Brookfield Infrastructure Partners(BIP) - 2025 Q1 - Quarterly Report

Financial Performance - Brookfield Infrastructure reported net income of $125 million for Q1 2025, down from $170 million in Q1 2024, with a per unit decrease from $0.10 to $0.04[2][3] - Net income for the three months ended March 31, 2025, was $526 million, a decrease of 35.4% compared to $814 million in the prior year[31] - BIPC reported net income of $762 million for the three-month period ended March 31, 2025, compared to $197 million in the prior year, indicating a significant increase of over 286%[46] - Net income for Q1 2025 was $762 million, significantly higher than $197 million in Q1 2024, marking an increase of 286%[53] Funds from Operations (FFO) - Funds from operations (FFO) increased by 5% year-over-year to $646 million, driven by inflation indexation and higher revenues, with a per unit increase from $0.78 to $0.82[3][4] - The utilities segment generated FFO of $192 million, slightly up from $190 million, with a normalized increase of 13% when excluding currency impacts[4][5] - The data segment saw a significant increase in FFO to $102 million, a 50% rise compared to the previous year, attributed to strong organic growth and acquisitions[7] - Funds from Operations (FFO) for the three months ended March 31, 2025, increased to $646 million, compared to $615 million in 2024, reflecting a growth of 5.0%[36] Revenue Growth - Total revenues for the three months ended March 31, 2025, increased to $5,392 million, up from $5,187 million in the same period of 2024, representing a growth of 4.0%[31] - Revenues for Q1 2025 increased to $929 million, up from $902 million in Q1 2024, representing a growth of 3%[53] Cash Flow and Operating Activities - Cash from operating activities for the three months ended March 31, 2025, was $868 million, slightly up from $841 million in the same period of 2024[33] - Cash from operating activities decreased to $243 million in Q1 2025 from $278 million in Q1 2024, a decline of 13%[55] Asset and Equity Changes - Total assets as of March 31, 2025, were $103,655 million, a slight decrease from $104,590 million as of December 31, 2024[26] - Total assets as of March 31, 2025, were $22.57 billion, down from $23.59 billion as of December 31, 2024, a decrease of 4%[50] - Total equity increased to $2.82 billion as of March 31, 2025, compared to $2.22 billion at the end of 2024, an increase of 27%[50] Corporate Borrowings and Expenses - Corporate borrowings increased to $4,727 million as of March 31, 2025, compared to $4,542 million at the end of 2024[26] - Direct operating costs rose to $355 million in Q1 2025 from $339 million in Q1 2024, an increase of 5%[53] - Interest expense increased to $273 million in Q1 2025, compared to $239 million in Q1 2024, reflecting a rise of 14%[53] Dividends and Distributions - The Board declared a quarterly distribution of $0.43 per unit, representing a 6% increase compared to the prior year, payable on June 30, 2025[16] - The company declared a quarterly dividend of $0.43 per class A exchangeable subordinate voting share, payable on June 30, 2025[43] Sales and Acquisitions - Brookfield Infrastructure secured $1.4 billion in sale proceeds from five advanced sale processes, including $1.2 billion net to BIP and $200 million from financial asset sales[8][9] - The company announced an agreement to exit its Australian container terminal operation for proceeds of $1.2 billion, with an expected closing in the second half of the year[9] - A minority stake sale in a portfolio of fully contracted containers generated $440 million, with over $120 million net to BIP, establishing a framework for future sales[10] - Brookfield Infrastructure is progressing with a $9 billion acquisition of Colonial, the largest refined products pipeline system in the U.S., with a competitive market position and high utilization[12][15] - The company expects to generate approximately $400 million in net proceeds from the sale of a non-core data center site, with closing anticipated in the second half of 2025[13] Shareholder Gains and Remeasurement - The company reported a basic and diluted gain per unit attributable to limited partners of $0.04 for the three months ended March 31, 2025, down from $0.10 in the prior year[38] - The company reported a significant remeasurement of shares classified as financial liability, resulting in a gain of $307 million in Q1 2025, compared to a gain of $37 million in Q1 2024[53]