One top stock out of the ASX listed companies, which is also among best long term dividend stocks has an ex dividend date approaching in the coming week.
AGL Energy Limited (ASX: AGL)
AGL Energy Limited (ASX: AGL) has reported solid financial performance for the first half of FY25, with underlying EBITDA reaching $1.068 billion, slightly down 1% from the previous year. Underlying net profit after tax (NPAT) came in at $373 million, marking a 7% decline due to margin compression in the retail business and higher operating costs. Statutory NPAT stood at $97 million, impacted by $245 million in significant items, including onerous contract provisions of $165 million and retail transformation costs of $45 million. AGL Energy, one of the high quality dividend paying stocks, declared a fully franked interim dividend of 23 cents per share, reflecting continued commitment to shareholder returns.
AGL’s retail customer base expanded to 4.5 million services, an increase of 46,000 customers, despite fierce competition in the energy market. While retail electricity and gas prices faced ongoing downward pressure, AGL maintained positive customer engagement, with a strategic Net Promoter Score (NPS) of +3, ahead of industry peers. The company also continued to support customers facing cost-of-living challenges, distributing $75 million from its $90 million Customer Support Package, alongside $915 million in government bill relief.
Operationally, AGL generated 15.9 terawatt-hours (TWh) of electricity, maintaining stability despite planned maintenance outages that temporarily lowered the Thermal Fleet Equivalent Availability Factor (EAF) to 78.5%. The company’s Integrated Energy division delivered strong earnings, benefiting from flexibility in its generation fleet and higher realized electricity prices. AGL also expanded its renewables and storage portfolio, increasing its development pipeline to 7.0 GW. Notably, it secured a 200 MW virtual battery agreement with Neoen and remains on track to commission the 500 MW Liddell Battery by early 2026.
AGL has narrowed its full-year FY25 guidance, now expecting underlying EBITDA between $1.935 billion and $2.135 billion and underlying NPAT between $580 million and $710 million. Earnings are projected to moderate in the second half of the year, due to seasonal weather impacts, increased competition, and rising depreciation costs. However, with a strong balance sheet, $1.45 billion in cash and undrawn debt facilities, and a clear strategic roadmap focused on decarbonization and customer growth, AGL is well-positioned to navigate industry challenges and drive long-term shareholder value.
Source: Company’s Report
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