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About Contact Energy (ASX:CEN)
Contact Energy Limited is a New Zealand electricity generator and retailer headquartered in Wellington, listed on the NZX with its shares also quoted on the ASX. It generates electricity from geothermal, hydro and thermal power stations and is developing solar, wind and grid-scale battery projects. It sells electricity, natural gas, broadband and mobile services to residential, business and industrial customers across New Zealand.
Contact Energy Limited (ASX:CEN) reported net profit of NZ$423 million and EBITDAF of NZ$1,011 million for the twelve months ended 30 June 2026, up 62% and 31% respectively against FY25 underlying performance. All figures in the announcement are in New Zealand dollars unless stated otherwise. The company said FY25 underlying performance excludes a NZ$98 million pre-tax EBITDAF and NZ$71 million after-tax profit benefit from the release of the Ahuroa Gas Storage onerous contract provision; on a reported basis FY25 EBITDAF was NZ$872 million and profit was NZ$331 million. Profit per share was 41.5 cents, up 27%, operating free cash flow was NZ$648 million, up 49%, and average return on invested capital was 5.9%, up 100 basis points. EBITDAF and operating free cash flow are described in the announcement as non-GAAP measures. The reported period includes Manawa Energy from 11 July 2025 while the prior period does not, and the company said the acquisition contributed to the uplift in earnings. The Board declared a final dividend of 24 cents per share, taking the FY26 annual dividend declared to 40 cents per share, with shareholders able to participate in the dividend reinvestment plan at a 2% discount.
Renewable output rose 2.9TWh including power purchase agreements, with total output 98% renewable in FY26, reflecting the addition of Manawa hydro assets and its contracted wind and geothermal PPAs which together contributed 2.4TWh, along with a full period of generation at the Te Huka 3 geothermal plant. Average pricing on electricity sold was NZ$140/MWh, down 11% from NZ$157/MWh in FY25, with national hydro inflows at 118% of mean and New Zealand hydro storage ending the period at 135% of mean. Cost-reduction synergies of NZ$28 million have been secured on a run-rate basis, which the company said is 100% of target, with NZ$22 million recognised in FY26 within other operating costs. Contact raised NZ$575 million of new equity in February 2026, brought its first 100MW Glenbrook battery online in March and started construction of a second 200MW battery expected online in Q1 2028, and total retail connections across electricity, gas, broadband and mobile exceeded 690,000, up 50,000 on FY25.
Source: Contact Energy Limited (ASX:CEN), 10 August 2026. Summary content supplied by Digifin Pty Ltd.
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