| | For the twelve months ended | | | | --- | --- | --- | --- | | | December 31 | | | | US$ millions (except per unit amounts), unaudited | 2024 2023 | | | | Net income attributable to the partnership | $ $ | 391 | 432 | | – per unit | | 0.04 | 0.14 | | FFO | | 2,468 | 2,288 | | – per unit | | 3.12 | 2.95 | EXHIBIT 99.1 Brookfield Infrastructure Reports Strong 2024 Year-End Results & Declares 16th Consecutive Distribution Increase BROOKFIELD, NEWS, Jan. 30, 2025 (GLOBE NEWSWIRE) -- Brookfield Infrastructure ...

Market and Economic Risks - The company faces risks related to demand for commodities, including natural gas and minerals, which could impact financial performance[41]. - The group operates in jurisdictions with varying levels of political risk, including potential nationalization and new taxes, which could materially impact financial performance[83]. - Economic and political conditions significantly impact the demand for services provided by the partnership's operating subsidiaries, affecting growth and profitability[193]. - Adverse economic conditions could lead to reduced demand for services, impacting revenues, profits, and cash flow[195]. - The ongoing geopolitical conflicts, such as the war between Russia and Ukraine, have significantly impacted global economic conditions and financial markets, contributing to volatility in fuel prices and supply chain challenges[196]. - Rising inflationary pressures are leading to tightening monetary policies by major central banks, which may pose risks to economic growth and increase interest rates, potentially resulting in recessionary pressures[197]. - Changes in U.S. laws and policies, including potential tariffs of 25% on Canadian exports, could materially adversely affect the company's business and financial condition[199]. Operational and Regulatory Risks - Successful identification, completion, and integration of acquisitions are critical, with potential risks including competition and regulatory challenges[41]. - The company may encounter difficulties in managing additional operations from acquisitions, potentially affecting financial condition and results[50]. - Risks associated with construction projects include potential delays, cost overruns, and the insolvency of contractors[58]. - The company is subject to risks from economic regulation and adverse regulatory decisions in the countries of operation[41]. - The group may face challenges in obtaining necessary permits and licenses, which could adversely affect business operations and financial condition[71][82]. - Environmental regulations may lead to increased compliance costs and liabilities, impacting the financial performance of infrastructure operations[66]. - Changes in government policies and regulations across various regions could adversely affect the company's financial condition and operational results[215]. Financial and Investment Risks - The company relies on Brookfield for acquisition opportunities, which may be affected by competition from larger entities with greater resources[53]. - Future capital expenditures are necessary to maintain operations and accommodate increased volumes, with potential recovery of investments uncertain[60]. - The company is responsible for its proportionate share of the management fee, which may lead to increased costs[115]. - The company guarantees certain debt obligations of Brookfield Infrastructure, exposing it to credit risk and potentially impacting its financial health[131]. - The company's credit facilities contain covenants that may restrict its ability to engage in certain activities or make distributions to equity[145]. - The company may redeem exchangeable shares at any time without the consent of holders, which could impact their investment[150]. Cybersecurity and Technology Risks - The reliance on technology exposes the group to cybersecurity risks, which could affect operations if systems fail or are compromised[87]. - The company faces ongoing cybersecurity threats that could disrupt its business operations and lead to significant financial loss and reputational damage[90]. - Cyber incidents may remain undetected for extended periods, potentially exacerbating the consequences of data breaches and unauthorized access to sensitive information[91]. - Data protection regulations, such as the GDPR, impose stringent compliance requirements that could adversely affect the company's operations and financial position[96]. Environmental and Compliance Risks - The group faces risks related to environmental damage and regulatory compliance, which could significantly impact financial performance[63]. - Increasing environmental legislation and climate change may lead to higher operational costs that cannot be passed on to consumers, adversely affecting growth prospects[64][65]. - The group is exposed to occupational health and safety risks, which could result in regulatory consequences and financial liabilities[232]. Strategic and Management Risks - Joint ventures and partnerships may reduce the group's influence over operations and expose it to additional obligations and risks[76][78]. - Brookfield holds a 75% voting interest in the company, which allows it to exert substantial influence over management and strategic decisions[104]. - The management services provided by Brookfield may incentivize actions that increase distributions and fees to Brookfield, potentially at the detriment of the company[117]. - The potential for conflicts of interest exists due to the independent operation of Brookfield and Walled-Off Businesses, which may compete for the same investment opportunities[122]. Market and Shareholder Risks - The market price of exchangeable shares and units may be volatile, potentially leading to significant investment losses for holders[158]. - Future exchanges of exchangeable shares for units may dilute existing unit holders' interests and negatively impact the market price of the units[159]. - The company cannot assure that dividends on exchangeable shares will equal those paid on units, which may affect their market price[166]. - Non-U.S. shareholders face foreign currency risk with dividends, as payments are made in U.S. dollars but settled in local currency[167].

