Contact Energy FY20 Interim Result

contactenergy.co.nz
MEDIA RELEASE
10 February 2020: Contact Energy FY20 Interim Result
Giving customers choice, certainty and control in a volatile period.
Decarbonisation opportunities accelerate.
Key metrics

Six months ended
31 December 2019

Comparison against
continuing operations
3

31 December 2018
Six months ended
31 December 2018
EBITDAF
1

$221m ↓ 21% from $278m ↓ 24% from $291m
Profit $59m ↓ 40% from $99m ↓ 79% from $276m
Interim dividend per share 16.0 cps - 16.0 cps
Operating free cash flow
2

$120m ↓ 38% from $196m ↓ 41% from $203m
Operating free cash flow per
share
2

16.8 cps ↓ 38% from 27.3 cps ↓ 41% from 28.3 cps
Highlights
 Average electricity tariffs for customers lower than last year despite increases in
wholesale electricity costs.
 Constructive participation in the Electricity Price Review to ensure the electricity market
delivers reliable, low-carbon electricity for New Zealanders.
 Investment in geothermal appraisal wells and strong competitive interest from
construction partners, in advance of a final investment decision for Tauhara.
 Decarbonisation-driven demand momentum with a long-term, 13MW, renewable
agreement signed, and demand management platform customer base growing quickly.
 Navigated risks relating to constrained natural gas supply via reduction in fixed priced
electricity sales and prudent management of gas and hydro storage.
 Co-funded accelerated work programme by Transpower to help move renewable
electricity generation north in the event of a disorderly Tiwai Point smelter exit.
 Strong, stable interim dividend of 16 cents per share will be paid on 7 April 2020.





1
Refer to slides 48-49 of the 2020 interim results presentation for a definition and reconciliation between statutory profit and the non-GAAP profit measures earnings
before net interest expense, tax, depreciation, amortisation, change in fair value of financial instruments and other significant items (EBITDAF) and underlying profit (profit
excluding significant items that do not reflect Contact’s ongoing performance).
² Refer to slides 28, 40 of the 2020 interim results presentation for a definition and reconciliation between cash flow from operating activities and the non-GAAP measure
operating free cash flow. Operating free cash flow represents cash available to repay debt, to fund distributions to shareholders and growth capital expenditure.
3
Sale of Rockgas LPG which completed on 30 November 2018

contactenergy.co.nz
Contact Energy (‘Contact’) released its interim financial results for the six months to
31 December 2019 this morning.

Contact CEO Dennis Barnes said repeating the record financial performance from the first
six months of FY19 was always going to be a challenge, even without the natural gas
scarcity that has characterised the last six months.

“The impact of the recent under-investment in New Zealand’s ageing gas fields has been
acutely felt over the past six months with the supply of natural gas proving unreliable,
leading to thermal input costs increasing sharply.

“In this environment we took decisive action to limit our fixed priced sales commitments,
conserve fuel for winter 2020 and explore innovative gas purchase arrangements. Although
the gas supply constraints have increased our generation costs, this has been mitigated by
our high-quality, long-life, renewable generation assets, and lean, low-cost retail operations.”

Financial performance

Contact reported a statutory profit for the six months ended 31 December 2019 of $59
million, $217 million lower than the prior corresponding period which included Rockgas profit
of $10m and the $172m gain on the sale of both Rockgas and Ahuroa gas storage.
EBITDAF from continuing operations reduced by $57 million, or 21%, to $221 million. This
was due to rising thermal generation costs, lower sales to commercial and industrial
customers and strong financial performance under unique wholesale market conditions in
the prior period.
The increasing cost of gas and carbon is accelerating the case for the substitution of
Contact’s baseload TCC thermal plant with new renewables. In this context, the useful life of
the plant has been reduced, increasing depreciation by $9m on the prior comparative period.
Operational improvements and portfolio changes resulted in a further reduction in other
operating costs of $8 million, down 7% on a year ago.
Operating free cash flow for 1H20 was $120 million, down 39% on the first six months of
FY19. This was due to a combination of lower operating earnings (EBITDAF), partially offset
by lower stay in business capital expenditure and interest costs. Cash tax paid of $56 million
was $15 million higher, reflecting tax payable on the strong profit realised in FY19.
Mr Barnes said the dividend policy, complemented by the robust balance sheet, has
insulated shareholders from the financial effects of volatile operating conditions. “The policy
targets an expected operating free cash flow which is normalised for the effects of fuel and
capital investment variability.”
The Board has approved an interim ordinary dividend of 16 cents per share which will be
imputed up to 10 cents per share for qualifying shareholders and paid on 7 April 2020. The
target for the full year ordinary dividend remains at 39 cents per share.
Customer business: Broadband customers ramping up
Mr Barnes said Contact’s Customer business remained focussed on reducing the ‘cost to
serve’ while improving the customer experience.
“Customer demand for our broadband and energy bundles has surpassed even our most
optimistic forecasts with more than 17,000 new broadband connections over the past 12
months. This gives us confidence around our transformation into a customer-centric digital
energy company and shows our refreshed brand resonates with customers.”

contactenergy.co.nz

Despite strong operational performance on many metrics and underlying efficiency
improvements of 6%, EBITDAF in the Customer business was down $18 million (38%) year-
on-year to $30 million, as rising input costs for electricity, gas, carbon and distribution
networks were not recovered.

Mr Barnes said wholesale energy and network costs for the products that Contact sold to
retail customers have seen sustained increases over the past three years. “We deliberately
shield customers from these sharp increases as we believe a long-term customer
relationship is more valuable than short-term improvements to profitability.”

