Transpower New Zealand today released its annual results for the 2012/2013 financial year.
Earnings after tax, prior to net changes in the fair value of financial instruments, were $269 million (2012: $167 million). The increase primarily reflects the sale of Transpower’s Sydney-based subsidiary d-cyphaTrade Limited in May 2013.
Transmission revenue was $861 million (2012: $725 million), an increase of $136 million. This increase reflects the commissioning of the North Island Grid Upgrade and HVDC Pole 3 projects.
An interim dividend of $92 million was paid to the Crown in March 2013. Transpower also paid a special dividend of $65.7 million in June 2013, being the total proceeds of the sale of d-cyphaTrade Limited. The Board has resolved to pay a further final dividend of $137 million. This will be paid in September, bringing the total dividend for the 2012/2013 financial year to $294.7 million.
Chairman Mark Verbiest said that the company completed a strong year, improving on our financial and reliability targets as well as commissioning two of the company’s three major transmission projects and improving asset management capability. The company was also named Energy Company of the Year at the Deloitte Energy Excellence Awards held this week.
"It has been pleasing to complete the North Island Grid Upgrade Project and Pole 3 of the HVDC inter-island link – projects that have substantially improved the reliability and resilience of the grid for New Zealanders. Our final major project, the completion of a transmission ring through Auckland, is also close to completion," he said.
"As we complete our major upgrades, we are very focused on using technology to increase the capacity and effectiveness of the existing grid. Emerging consumer technologies offer exciting opportunities. We will promote and use these technologies to provide an excellent, cost-effective transmission service to our customers.
"The most important change we’ve achieved at Transpower these last few years has been to start to think, and behave, like a service company. Looking at the power system from the customers’ viewpoint opens up new opportunities. Decisions on how we operate and maintain the transmission network are now driven by the impact on customers, not just on our assets and it is this focus that has brought us the strong improvement in performance over the last year."
"I am confident that Transpower is well placed to continue to prioritise – and reduce – capex and opex on the grid, by spending our dollar where it counts for the customer," Mr Verbiest said.