Core Insights - Companies like Realty Income, Johnson & Johnson, and Brookfield Infrastructure are recognized for their ability to consistently pay and grow dividends, making them attractive options for investors seeking passive income [2][13] Realty Income - Realty Income has a mission to provide dependable monthly dividends, having paid 657 consecutive monthly dividends and achieved 130 dividend increases since its public listing [3][4] - The current dividend yield for Realty Income is 5.7%, translating to $5.70 of annual passive income for every $100 invested [4] - The company maintains a portfolio of single-tenant net lease properties, generating stable rental income due to tenants covering all operating costs [5] - Realty Income possesses a conservative financial profile with one of the best balance sheets in the REIT sector, allowing for continued property acquisitions [6] Johnson & Johnson - Johnson & Johnson is classified as an elite dividend stock, having increased its annual dividend for 62 consecutive years, placing it among the Dividend Kings [7] - The company has a AAA bond rating and a market cap exceeding $390 billion, with only $12 billion in net debt [8] - Johnson & Johnson generated $20 billion in free cash flow last year, which comfortably covered its $11.8 billion in dividends, while also investing heavily in R&D [9] Brookfield Infrastructure - Brookfield Infrastructure has a track record of increasing its dividend for 16 consecutive years, with a compound annual growth rate of 9% [10] - The current dividend yield for Brookfield Infrastructure is 5%, supported by stable cash flow from regulated or contracted assets [11] - The company anticipates a need for $100 trillion in global infrastructure investment over the next 15 years, with significant opportunities in AI-related infrastructure [12] - Brookfield has $8 billion in expansion projects in its backlog and $4 billion under development, positioning it for future growth in cash flow and dividends [12]

Core Insights - The recent stock market dip has led to increased dividend yields, making it an opportune time for income-seeking investors to consider high-yield dividend stocks [1][13] Vici Properties - Vici Properties is a REIT focused on experiential real estate, leasing properties under long-term triple net agreements, which provide stable and growing rental income [3] - The company has a current dividend yield of 5.5% and has increased its payout for seven consecutive years, with a compound annual growth rate of 7% [4] - Vici Properties is expanding its portfolio through acquisitions and development projects, contributing to its dividend growth [5] Energy Transfer - Energy Transfer is a master limited partnership (MLP) that owns energy midstream assets, generating stable cash flow from long-term contracts [6] - The current distribution yield is 7.2%, with a goal to increase payouts by 3% to 5% annually, supported by a 10% growth in distributable cash flow to $8.4 billion last year [7] - The company plans to invest $5 billion in expansion projects this year, which is expected to drive future growth [8] Brookfield Infrastructure - Brookfield Infrastructure has seen a nearly 25% decline in shares, resulting in a dividend yield exceeding 5% [10] - Approximately 85% of its funds from operations come from regulated or contracted assets, with 70% linked to inflation, ensuring stable cash flow [11] - The company pays out 60% to 70% of its cash flow in dividends and has $8 billion in projects under construction, aiming for double-digit annual FFO-per-share growth and 5% to 9% annual dividend growth [12]

