Chorus Limited (7CH) Q4 2026 Earnings Report

The call presents a broadly positive operational and financial picture driven by continued fiber uptake, revenue growth in fiber, modest EBITDA expansion, strong cash generation and strategic progress (product launches, copper retirement, asset revaluation). Key challenges include the rapid decline of legacy copper revenues, some cost and weather-related maintenance pressures, rating/leverage uncertainty tied to the NIFF securities sale, and subdued property development. On balance the highlights—sustained fiber growth, improving profitability and cash flow, product pipeline and meaningful asset revaluation—outweigh the lowlights, which are largely transitional or one-off in nature.

Chorus guided FY27 EBITDA of $730–760 million, total CapEx of $375–415 million (sustaining CapEx $195–215 million) and a minimum dividend of $0.62 per share (vs FY26 total $0.60 and final $0.36), implying a 3.3% uplift; they expect copper connections revenue in the high‑teens of millions and net copper recycling gains in the low‑teens, with a further step‑down in copper depreciation in FY27 and full copper asset depreciation by 2028. For context FY26 results included EBITDA $726m, operating cash flow $740m, gross CapEx $375m, fiber connections up ~3% to >1.1m with 75.9% uptake and fiber revenue +6%. Balance sheet and funding metrics cited: net debt $3.2bn (up $72m), weighted average interest ~4.95% with ~65% of exposure fixed for three years, leverage ~4.75x debt/EBITDA (Moody’s 5.25x trigger), S&P FFO/debt ~17.2% (9% threshold) and bank covenant at ~4.37x.