‘A very high bar’: Infratil doubles down on data centres to satiate investors
CEO Jason Boyes told Capital Brief there’s no point in committing capital to smaller companies in its portfolio when the data centre outlook looks so rosy.
Less than an hour before Infratil’s investors started trimming their holdings, CEO Jason Boyes admitted that its runaway success investing in AI infrastructure companies CDC Data Centres and US renewable energy developer Longroad had set “a very high bar” for future growth plans.
By the end of the day, the stock had fallen 4.9%. Boyes told Capital Brief he’s “not too surprised” it came off its record high price as the company looks to meet investor expectations by recycling more capital into data centres.
Boyes posited that the disappointment on Tuesday was probably due to the “anticipation of new contracts for CDC, which we’re still working on” despite Infratil delivering full-year earnings before interest, tax, depreciation, amortisation and fair value deductions (EBITDAF) at the top end of the guidance range.
“I’m not too worried about those contracts, we’ve got a good line of sight on them, and we said they would be here in the half, so expect we’d be able to deliver those for investors,” Boyes said.