Wholesale business: diverse assets, managing risk and advancing renewable options
Mr Barnes said Contact’s Wholesale business was continuing to work with business
customers, partners and suppliers to decarbonise New Zealand’s energy sector. “The
difficult wholesale market conditions driven by a shortage of gas have shown the value of
diverse generation assets, strong risk management and renewable development options.”
EBITDAF in the Wholesale business reduced by $39 million to $204 million year-on-year, as
production from hydro generation was down by 8 per cent (159GWh). Thermal generation
costs also increased by 10%, driven by gas, carbon and gas storage facility costs.
He said New Zealand was undergoing “a transformation” from reliance on fossil fuels to
renewable electricity. “The transformational shift has impacted Contact’s near-term
profitability as thermal costs rise, but over the longer term we are well-positioned to connect
our customers with renewable energy.
“We expect to drive reductions in costs and deliver strong returns to shareholders at the
same time as we develop our large-scale consented geothermal development at Tauhara.
This will help reduce the nation’s carbon emissions, backed by our world-class geothermal
capability and strong balance sheet.”
Outlook
Mr Barnes said the Rio Tinto-initiated strategic review of the Tiwai aluminium smelter
remained firmly on the radar. “A disorderly exit of the smelter would be a poor outcome for
New Zealand and we are actively engaged in negotiations for revised terms for electricity
supply to Tiwai.
“We are also executing on a range of mitigation options, including co-funding an accelerated
work programme by Transpower. This will help move renewable electricity generation in the
lower South Island north through the national transmission network, if the smelter review
leads to curtailment or closure.
“We are working with commercial and industrial customers to deliver reductions to their
carbon footprints by connecting them with low-carbon, reliable electricity. We believe the
long-term 13MW renewable agreement signed recently is the first of many.
“Thermal generation remains an important part of our current portfolio. The gas supply
agreements we announced today see us well-positioned to deliver improving financial
performance.”
He said the company remained focussed on delivering on its transformation programme to
reduce controllable costs, and capture value from scale efficiencies through geothermal
development and leveraging its customer systems and lean operating model.
ENDS
Investor enquiries: Matthew Forbes +64 21 072 8578

contactenergy.co.nz
Media enquiries: Paul Ford, paul.ford@contactenergy.co.nz, Ph +64 21 809 589

---

2 Contact | Interim Financial Statements Contact | Interim Financial Statements 3
About These Financial Statements
FOR THE SIX MONTHS ENDED 31 DECEMBER 2019
These interim Financial Statements are for Contact, a group made up of Contact Energy Limited, the entities over which it has
control or joint control and its associate.
Contact Energy Limited is registered in New Zealand under the Companies Act 1993. It is listed on the New Zealand Stock Exchange
(NZX) and the Australian Securities Exchange (ASX) and has bonds listed on the NZX debt market. Contact is an FMC reporting entity
under the Financial Markets Conduct Act 2013.
Contact’s interim Financial Statements for the six months ended 31 December 2019 provide a summary of Contact’s performance
for the period and outline significant changes to information reported in the Financial Statements for the year ended 30 June 2019
(2019 Annual Report). The Financial Statements should be read with the 2019 Annual Report.
The Financial Statements have been prepared:
 in millions of New Zealand dollars (NZD) unless otherwise stated
 in accordance with New Zealand generally accepted accounting practice (GAAP) and comply with NZ IAS 34 Interim Financial
Reporting
 using the same accounting policies and significant estimates and critical judgments disclosed in the 2019 Annual Report,
except as disclosed in note C2
 with certain comparative amounts reclassified to conform to the current period’s presentation.



















The Financial Statements were authorised on behalf of the Contact Energy Limited Board of Directors on 7 February 2020:








Robert McDonald Dame Therese Walsh
Chair Chair, Audit & Risk Committee

Statement of Comprehensive Income
FOR THE SIX MONTHS ENDED 31 DECEMBER 2019
$m Note
Unaudited
6 months ended
31 Dec 2019
Unaudited
6 months ended
31 Dec 2018
Audited
Year ended
30 June 2019
Revenue and other income A2 1,110 1,304 2,460
Operating expenses A2 (889) (1,026) (1,955)
Significant items A2 2 5 9
Depreciation and amortisation C2 (110) (102) (205)
Net interest expense B4 (28) (39) (70)
Profit before tax 85 142 239
Tax expense (26) (43) (69)
Profit from continuing operations 59 99 170
Discontinued operation

Profit from discontinued operation after tax A2 - 10 10
Gain on sale of discontinued operation A2 - 167 165
Profit 59 276 345
Items that may be reclassified to profit/(loss):

Change in hedge reserves (net of tax) - continuing operations 3 (22) (43)
Change in hedge reserves (net of tax) - discontinued operation - (3) (3)
Comprehensive income 62 251 299
Profit per share (cents) - basic and diluted 8.3 38.6 48.2
Profit per share (cents) from continuing operations 8.3 13.8 23.7
Profit per share (cents) from discontinued operation - 24.8 24.5

4 Contact | Interim Financial Statements
Contact | Interim Financial Statements 5
Statement of Cash Flows
FOR THE SIX MONTHS ENDED 31 DECEMBER 2019
$m Note
Unaudited
6 months ended
31 Dec 2019
Unaudited
6 months ended
31 Dec 2018
Audited
Year ended
30 June 2019
Receipts from customers 1,141 1,396 2,490
Payments to suppliers and employees (913) (1,087) (1,977)
Interest paid

(25) (36) (69)
Interest received

- - 4
Tax paid (56) (41) (47)
Operating cash flows 147 232 401
Purchase of assets (46) (29) (63)
Capitalised interest

(3) - -
Investment in joint venture/associate (1) - (8)
Proceeds from sale of assets/ operations (net of tax) - 438 390
Investing cash flows (50) 409 319
Dividends paid B2 (165) (136) (251)
Proceeds from borrowings 55 - 100
Repayment of borrowings (9) (298) (525)
Financing cash flows (119) (434) (676)
Net cash flow (22) 207 44
Add: cash at the beginning of the period 47 3 3
Cash at the end of the period 25 210 47
Statement of Financial Position
AT 31 DECEMBER 2019
$m Note
Unaudited
31 Dec 2019
Unaudited
31 Dec 2018
Audited
30 June 2019
Cash and cash equivalents 25 210 47
Trade and other receivables 154 153 196
Inventories C1 52 31 28
Intangible assets C2 26 37 14
Derivative financial instruments D1 23 15 13
Total current assets 280 446 298
Inventories - 17 14
Property, plant and equipment C2 4,075 4,190 4,126
Intangible assets C2 234 249 246
Goodwill 179 179 179
Investment in joint venture/associate

