 500 MW of wind.
Retail strategy focuses on digital transformation, AI, and customer-centric innovation, aiming to reduce cost to serve to NZD 90 per customer by FY31 and grow demand flex to 65 MW.
Technology investments in data, automation, and trading optimization to drive efficiency and value across the portfolio.
- TimeTickerHeadlineOpen
- 5 FebKGS
$675M acquisition expands distributed power reach and digital infrastructure growth, accretive to earnings. - 5 FebLADR
Q4 2025 distributable earnings hit $21.4M, with investment grade ratings and strong capital metrics. - 5 FebMCFT
Q2 FY26 sales and margins surged, with guidance raised and a key acquisition announced. - 5 FebBERGEPAINT
Q3 FY26 delivered strong volume growth and record margins, but net profit declined. - 5 FebMDU
2025 net income was $190.4M, with growth in gas and pipeline segments and 2026 EPS guidance at $0.93–$1.00. - 5 FebSCSC
Quarterly net sales up 2.5% to $766.5M; margin pressure and guidance lowered. - 5 FebIDCC
Record net income and strong licensing growth in 2025; 2026 outlook remains robust. - 5 FebSOBI
16% revenue growth and 40% margin driven by strategic launches and pipeline progress. - 5 Feb524742
Double-digit growth, strong margins, and major expansion in US and Latin America. - 5 FebASTRAL
17% volume growth and robust margins, with profit impacted by a one-time labour code item.
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