3i Infrastructure (LON:3IN) Announces Earnings Results

3i Infrastructure (LON:3IN) issued its earnings results on Tuesday. The company reported GBX 32 EPS for the quarter, Digital Look Earnings reports. 3i Infrastructure had a return on equity of 10.77% and a net margin of 92.78%.The firm had revenue of £409 million for the quarter.

Here are the key takeaways from 3i Infrastructure’s conference call:

• 3i Infrastructure delivered an 8.5% total return, in line with its medium-term target range of 8%-10%, despite a challenging market backdrop and the write-down of DNS:NET.
• The company completed the sale of TCR at a significant premium, its largest-ever exit, generating proceeds of about EUR 1.1 billion and helping drive a sharp improvement in liquidity.
• NAV rose to 405.2 pence per share, supported by portfolio earnings growth, strong exits, and active capital allocation across the year.
• The board announced a higher dividend target of 14.3 pence per share for the next year, up 6.3%, and said the current dividend is fully covered by net income.
• The portfolio remains mixed: new investments like the Lefdal Mine Datacenter and bolt-ons at Joulz were highlighted as growth drivers, while DNS:NET was written down after financing for its fiber rollout became unavailable.

3i Infrastructure Stock Performance

LON:3IN traded down GBX 7.50 during mid-day trading on Wednesday, hitting GBX 363. 2,910,011 shares of the company’s stock traded hands, compared to its average volume of 3,209,619. The firm has a 50 day moving average of GBX 351.17 and a two-hundred day moving average of GBX 359.53. 3i Infrastructure has a 12 month low of GBX 319 and a 12 month high of GBX 387.50. The firm has a market capitalization of £3.35 billion, a price-to-earnings ratio of 7.93 and a beta of 0.50. The company has a current ratio of 0.85, a quick ratio of 0.57 and a debt-to-equity ratio of 15.26.

Wall Street Analyst Weigh In

A number of research analysts have commented on 3IN shares. Jefferies Financial Group restated a “buy” rating on shares of 3i Infrastructure in a research note on Wednesday. Royal Bank Of Canada reiterated an “outperform” rating and set a GBX 450 price target on shares of 3i Infrastructure in a research note on Tuesday, January 27th. Two investment analysts have rated the stock with a Buy rating, According to MarketBeat, 3i Infrastructure has an average rating of “Buy” and a consensus price target of GBX 450.

About 3i Infrastructure

3i Infrastructure plc is a Jersey-incorporated, closed-ended investment company, an approved UK Investment Trust, listed on the London Stock Exchange and regulated by the Jersey Financial Services Commission. The Company’s purpose is to deliver a long-term sustainable return to shareholders from investing in infrastructure.

3i Investments plc, a wholly-owned subsidiary of 3i Group plc, is authorised and regulated in the UK by the Financial Conduct Authority and acts as Investment Manager to 3i Infrastructure plc.