11 - 11
Derivative financial instruments D1 71 59 80
Total non-current assets 4,570 4,694 4,656
Total assets 4,850 5,140 4,954
Trade and other payables 172 181 185
Tax payable 7 71 34
Borrowings B3 262 315 127
Derivative financial instruments D1 46 37 40
Provisions 7 7 8
Total current liabilities 494 611 394
Borrowings B3 879 885 969
Derivative financial instruments D1 64 53 73
Provisions 51 51 51
Deferred tax 673 690 676
Other non-current liabilities 9 7 9
Total non-current liabilities 1,676 1,686 1,778
Total liabilities 2,170 2,297 2,172
Net assets 2,680 2,843 2,782
Share capital B1 1,527 1,522 1,523
Retained earnings 1,182 1,334 1,288
Hedge reserves (36) (18) (39)
Share-based compensation reserve 7 5 10
Shareholders' equity 2,680 2,843 2,782

6 Contact | Interim Financial Statements
Contact | Interim Financial Statements 7
Statement of Changes in Equity
FOR THE SIX MONTHS ENDED 31 DECEMBER 2019
$m Note Share capital
Retained
earnings
Other
reserves
Shareholders'
equity
Balance at 1 July 2018 1,520 1,194 13 2,727
Profit A2 - 276 - 276
Change in hedge reserves (net of tax) - - (25) (25)
Change in share-based compensation reserve - - (1) (1)
Change in share capital B1 2 - - 2
Dividends paid B2 - (136) - (136)
Unaudited balance at 31 December 2018 1,522 1,334 (13) 2,843
Profit A2 - 69 - 69
Change in hedge reserves (net of tax) - - (21) (21)
Change in share-based compensation reserve - - 5 5
Change in share capital B1 1 - - 1
Dividends paid B2 - (115) - (115)
Audited balance at 30 June 2019 1,523 1,288 (29) 2,782
Profit A2 - 59 - 59
Change in hedge reserves (net of tax) - - 3 3
Change in share-based compensation reserve - - (3) (3)
Change in share capital B1 4 - - 4
Dividends paid B2 - (165) - (165)
Unaudited balance at 31 December 2019 1,527 1,182 (29) 2,680

A. Our Performance
Notes to the Financial Statements for the six months ended 31 December 2019
A1. SEGMENTS
Contact reports activities under the Wholesale segment and the Customer segment. There have been no significant changes to
Contact’s operating segments in the current period.
The Wholesale segment includes revenue from the sale of electricity to the wholesale electricity market, to Commercial & Industrial
(C&I) customers and to the Customer segment, less the cost to generate and/or purchase the electricity and costs to service and
distribute electricity to C&I customers.
The Customer segment includes revenue from delivering electricity, natural gas and other products and services to customers less
the cost of purchasing those products and services, and the cost to service customers.
Unallocated includes corporate functions not directly allocated to the operating segments.
The Customer segment purchases electricity from the Wholesale segment at a fixed price in a manner similar to transactions with
third parties.
A2. EARNINGS
The tables on the next pages provide a breakdown of Contact’s revenue and expenses, earnings before interest, tax, depreciation
and amortisation, changes in fair value of financial instruments and significant items (EBITDAF) by segment, and a reconciliation
from EBITDAF and underlying profit to profit reported under NZ GAAP.
EBITDAF and underlying profit are used to monitor performance and are non-GAAP profit measures. Significant items are excluded
from EBITDAF and underlying profit when they meet criteria approved by the Board of Directors. The significant item in this
reporting period is ‘Change in fair value of financial instruments’, which is made up of movements in the valuation of electricity
price derivatives that are not accounted for as hedges, hedge accounting ineffectiveness and the effect of credit risk on the
valuation of hedged debt and derivatives. Refer note D1 for a breakdown
The Electricity Authority (EA) are reviewing a claim of an Undesirable Trading Situation (UTS) in November and December 2019. If
the EA finds a UTS existed then under the Electricity Participation Code the EA have a number of remedies available to it including
directing that any trades be closed out or settled at a specific price. Contact has made no provision for this outcome as Contact
maintains that the spot prices reflect supply-demand conditions during the period.

8 Contact | Interim Financial Statements
Contact | Interim Financial Statements 9

Unaudited 6 months ended 31 Dec 2019 Unaudited 6 months ended 31 Dec 2018 Audited year ended 30 June 2019
$m Wholesale

