bbw announces full year result and upgrade

ASX Release
7 September 2006
BBW ANNOUNCES FULL YEAR RESULT AND UPGRADE TO FY2007
DISTRIBUTION
(ASX: BBW) today announced its inaugural FY2006
final result with total revenue of $73m. The directors have confirmed that a fully tax
deferred final distribution of 5.1 cents per stapled security for the half year ended 30
June 2006 will be paid to security holders on 29 September 2006.
BBW’s key milestones achieved during the financial year included:
• Revenue of $73m and EBITDA of $51.8m: The result contained a number of
non recurring items and unexpected operational variances. The combined
financial impact of the delays, operational variances and compensation for
Alinta, resulted in revenue being $4.0m lower than the FY06 Director’s forecast,
and EBITDA (after associates) being $5.7m below the FY06 Director’s forecast.
• Net interest Paid: Net interest expense was also $5.4 million below FY06
Director’s forecast because of the delays in the acquisitions. This aggregate
impact from reduced EBITDA (after associates) and reduced interest expense
resulted in a positive impact of $0.3 million on operating cash flows.
• Distribution guidance upgraded: In line with the accretive acquisitions made
during the year, the Directors confirmed that the distribution guidance for 2007
has been upgraded from 11.2 cents per security to 12.51 cents per security.
This distribution will be fully tax deferred. Further BBW is targeting at least 3.5%
compound annual growth in distributions over the medium term
• Conservative gearing and balance sheet structures: BBW’s gearing remains
conservative, with a net debt to net debt plus equity ratio of 30.9% on a
consolidated basis.
• Portfolio Status: The portfolio has achieved significant scale and diversity
during FY2006: this saw the portfolio increase from 4 fully operational wind
farms at the IPO, to 16 at the end of the financial year. BBW has commenced
the 2007 financial year with 19 operational wind farms.
• Successful capital raisings: On 12 May BBW announced the successful
completion of a global book build which was approved by security holders at an
extraordinary general meeting on 14 June. This resulted in the issuance of 74.1
1 FY07 Distribution guidance assumes: No material reduction in Spanish tariffs, P50 wind performance, no
performance fee.