Group 1: S&P 500 and REITs Overview - The S&P 500 index currently offers a dividend yield of 1.2%, while the average REIT yield is 3.8% [1] - Rexford Industrial (REXR) has a 4.1% yield with fast-growing dividends, Realty Income (O) offers a 5.8% yield with a history of annual increases, and W.P. Carey (WPC) has a 6.4% yield, although it was recently cut [1] Group 2: Rexford Industrial - Rexford Industrial is positioned for dividend growth, benefiting from increased demand for industrial properties during the pandemic [2] - The company experienced rapid rental growth, particularly in Southern California, but rental growth rates have slowed, with a 39% increase on expiring leases in Q3 2024 [3] - Despite the slowdown, Rexford's shares are trading at a historically high dividend yield, indicating potential for investors willing to buy after the initial hype [4] Group 3: Realty Income - Realty Income is a major player in the net lease sector, with over 15,400 properties and a strong investment-grade balance sheet [5] - The company has a diversified portfolio that includes retail, industrial, and unique assets, and has consistently increased dividends for three decades at an annualized growth rate of approximately 4.3% [5][6] - Realty Income is considered a stable investment for income-focused investors, with its current dividend yield near a decade-high, suggesting it may be undervalued [6] Group 4: W.P. Carey - W.P. Carey reset its dividend at the start of 2024 after divesting from office properties, which has led to skepticism among dividend investors [7] - The company is focusing on more attractive sectors, with a record dollar value of acquisitions in Q4 2024, which is expected to enhance growth and support ongoing dividend increases [8] - W.P. Carey is viewed as a high-yield, low-risk turnaround opportunity, potentially appealing to investors looking for recovery stories [8] Group 5: Investment Opportunities - The current market offers a variety of attractive dividend stocks, with Rexford as a growth option, Realty Income as a stable income choice, and W.P. Carey as a turnaround play [10]

Group 1: Enbridge - Enbridge is transitioning towards cleaner energy sources, focusing on natural gas investments while reducing oil pipeline assets, with a current dividend yield of 5.9% and 30 consecutive annual dividend increases [3][4][5] - Natural gas now constitutes approximately 47% of Enbridge's EBITDA, while oil pipelines account for 50%, with an additional 3% from clean energy investments like offshore wind farms [5][6] - The company's diverse asset base positions it well for the ongoing energy transition, providing reliable income for investors [7] Group 2: Brookfield Infrastructure - Brookfield Infrastructure reported an 8% growth in funds from operations (FFO) last year, with a 10% increase after adjusting for foreign exchange, driven by organic growth and new capital projects [8][10] - The company has increased its dividend by 6%, marking the 16th consecutive year of dividend growth, with a current yield of over 4% [9][10] - Brookfield anticipates strong organic growth in 2025, supported by a robust pipeline of capital deployment opportunities and a conservative dividend payout ratio of 67% [11][12] Group 3: Enterprise Products Partners - Enterprise Products Partners offers a solid dividend yield of 6.3%, with a 5% increase in dividends last year, marking its 26th consecutive year of annual raises [15][17] - The company is expected to report strong fourth-quarter results, with a projected capital spending of $3.5 billion to $4 billion on organic projects in 2025 [16] - A strong balance sheet and extensive pipeline network support Enterprise Products' dividend growth goals, making it a reliable high-yield stock [17]

Core Insights - Dividend stocks have historically provided significant returns, with a $100 investment growing to approximately $8,750 over 50 years, compared to less than $850 for non-payers [2] - Companies that consistently increase their dividends yield even higher returns, with a $100 investment growing to over $14,100, versus around $2,790 for those with unchanged dividends [2] Company Summaries - **Realty Income**: This REIT has increased its dividend 128 times since 1994, maintaining 30 consecutive years of growth and 109 quarters in a row. It currently offers a dividend yield of 5.8% and has a conservative payout ratio of around 75% of its adjusted funds from operations (FFO), providing financial flexibility for portfolio expansion [4][5][6] - **Brookfield Infrastructure**: This company has raised its dividend annually for 15 years, with a compound annual growth rate of 9%. It anticipates future growth of its 4% yield at a rate of 5% to 9% annually, supported by organic growth drivers and a strong financial profile with a payout ratio of 60% to 70% of FFO [7][8][9] - **Medtronic**: This medical technology firm has increased its dividend for 47 consecutive years, with a compound annual growth rate of 16%. It currently offers a 3.1% yield and returned $5.5 billion to shareholders in its 2024 fiscal year, primarily through dividends [10][11] Investment Recommendations - Realty Income, Brookfield Infrastructure, and Medtronic are highlighted as strong dividend stocks due to their excellent records of dividend growth, making them attractive investment options [12]