Customer Unallocated

Eliminations Total Wholesale

Customer Unallocated

Eliminations
Total
continuing
operations
Discontinued
operation Total Wholesale

Customer Unallocated

Eliminations
Total
continuing
operations
Discontinued
operation Total
Mass market electricity - 450 - - 450 - 455 - - 455 - 455 - 863 - (1) 862 - 862
C&I electricity - Fixed Price 152 - - - 152 199 - - - 199 - 199 388 - - - 388 - 388
C&I electricity - Spot 12 - - - 12 16 - - - 16 - 16 31 - - - 31 - 31
Wholesale electricity, net of hedging 425 - - - 425 560 - - - 560 - 560 1,044 - - - 1,044 - 1,044
Electricity-related services revenue 3 - - - 3 8 - - - 8 - 8 10 - - - 10 - 10
Inter-segment electricity sales 169 - - (169) - 159 - - (159) - - - 314 - - (314) - - -
Gas 1 41 - - 42 2 39 - - 41 - 41 3 73 - - 76 - 76
Steam 17 - - - 17 16 - - - 16 - 16 27 - - - 27 - 27
Broadband - 7 - - 7 - 2 - - 2 - 2 - 7 - - 7 - 7
LPG - - - - - - - - - - 58 58 - - - - - 58 58
Total revenue 779 498 - (169) 1,108 960 496 - (159) 1,297 58 1,355 1,817 943 - (315) 2,445 58 2,503
Other income (1) 3 - 2 6 1 - - 7 1 8 10 5 - - 15 1 16
Total revenue and other income 778 501 (169) 1,110 966 497 - (159) 1,304 59 1,363 1,827 948 - (315) 2,460 59 2,519
Electricity purchases, net of hedging (355) - - - (355) (485) - - - (485) - (485) (901) - - - (901) - (901)
Electricity purchases - Spot (10) - - - (10) (14) - - - (14) - (14) (27) - - - (27) - (27)
Electricity related services cost (3) - - - (3) (7) - - - (7) - (7) (10) - - - (10) - (10)
Inter-segment electricity purchases - (169) - 169 - - (159) - 159 - - - - (314) - 314 - - -
Gas and diesel purchases (54) (13) - - (67) (51) (10) - - (61) - (61) (98) (18) - - (116) - (116)
Gas storage costs (11) - - (11) (6) - - - (6) - (6) (17) - - - (17) - (17)
Carbon emissions (11) (2) - - (13) (10) (1) - - (11) (2) (13) (21) (3) - - (24) (2) (26)
Generation transmission & reserves costs (21) - - - (21) (21) - - - (21) - (21) (40) - - - (40) (40)
Electricity networks, levies & meter costs -
Fixed Price (54) (219) - - (273) (72) (217) - - (289) - (289) (139) (421) - - (560) - (560)
Electricity networks, levies & meter costs - Spot (2) - - - (2) (2) - - (2) - (2) (3) - - - (3) - (3)
Gas networks, transmission & meter costs (5) (20) - - (25) (5) (20) - - (25) - (25) (8) (38) - - (46) - (46)
Broadband costs - (7) - - (7) - (2) - - (2) - (2) - (6) - - (6) - (6)
Other operating expenses (48) (41) (13) - (102) (50) (40) (13) - (103) (7) (110) (99) (81) (26) 1 (205) (7) (212)
LPG purchases - - - - - - - - - - (37) (37) - - - - - (37) (37)
Total operating expenses (574) (471) (13) 169 (889) (723) (449) (13) 159 (1,026) (46) (1,072) (1,363) (881) (26) 315 (1,955) (46) (2,001)
EBITDAF 204 30 (13) - 221 243 48 (13) - 278 13 291 464 67 (26) - 505 13 518
Depreciation and amortisation

(110)

(102) - (102)

(205) - (205)
Net interest expense

(28)

(39) - (39)

(70) - (70)
Tax on underlying profit

(25)

(40) (3) (43)

(64) (3) (67)
Underlying profit 58 97 10 107 166 10 176
Significant items




Change in fair value of financial instruments

2

(2) - (2)

2 - 2
Gain on sale of Rockgas and AGS Facility

-

5 167 172

5 165 170
Remediation for Holidays Act non-compliance

-

2 - 2

2 - 2
Tax on significant items

(1)

(3) - (3)

(5) - (5)
Profit 59 99 177 276 170 175 345
Underlying profit per share (cents) 8.0 13.6 1.4 15.0 23.2 1.4 24.6

10 Contact | Interim Financial Statements
Contact | Interim Financial Statements 11
A3. FREE CASH FLOW
$m
Unaudited
6 months ended
31 Dec 2019
Unaudited
6 months ended
31 Dec 2018
Audited
Year ended
30 June 2019
EBITDAF 221 291 518
Tax paid (56) (41) (47)
Change in working capital net of investing and financing activities 5 18 (7)
Non-cash share-based compensation 2 1 4
Significant items, net of non-cash amounts - (1) (2)
Net interest paid, excluding capitalised interest (25) (36) (65)
Operating cash flows 147 232 401
Stay in business capital expenditure (27) (29) (60)
Operating free cash flow 120 203 341
Proceeds from sale of assets/operations (net of tax) - 438 390
Free cash flow 120 641 731
Operating free cash flow per share (cents) 16.8 28.3 47.5

During the current interim reporting period, interest paid and interest received were reclassified to operating cash flows, to better
reflect the purpose and use of the underlying instruments.
A4. RELATED PARTY TRANSACTIONS
Contact’s related parties include the Directors, the Leadership Team, Simply Energy Limited and Drylandcarbon One Limited
Partnership. Contact sold its 50% interest in Rockgas Timaru Limited as part of the sale of Rockgas on 30 November 2018.
Transactions with Rockgas Timaru Limited up to that point, and other related party transactions are disclosed below:
 Sales of LPG to Rockgas Timaru Limited of $nil (31 December 2018: $1 million, 30 June 2019: $1 million).
 Directors’ fees of $1 million (31 December 2018: $1 million, 30 June 2019: $1 million).
 Leadership Team’s salary and other short-term benefits of $4 million (31 December 2018: $4 million, 30 June 2019: $7 million),
which includes $1 million of share-based compensation expense (31 December 2018: $1 million, 30 June 2019: $2 million).
Members of the Leadership Team and Directors purchase goods and services from Contact for domestic purposes on normal
commercial terms and conditions. For members of the Leadership Team this includes staff discount available to all eligible
employees.


