For the current year, Mercury issued ebitdaf guidance of $1075m, and a dividend forecast of 29c.<\/p>\n
Mercury said the big lift in 2026 ebitdaf reflected new generation, continued cost discipline and 4.1 terawatt hours of hydro generation.<\/p>\n
The balance sheet remained strong, leaving sufficient headroom to fund the current growth programme, chief executive Stew Hamilton said.<\/p>\n
\u201cWe are converting strong financial performance into new generation, greater system resilience and the capacity to support New Zealand\u2019s future economic growth,\u201d he said.<\/p>\n
Generation started at three major Mercury renewable projects this year, all of which were expected to be fully operational by the end of 2026.<\/p>\n
The projects are Ng\u0101 Tamariki Geothermal Station expansion near Taup\u014d, Kaiwera Downs 2 Wind Farm near Gore, and Kaiwaikawe Wind Farm near Dargaville.<\/p>\n
The projects represented around $1 billion of investment and 1.1TWh of additional annual renewable generation \u2013 enough to power around 160,000 homes.<\/p>\n
The company reinvested 66% of its FY26 operating earnings (ebitdaf) \u2013 $710 million \u2013 in new and existing renewable generation assets.<\/p>\n
Mercury said last month it had invested $53m in a major data centre <\/a>project in Southland.<\/p>\n Mercury\u2019s result comes at a controversial time for the sector<\/a>, with political pressure mounting for separation of the big power companies\u2019 generation and power retailing roles.<\/p>\n