Group 1: Brookfield Infrastructure Corporation - Brookfield Infrastructure is a major player in the infrastructure sector, owning extensive assets including 25,600 kilometers of pipelines, 2,900 kilometers of power transmission lines, 140 data centers, and 54,000 kilometers of fiber optics [3][4] - The company is focused on growth areas such as 5G towers and data centers, with over 60% of its funds from operations (FFO) expected to grow alongside increasing global data demand [4] - Brookfield Infrastructure anticipates an annual dividend payout increase of 5% to 9%, supported by a 29% year-over-year increase in FFO from its data segment and a 50% increase from its transport segment [5][6] - The current dividend yield stands at 3.8%, with an annualized dividend of $1.62 per share, and FFO for the full year 2024 is projected to reach $3.10 per share [6][7] Group 2: W.P. Carey - W.P. Carey is a real estate investment trust (REIT) that offers a high dividend yield of 6.4%, with potential for further increases in the future [8] - The REIT generates predictable cash flows through net leases, which transfer variable ownership costs to tenants, making it attractive to income-seeking investors [9] - Following a recent spinoff of its office building segment, W.P. Carey has a strong cash position and has made $1.6 billion in new investments in 2024 [11] - The company raised its dividend payout four times in 2024 to an annualized $3.52 per share, with adjusted FFO expected to be between $4.65 and $4.71 per share [12]