B. Our Funding
Notes to the Financial Statements for the six months ended 31 December 2019
B1. SHARE CAPITAL
Number $m
Balance at 1 July 2018 716,286,570 1,520
Share capital issued 418,002 2
Balance at 31 December 2018 716,704,572 1,522
Share capital issued 70,210 1
Balance at 30 June 2019 716,774,782 1,523
Share capital issued 1,302,816 4
Balance at 31 December 2019 718,077,598 1,527
Comprised of:
Ordinary shares 717,795,924 1,528
Contact Share 281,674 (1)

During the period Contact granted a new tranche of share awards under the Equity Scheme, comprising 154,164 performance
share rights (PSRs) and 244,404 deferred share rights (DSRs). PSRs and DSRs have no exercise price.
B2. DIVIDENDS PAID
$m Cents per share
Unaudited
6 months ended
31 Dec 2019
Unaudited
6 months ended
31 Dec 2018
Audited
Year ended
30 June 2019
2018 final dividend 19 - 136 136
2019 interim dividend 16 - - 115
2019 final dividend 23 165 - -
165 136 251

On 7 February 2020 the Board declared an interim dividend of 16 cents per share to be paid on 7 April 2020.

12 Contact | Interim Financial Statements
Contact | Interim Financial Statements 13
B3. BORROWINGS
$m
Unaudited
31 Dec 2019
Unaudited
31 Dec 2018
Audited
30 June 2019
Bank overdraft 2 1 6
*Commercial paper 100 80 60
*Bank facilities 31 - 16
Lease obligations 24 26 25
*Wholesale bonds 50 50 50
*Retail bonds 350 472 350
*Export credit agency facility

57 65 61
*USPP notes

447 447 447
Face value of borrowings 1,061 1,141 1,015
Deferred financing costs (5) (5) (5)
Fair value adjustment on hedged borrowings 85 64 86
Carrying value of borrowings 1,141 1,200 1,096
Current 262 315 127
Non-current 879 885 969

Borrowings denoted with an asterisk (*) are Green Debt Instruments under Contact’s Green Borrowing Programme, which has
been certified by the Climate Bonds Initiative. At 31 December 2019 Contact remains compliant with the requirements of the
programme. Further information is available on the sustainability section on our website.
B4. NET INTEREST EXPENSE
$m
Unaudited
6 months ended
31 Dec 2019
Unaudited
6 months ended
31 Dec 2018
Audited
Year ended
30 June 2019
Interest expense on borrowings (28) (36) (69)
Unwind of discount on provisions (3) (3) (5)
Capitalised interest 3 - -
Interest income - - 4
Net interest expense (28) (39) (70)

Included within interest expense on borrowings is $1 million (31 December 2018: $1 million, 30 June 2019: $2 million) of interest
expense relating to finance leases.




C. Our Assets
Notes to the Financial Statements for the six months ended 31 December 2019
C1. INVENTORY
Under the new contractual arrangements with FlexGas, gas held as inventory in storage at the Ahuroa Gas Storage (AGS) facility is
subject to an annual capacity assessment by a third party expert. Aspects of the determination of AGS volumes for 2019 are under
discussion and yet to be formally agreed.
C2. PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS
Property, plant and equipment

$m
Unaudited
31 Dec 2019

Unaudited
31 Dec 2018
Audited
30 June 2019
Opening balance 4,126

4,253 4,253
Additions 41

22 43
Depreciation (92)

(84) (169)
Disposals -

(1) (1)
Closing balance 4,075

4,190 4,126

The useful economic life of Taranaki Combined Cycle plant assets (excluding those depreciated on operating hours) has been
reassessed for accounting purposes as a result of changes in the external environment, and the likely outcome that the plant will
be closed once operating hours are fully utilised. As a change in accounting estimate, this has been applied from 1 July 2019, and
has resulted in a $9 million increase to depreciation in the six months ended 31 December 2019.
Included within property, plant and equipment is $27 million (31 December 2018: $29 million, 30 June 2019: $29 million) of lease
assets with a depreciation charge of $2 million for the six months ended 31 December 2019 (31 December 2018: $2 million, 30
June 2019: $5 million).
Included within additions for the six months ended 31 December 2019 is capitalised interest of $3 million in relation to capital
works underway at the Tauhara geothermal field.
Intangibles

$m
Unaudited
31 Dec 2019
Unaudited
31 Dec 2018
Audited
30 June 2019
Opening balance 260 272 272
Additions 18 35 52
Amortisation (18) (18) (36)
Disposals - (3) (28)
Closing balance 260 286 260
Current 26 37 14
Non-current 234 249 246

At 31 December 2019, Contact was committed to $13 million of capital expenditure (31 December 2018: $8 million, 30 June 2019:
$22 million) and $31 million of carbon forward contracts (31 December 2019: $7 million, 30 June 2019: $38 million), of which $36
million is due within one year of the reporting period end and $8 million is due between one to two years of the reporting period
end.

14 Contact | Interim Financial Statements
Contact | Interim Financial Statements 15

D. Financial Risks
Notes to the Financial Statements for the six months ended 31 December 2019
D1. SUMMARY OF DERIVATIVE FINANCIAL INSTRUMENTS
A summary of the balance and movement of derivatives and the impact on Contact’s financial position is provided below grouped by type of hedge relationship.

Unaudited at 31 Dec 2019 Unaudited at 31 Dec 2018 Audited at 30 June 2019

Fair value
hedge
Cash flow and fair
value hedge
Cash flow hedge
No hedge
relationship
Fair value
hedge
Cash flow and fair
value hedge
Cash flow hedge
No hedge
relationship
Fair value
hedge
Cash flow and fair
value hedge
Cash flow hedge
No hedge
relationship
$m IRS CCIRS IRS
Electricity price
derivatives
Electricity price
derivatives Total IRS CCIRS IRS
Electricity price
derivatives
Electricity price
derivatives Total IRS CCIRS IRS
Electricity price
derivatives
Electricity price
derivatives Total
Carrying value of derivatives - asset 7 78 - 2 7 94 5 57 - 6 6 74 8 78 - 1 6 93
Carrying value of derivatives - liability - (4) (70) (31) (5) (110) - (2) (60) (23) (5) (90) - (4) (77) (29) (3) (113)
Carrying value of hedged borrowings 244 523 - - - 767 255 503 - - - 758 245 524 - - - 769
Fair value adjustments to borrowings (7) (78) - - - (85) (7) (57) - - - (64) (8) (78) - - - (86)

Change in fair value in significant
items - - 2 - - 2 (2) - - - - (2) - - - - 2 2
Hedge effectiveness recognised in
OCI
- 1 2 (12) - (9) - - (7) (25) - (32) - (2) (24) (31) - (57)
Amounts reclassified to profit/(loss) - - 3 10 - 13 - - 1 (3) - (2) - - 1 (6) - (5)
The cross currency interest rate swaps (CCIRS) liability arises from the cash flow hedge component.

