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Highlights

  • APA's underlying EBITDA increased by 6.4% year over year to AUD 2,015 million, at the top end of guidance.

  • Total distributions for FY25 rose 1.8% to 57.0 cents per security, with FY26 distribution guidance set at 58.0 cents per security.

  • AUD 655 million was invested in growth projects during FY25, expanding APA’s development pipeline to AUD 2.1 billion.

APA Group (ASX:APA) announced its financial results for the year ended 30 June 2025, with earnings landing towards the upper end of guidance. The company reported higher revenue, improved operating margins, and continued progress on growth projects across its energy infrastructure portfolio.

Shares of APA Group traded 2.24% higher at AUD 8.66 per share on the morning of 20 August following the release.

FY25 Results

For the full year, APA recorded underlying EBITDA of AUD 2,015 million, representing a 6.4% increase compared with AUD 1,893 million in FY24. Statutory revenue, excluding pass-through revenue, rose by 4.7% year over year to AUD 2,713 million. The company also reported that underlying EBITDA margins increased to 74.2%, supported by asset performance improvements and targeted cost reduction measures.

Free cash flow for the year stood at AUD 1,083 million, slightly above the prior year, with EBITDA growth offset by higher tax and interest expenses. Statutory net profit after tax came in at AUD 129 million, lower than FY24 due to significant one-off items in the prior year. Adjusting for those items, FY25 statutory profit was 8.4% higher than the comparative period.

Distributions

APA declared a total distribution of 57.0 cents per security for FY25, up 1.8% from 56.0 cents per security in FY24. This includes a final distribution of 30.0 cents per security, comprised of a mix of fully franked, unfranked, and capital distributions. The payment is scheduled for 10 September 2025, with the Distribution Reinvestment Plan operating at a 1.5% discount.

Looking ahead, APA has provided guidance for a FY26 distribution of 58.0 cents per security, representing a 1.8% increase on FY25.

Growth Projects and Investments

During FY25, APA invested AUD 655 million in growth projects, funded through balance sheet capacity. Major initiatives included the acquisition of the Atlas to Reedy Creek Pipeline, completion of the Port Hedland Solar and Battery Project, and the Kurri Kurri lateral pipeline project.

The company also advanced development on its East Coast Gas Grid Expansion Plan, signed agreements for the Sturt Plateau Pipeline in the Beetaloo Basin, and secured Priority Project status for transmission corridors in the Pilbara. In addition, APA progressed a gas pipeline and storage facility agreement for CS Energy’s Brigalow project.

The organic growth development pipeline now totals approximately AUD 2.1 billion, supported by funding from the existing balance sheet and the Distribution Reinvestment Plan.

FY26 Outlook

APA has guided for underlying EBITDA of AUD 2,120 million to AUD 2,200 million in FY26, representing around 7.2% growth at the midpoint compared with FY25. Growth is expected to be driven by new asset contributions and further cost reduction initiatives.