Financial Performance - Brookfield Infrastructure reported net income of $8 million for Q2 2024, a significant decrease from $378 million in Q2 2023[2]. - For the three months ended June 30, 2024, Brookfield Infrastructure Partners reported revenues of $5,138 million, an increase from $4,256 million in the same period of 2023, representing a growth of 20.6%[27]. - The net income attributable to the partnership for the three months ended June 30, 2024, was $8 million, a significant decrease from $378 million in the same period of 2023, reflecting a decline of 97.9%[27]. - Brookfield Infrastructure Corporation reported net income of $643 million for Q2 2024, a significant improvement from a net loss of $154 million in the same period last year[37]. - Revenues for Brookfield Infrastructure Corporation reached $908 million in Q2 2024, compared to $538 million in Q2 2023, reflecting a substantial increase in operational performance[40]. Funds from Operations (FFO) - Funds from operations (FFO) for Q2 2024 reached $608 million, representing a 10% increase compared to $552 million in Q2 2023[3]. - The transport segment generated FFO of $319 million, a 60% increase year-over-year, driven by acquisitions and organic growth of 9%[6]. - The utilities segment's FFO decreased to $180 million from $224 million in the same period last year, primarily due to capital recycling activities[4]. - The data segment's FFO increased by 8% to $78 million, reflecting contributions from recent acquisitions despite the loss of income from a previous sale[8]. - Brookfield Infrastructure Partners L.P. reported consolidated funds from operations (FFO) of $1,416 million, up from $1,113 million year-over-year[30]. - FFO per unit for Q2 2024 was $0.77, an increase from $0.72 in Q2 2023, with an average of 461.5 million limited partnership units outstanding[32]. Acquisitions and Growth Projects - Brookfield Infrastructure secured or completed seven follow-on acquisitions in 2024, totaling nearly $4 billion in enterprise value[9]. - The company has a backlog of organic growth projects valued at $7.7 billion, a 15% increase from the previous year[10]. - Brookfield Infrastructure expects the second half of 2024 to be active for M&A, driven by improved market conditions and interest rates[11]. Cash Flow and Capital Management - Cash from operating activities for the three months ended June 30, 2024, was $1,057 million, up from $970 million in the same period of 2023, marking an increase of 9.0%[28]. - Cash used in investing activities for the three months ended June 30, 2024, was $(1,187) million, compared to cash generated of $760 million in the same period of 2023[29]. - The company monetized assets totaling approximately $210 million this quarter, bringing total capital recycling for the year to $1.4 billion[12]. - The company declared a quarterly distribution of $0.405 per unit, representing a 6% increase compared to the prior year[13]. Assets and Borrowings - Total assets as of June 30, 2024, were $100,892 million, a slight increase from $100,784 million as of December 31, 2023, reflecting a growth of 0.1%[26]. - Corporate borrowings increased to $5,084 million as of June 30, 2024, compared to $4,911 million as of December 31, 2023, representing an increase of 3.5%[26]. - Non-recourse borrowings rose to $44,675 million as of June 30, 2024, up from $40,904 million as of December 31, 2023, indicating an increase of 9.0%[26]. - Total assets for Brookfield Infrastructure Corporation as of June 30, 2024, were $23,657 million, a slight decrease from $23,909 million at the end of 2023[39]. - Non-recourse borrowings increased to $13,088 million as of June 30, 2024, compared to $12,028 million at the end of 2023[39]. Earnings from Associates and Joint Ventures - The share of earnings from associates and joint ventures for the three months ended June 30, 2024, was $95 million, down from $273 million in the same period of 2023, a decrease of 65.2%[27]. - The share of earnings from investments in associates was reported as $0 for Q2 2024, down from $3 million in Q2 2023[40]. Other Financial Metrics - The average number of limited partnership units outstanding for the three months ended June 30, 2024, was 461.5 million, compared to 458.7 million in the same period of 2023, indicating a slight increase of 0.6%[25]. - The cash balance at the end of the period was $466 million, an increase from $356 million at the end of the same period in 2023[42]. - The company reported a change in non-cash working capital of $136 million for the three months ended June 30, 2024, compared to $65 million in the prior year[42]. - Depreciation and amortization expense for the three months ended June 30, 2024, was $191 million, compared to $57 million in the same period of 2023[42]. - The impact of foreign exchange on cash was a negative $34 million for the three months ended June 30, 2024[42].

Core Viewpoint - Companies with strong histories of dividend growth are positioned to provide investors with a reliable stream of income and potential for capital appreciation, outperforming non-dividend payers historically [1][2]. Group 1: Brookfield Infrastructure - Brookfield Infrastructure has demonstrated a solid dividend growth track record, with a 9% compound annual growth rate over the past 15 years and a current yield of nearly 4% [3][5]. - The company aims to continue its dividend growth at an annual rate of 5% to 9%, supported by a robust growth profile with expected funds from operations (FFO) per share growth of over 10% annually [4][5]. - Currently trading at approximately 14.1 times its FFO, Brookfield Infrastructure is below its historical average, presenting an attractive value proposition for investors [5]. Group 2: NextEra Energy - NextEra Energy is recognized for its elite dividend growth, having increased its payout for 30 consecutive years, with a historical growth rate of around 10% annually over the last 20 years [6][7]. - The company maintains a low dividend-payout ratio of 59%, which supports its expectation of a 10% annual increase in dividends through at least 2026 [7][8]. - NextEra Energy benefits from operating the largest electric utility in Florida and is heavily investing in renewable energy, positioning itself for continued growth [8]. Group 3: Prologis - Prologis has achieved above-average dividend growth, with a 13% compound annual growth rate over the last five years, significantly outpacing the S&P 500 and other REITs [9][10]. - The company anticipates continued dividend increases driven by strong demand for warehouse space, high occupancy levels, and rental rate growth, projecting high single-digit annual same-store income growth through 2026 [10]. - Prologis also expects to grow its core FFO per share by 9% to 11% annually, with additional growth potential from accretive acquisitions [10]. Group 4: Overall Investment Opportunity - Brookfield Infrastructure, NextEra Energy, and Prologis are all characterized by attractive dividends and strong growth prospects, making them compelling investment choices for generating above-average total returns [11].