16 Contact | Interim Financial Statements
Contact | Interim Financial Statements 17
Conclusion
Based on our review, nothing has come to our attention that
causes us to believe that the interim financial statements on
pages 2 to 15 do not:
i. present fairly in all material respects the company’s financial
position as at 31 December 2019 and its financial performance
and cash flows for the six month period ended on that date; and
ii. comply with NZ IAS 34 Interim Financial Reporting.
We have completed a review of the accompanying interim
financial statements which comprise:
 the statement of financial position as at 31 December 2019;
 the statements of comprehensive income, changes in equity
and cash flows for the six month period then ended; and
 notes, including a summary of significant accounting policies
and other explanatory information.
Basis for conclusion
A review of interim financial statements in accordance with NZ
SRE 2410 Review of Financial Statements Performed by the
Independent Auditor of the Entity (“NZ SRE 2410”) is a limited
assurance engagement. The auditor performs procedures,
consisting of making enquiries, primarily of persons responsible
for financial and accounting matters, and applying analytical and
other review procedures.
As the auditor of Contact Energy Limited, NZ SRE 2410 requires
that we comply with the ethical requirements relevant to the
audit of the annual financial statements.
Our firm has also provided other services to the company in
relation to AGM Scrutineering and trustee reporting. Subject to
certain restrictions, partners and employees of our firm may also
deal with the company on normal terms within the ordinary
course of trading activities of the business of the company. These
matters have not impaired our independence as reviewer of the
company. The firm has no other relationship with, or interest in,
the company.



Use of this Independent Review Report
This report is made solely to the shareholders as a body. Our
review work has been undertaken so that we might state to the
shareholders those matters we are required to state to them in
the Independent Review Report and for no other purpose. To the
fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the shareholders as a body for
our review work, this report, or any of the opinions we have
formed.
Responsibilities of the Directors for the interim financial
statements
The Directors, on behalf of the company, are responsible for:
 the preparation and fair presentation of the interim financial
statements in accordance with NZ IAS 34 Interim Financial
Reporting;
 implementing necessary internal control to enable the
preparation of interim financial statements that is fairly
presented and free from material misstatement, whether
due to fraud or error; and
 assessing the ability to continue as a going concern. This
includes disclosing, as applicable, matters related to going
concern and using the going concern basis of accounting
unless they either intend to liquidate or to cease operations,
or have no realistic alternative but to do so.
Auditor’s Responsibilities for the review of the interim
financial statements
Our responsibility is to express a conclusion on the interim
financial statements based on our review. We conducted our
review in accordance with NZ SRE 2410. NZ SRE 2410 requires us
to conclude whether anything has come to our attention that
causes us to believe that the interim financial statements are not
prepared, in all material respects, in accordance with NZ IAS 34
Interim Financial Reporting.
The procedures performed in a review are substantially less than
those performed in an audit conducted in accordance with
International Standards on Auditing (New Zealand). Accordingly
we do not express an audit opinion on these interim financial
statements.
This description forms part of our Independent Review Report.



KPMG
Wellington
7 February 2020
Corporate Directory
BOARD OF DIRECTORS
Robert McDonald (Chair)
Victoria Crone
Whaimutu Dewes
Jon Macdonald
David Smol
Elena Trout
Dame Therese Walsh
LEADERSHIP TEAM
Dennis Barnes
Chief Executive Officer
Jan Bibby
Chief People Officer
Venasio-Lorenzo Crawley
Chief Customer Officer
Dorian Devers
Chief Financial Officer
James Kilty
Chief Generation and Development Officer
Catherine Thompson
General Manager, External Relations and General Counsel

REGISTERED OFFICE
Contact Energy Limited
Harbour City Tower
29 Brandon Street
Wellington 6011
New Zealand
Phone: +64 4 499 4001
Fax: +64 4 499 4003
Find us on Facebook, Twitter, LinkedIn and Youtube by
searching for Contact Energy
COMPANY NUMBERS
NZ Incorporation 660760
ABN 68 080 480 477

AUDITOR
KPMG
PO BOX 996
Wellington 6140
REGISTRY
Change of address, payment instructions and investment
portfolios can be viewed and updated online:
investorcentre.linkmarketservices.co.nz
investorcentre.linkmarketservices.com.au
New Zealand Registry
Link Market Services Limited, PO Box 91976, Auckland 1142
Level 11, Deloitte Centre, 80 Queen Street, Auckland 1010
contactenergy@linkmarketservices.co.nz
Phone: +64 9 375 5998
Fax: +64 9 375 5990

Australian Registry
Link Market Services Limited, Locked Bag A14, Sydney
South, NSW 1235
680 George Street, Sydney, NSW 2000
contactenergy@linkmarketservices.com.au
Phone: +61 2 8280 7111
Fax: +61 2 9287 0303
INVESTOR ENQUIRIES
Matthew Forbes
GM Corporate Finance
investor.centre@contactenergy.co.nz
Phone: +64 21 072 8578
SUSTAINABILITY ENQUIRIES
Nakia Randle
Sustainability Advisor
nakia.randle@contactenergy.co.nz



Independent Auditor’s Review Report
To the shareholders of Contact Energy Limited
Report on the interim financial statements

---

Contact Energy / FY20 Interim Financial Results / 10 February 2020
1
Interim results presentation
Six months ended 31 December 2019
Putting our energy where it matters

