Unaudited Financial Results for the six months to 30 September 2020
WEL Networks Limited has released its unaudited Financial Results for the six months ended 30 September 2020.
The highlights, on a continuing operations basis, were:
- The completion of the UFF Holdings Limited sale, the holding company for Ultrafast Fibre Limited, on 30 September 2020. The sale resulted in the repayment of all bank debt and termination of all interest rate hedging leaving the $150m subordinated bond in place until August 2023.
- Revenue of $70 million is $5 million lower than September 2019 as a result of lines fee reductions, which is in line with our continued focus on reducing lines charges to consumers.
- Earnings before Interest, Taxes, Depreciation and Amortisation (EBITDA) from continuing operations of $35 million is $7 million behind from September 2019 largely due to the lower revenue and the impact on unrecoverable costs through the Covid-19 lockdown.
- Total assets of $1,001 million, a net decrease of $328 million from 31 March 2020 reflecting the sale of UFF Holdings Limited and the fair value of the $200 million 18 month deferred payment portion of the sale proceeds.
Chair, Rob Campbell said “the completion of the UFF sale enables WEL Networks to repay bank debt and to pursue new opportunities and invest in innovative energy solutions in accordance with our business strategy.”
A full copy of the interim report is available here
For more information please contact:
WEL Networks Limited Chair
About WEL Networks
Hamilton-based WEL Networks Limited are the fifth-largest electricity distributor in New Zealand and is owned by the WEL Energy Trust. We’ve been serving the Waikato region for over 100 years, distributing power from the national grid, connecting over 90,000 households and businesses to our network.