Strong financial performance for Top Energy amidst disruption and uncertainty

  • Strong financial performance: EBITDAF up 9.8% year-on-year, with revenue growth driven by Ngāwhā generation and network performance.
  • Resilient response to disruption: Power was restored swiftly during the major Transpower outage using local generation assets.
  • Sustainability milestones: Zero net emissions from Ngāwhā generation and conversion of lending facilities to Green Loans.

Despite market volatility driven by energy constraints and uncertainty, the Top Energy Group has delivered a strong result for the 2024/2025 financial year.

Top Energy Chief Executive Russell Shaw said multiple factors tested the region’s resilience, beginning in June 2024 with the collapse of a Transpower pylon that cut power to 88,000 customers from North Auckland to the Cape.

“Fortunately, power was restored quickly using the Ngāwhā geothermal power station and Top Energy’s diesel gensets. We were proud of how well our assets performed; without them, it could have been up to three days without power while Transpower installed temporary towers.

Mr Shaw noted that the company remained attuned to national energy constraints through July and August 2024, caused by low hydro lake levels and limited gas availability.

“These constraints pushed average wholesale prices above $800/MWh, and there are signs we could be facing another national fuel shortage this winter,” he said.

Mr Shaw also pointed to the five-year network regulatory price reset, which took effect in April 2025, as a key challenge.

“We recognise that many of our consumers face energy hardship. Over the past year, we’ve launched several initiatives, including our Energy Wellness Fund and a door-to-door campaign to educate consumers and improve power retailer switching rates.

“We’ve also worked closely with the Top Energy Consumer Trust to minimise future price increases as we navigate these challenges.”

Mr Shaw highlighted the Group’s progress in reducing carbon emissions and advancing its sustainability journey.

“We’ve made significant progress and are committed to maintaining our Toitū carbonreduce certification.”

In particular, Mr Shaw refers to the success of reinjecting carbon emissions from the Ngāwhā geothermal power stations.

“Ngāwhā reported no emissions from electricity generation during the year, reinforcing Top Energy’s commitment to delivering sustainable energy to Far North consumers. We have moved from the dirtiest geothermal generators in New Zealand to the cleanest.”

Building on this success, in September 2024, Top Energy met the criteria to convert all lending facilities into Green Loans—another milestone in the Group’s sustainability strategy.

Financial Results for the year 2024/2025

The Top Energy Group has delivered a strong financial result for the 2024/25 year, reflecting reliable operational performance during a time of considerable volatility in wholesale electricity prices.

Earnings before interest, tax, depreciation, amortisation and fair value adjustments (EBITDAF) were 7.3% above budget for the period and 9.8% higher than the same period last year.

Revenue increased by 12.1% ($11.7 million), with electricity sales from Ngāwhā Generation up 19.0% ($8.6 million). This was supported by a 3.2GWh increase in total generation output and stronger wholesale electricity prices.

Network revenue also rose by 8.9% ($3.9 million), mainly due to tariff changes. While residential electricity use grew by 2.6%, this was balanced by a 2.8% drop in commercial and industrial demand, leaving total consumption steady year on year.

Operating expenses increased by 14.8% ($6.6 million). Employee costs rose by 15.4% ($2.7 million) as the Group continues to invest in growing local talent and expanding field services.

Finance costs were down 6.0% ($1.0 million), with reduced debt levels and lower interest rates helping improve performance against funding covenants.

Volatility in the electricity market, while supporting stronger revenue, also contributed to a $26.7 million non-cash accounting adjustment in the value of our derivative contracts. These adjustments have no impact on day-to-day cashflow or operations.

The year’s performance resulted in a $39.0 million increase in equity, driven by strong earnings and an uplift in the value of our generation assets. All financial targets set out in the company’s Statement of Corporate Intent were met or exceeded.


“These results reflect the strength of our generation and network operations and our commitment to long-term sustainability for our local communities,” said Russell Shaw.

“We’re continuing to invest in local jobs, local energy, and the infrastructure needed to support a resilient energy future for the Far North.”

To view Top Energy’s Annual Report, go to: https://topenergy.co.nz/assets...

For more information contact: Philippa White, 021 2418740