Contact Energy / FY20 Interim Financial Results / 10 February 2020
2
Disclaimer and important information
This presentation may contain projections or forward-looking statements regarding a variety of items.
Such forward-looking statements are based upon current expectations and involve risks and uncertainties.
Actual results may differ materially from those stated
in any forward-looking statement based on a number of
important factors and risks.
Although management may indicate and believe that the
assumptions underlying the forward-looking statements
are reasonable, any of the assumptions could prove
inaccurate or incorrect and, therefore, there can be no
assurance that the results contemplated in the forward-
looking statements will be realised.
EBITDAF, underlying profit, free cash flow and operating
free cash flow are non-GAAP (generally accepted
accounting practice) measures. Information regarding the
usefulness, calculation and reconciliation of these
measures is provided in the supporting material.
Furthermore, while all reasonable care has been taken
in compiling this presentation, Contact accepts no
responsibility for any errors or omissions.
This presentation does not constitute investment advice.
Numbers in the presentation have not all been rounded
and might not appear to add.
All logos and brands are property of their respective
owners. All company, product and service names used in
this presentation are for identification purposes only.
All references to $ are New Zealand dollar.
Contact Energy / FY20 Interim Results / 10 February 2020
2

Contact Energy / FY20 Interim Financial Results / 10 February 2020
3
4
1H20 Highlights and Progress on Strategy/ Dennis Barnes, CEO4-18
Operational Performance and Financial Results / Dorian Devers, CFO 19-30
Market Update and Outlook/ Dennis Barnes, CEO31-38
Supporting Materials39-53
2
3
1
3
Contact Energy / FY20 Interim Results / 10 February 2020
PRESENTATION AGENDA

Contact Energy / FY20 Interim Financial Results / 10 February 2020
4
4
1H20 highlights
and progress
on strategy
Dennis Barnes, CEO

Contact Energy / FY20 Interim Financial Results / 10 February 2020
5
1
Refer to slides 48-49 for a definition and reconciliation of EBITDAF and underlying profit
2
Refer to slides 28,40 for a reconciliation of operating free cash flow
3
Sale of Rockgas LPG which completed on 30 November 2018
Six months ended
31 December 2019
(1H20)
Comparison against
continuing operations
3
1H19
Six months ended
31 December 2018
(1H19)
EBITDAF
1
$221m↓21% from $278m↓24% from $291m
Profit$59m↓40% from $99m↓79% from $276m
Underlying profit
1
$58m↓40% from $97m↓46% from $107m
Interim dividend per share16.0 cps-16.0cps
Operating free cash flow
2
$120m↓38% from $196m↓41% from $203m
Operating free cash flow per
share
2
16.8 cps↓38% from 27.3cps↓41% from 28.3cps
SIB capital expenditure
(cash)
$27m-$27m↓7% from $29m
Operating earnings (EBITDAF) were down by $57m when compared to
continuing operations in 1H19, a period which included:
•Stronger hydro generation
•Higher wholesale prices
•Gas available in storage for ‘merchant generation’ to support the
market.
The operating conditions in 1H20 were characterised by:
•Constrained natural gas supply
•Rising costs of thermal generation which include gas,
carbon and gas storage
•Disciplined and active commodity risk management and a
reduction in fixed priced sales.
Despite the difficult operating conditions, our high quality renewable
generation assets continue to support the dividend.
Economics of baseload generation at TCC is looking
challenged long-term; asset useful life has been reassessed
with depreciation accelerated, reducing profit in
1H20 vs prior comparative period
SUMMARY OF KEY FINANCIAL PERFORMANCE MEASURES

Contact Energy / FY20 Interim Financial Results / 10 February 2020
6
Maintaining financial discipline
Controllable opexand capex costs ($m)
Rewarding shareholders
Distributions ($m)
178
189
149
139
130
1H201H171H161H181H19
3.3
3.2
5.2
1.3
2.5
1H20FY16FY18FY17FY19
Safe and engaged employees
Total recordable injury frequency rate
(Recordable injuries per million hours worked)
Employee engagement (%)
56%
FY171H19FY16
72%
1H181H20
68%
73%
74%
FOCUS ON OPERATIONAL IMPROVEMENT
7979
93
115115
107107
136
165165
100
FY20
target
FY17FY16FY18FY19
286
186
229
280280
Buyback
Final dividend
Interim dividend
6
-3
12
15
24
17
1H201H161H171H181H19
Building customer advocacy
Net promoter score (Promoters less detractors)

Contact Energy / FY20 Interim Financial Results / 10 February 2020
7
Gender diverse workforce
% of total workforce that is female
45.5%
43.7%
41.9%
47.0%
47.2%
Total generation emissions intensity
tCO2-e / MWh
0.226
0.158
0.138
0.119
0.145
0.121
0.128
1H161H141H181H171H151H201H19
1H182H181H192H191H20
FOCUS ON SUSTAINABILITY
7
1H201H191H141H181H151H161H17
68%
76%
78%
84%
78%
82%
81%
Renewable generation
% of total generation
Customers with impaired credit now accepted
% of impaired credit customers accepted
1H201H161H171H181H19
Science
based
target
(2026)
13%
35%
25%

Contact Energy / FY20 Interim Financial Results / 10 February 2020
8
3%
1%
0%
1%
2%
14%
7%
0%
(1%)
4%
2%
5%
Source: EMI, Contact
National electricity demand (TWh)Regional change (%)
1H20 vs 1H19
Source: EMI, Contact
MARKET DEMAND
8
2.52.52.5
2.6
2.6
5.4
5.0
5.3
5.0
5.3
13.4
13.3
13.4
13.4
13.5
1H191H181H171H161H20
21.0
21.3
North Island
20.8
21.2
21.4
South Island
(ex NZAS)
NZAS
0%
+2%
2%
1%
4%
(2%)
0%
96% of maximum contracted load
Irrigation
related increase
on prior period
Demand flat

Contact Energy / FY20 Interim Financial Results / 10 February 2020
9
Production from the major fields (PJ)Demand from key sectors (PJ)
1H201H181H19201720182019
-12
Six monthsCalendar year
1H201H191H18
Retail and other
Petrochemical
Electricity
MARKET FUEL SUPPLY
2017
2018
2019
Six monthsCalendar year
Gas used in electricity generation down 7PJ p.a. from 2017. This has resulted in
lower levels of gas storage and cautious management of hydro storage
Total production has recovered since 1H19 with large
increases from Pohokura and McKee Mangahewa.
Source: OATISSource: OATIS, EMI
25
25
23
65
52
65
30
24
31
33
30
22
146
4
11
10
3
167
11
6
155
Turangi
Maui
Kupe
Mangahewa
Kowhai
Pohokura
6
5
5
13
12
11
35
26
35
15
12
19
19
16
12
90
2
3
2
74
83
23
23
24
27
18
20
41
33
38
90
83
74
41
44
41
50
40
41
76
62
73
146
167
155

Contact Energy / FY20 Interim Financial Results / 10 February 2020
10
Despite high inflows in
November and December
2019, hydro generation was
slightly down compared with
1H19. This reduction was
offset by a small increase in
wind generation and an
increase in gas fired
generation.
The increase in gas fired
generation reflects a recovery
in gas volumes from the
Pohokura field following an
extended outage in late 2018.
However production from the
Maui and Pohokura fields are
still down when compared
with historical levels.
Generation by type (TWh)
FUEL SUPPLY
3.7
3.6
0.8
1.0
13.0
12.7
2.5
2.7
0.7
0.6
Hydro
1H191H20
Geothermal
Wind
Coal
Gas
National hydro storage against mean storage (TWh)
Mean storage 1926 –2019 (source: NZX hydro)
3.5
3.0
2.5
1.5
2.0
4.0
4.5
5.0
Jan
2020
Jul
2018
Jan
2019
Jul
2019
Actual
Mean
Hydro generators stored more water to cover potential winter exposure if gas is constrained.
Generation from generator retailers (source: company reports)
Source: EMI, Genesis
Source: NZX

Contact Energy / FY20 Interim Financial Results / 10 February 2020
11
150
Jan-10
50
Jan-12Jan-14Jan-16Jan-18Jan-20
0
200
100
300
Long-term
average
spot price =
$80.85/MWh
Aluminium
Short-term external factors that
can influence the market
Wholesale and futures electricity pricing ($/MWh)
Source: EMI wholesale pricing
Short-term
wholesale
electricity
prices
Long-term pricing is linked to the long-run marginal costs of new renewable projects
to meet demand plus costs associated with firming renewable intermittency
Long-dated futures have jumped +30% in last 12 months.
Average spot prices remain well above long-term average.
Long-dated futures (>12 months)
Short-dated futures (<12 months)
Monthly average spot price
11
NZAS running below their contracted
volumes but up on historic
Methanol pricing
at only ~$4-5/GJ
gas equivalent,
however strong
methanol demand
Gas availability down,
prices up. Carbon
prices up 16% in 2020
Imported coal
significantly
higher cost than
domestic supply
Up 2% on 1H19 with
higher irrigation
FUEL SUPPLY AND SHORT-TERMPRICE IMPACT

Contact Energy / FY20 Interim Financial Results / 10 February 2020
12
.
65
126
37
6
Thermal fuel
uncertainty
Carbon price
increase
emsTradepoint
VWAP gas
price increase
FY16-19
ASX FY16
Additional 50%
surrender
obligation at
FY16 price
2
ASX 2H
FY20
17
111
96
101
ASX FY21
Contact thermal
SRMC 1H20
ASX FY22ASX FY23
Limited thermal capital recovery included in the ASX price.
The recent increase in NZU prices (carbon) resulting from the proposed ETS amendments and rising gas
costs have not been included.
Thermal generation and spot price
500
0
1,000
100
0
1,500
200
50
150
250
300
Sep
-
18
Jan
-
17
Jan
-
18
Jan
-
19
Dec
-
19
Spot Price (OTA)
ASX electricity futures prices ($/MWh)
GWh
$/MWh
FUEL SUPPLY AND LONG-TERM PRICE IMPACT
Coal fired
generation
Gas fired
generation
Source: EMI
102
112

Contact Energy / FY20 Interim Financial Results / 10 February 2020
13
MARKET
13
16.9
17.1
17.4
18.1
11.9
12.2
12.3
12.1
Nov-19Nov-16Nov-17Nov-18
28.8
29.3
29.7
30.3
+2%
Retail competition remains intense.
Divergent views on the value of a customer:
Tier 1: Mercury reducing customer numbers, Meridian
growing market share
Electric Kiwi continuing growth trajectory
Reducing market share of main players continues, Tier 2
market share now at 14% (from 11% Dec. 2018).
New connections up by 1% p.a
Change in customer connections (000s)
-40
-30
-20
-10
0
10
20
30
40
Meridian
-1%
MercuryGenesisContact
-1%
-10%
10%
Electric
Kiwi
4%
Trustpower
29%
Nova
8%
Pulse
-14%
OtherFlick
149%
24%
2yr % change
2yr ICP delta (1000s)
Retail tariff changes (c/ kWh)
Tier 2: +68k customers
Lines (c/kWh)
Energy & Other (c/kWh)
Despite sharply higher
wholesale prices over the last
two years, tariffs only rising in
line with inflation. Expect this
to continue.
12 months
ended:
Tier 1: -13k customers
Source: EMI
Source: MBIE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
14
Optimise
the Customer and Wholesale
businesses to deliver strong cash flows.
Disciplined and transparent approach
to operating and capital expenditure.
Continuing to investigate ways to
optimise our portfolio
of assets.
DELIVERING PORTFOLIO STRATEGY
Contact Energy / FY20 Interim Financial Results / 10 February 2020
CustomerWholesale

Contact Energy / FY20 Interim Financial Results / 10 February 2020
15
DELIVERING CUSTOMER STRATEGY
Simple and lean operating model centred on the customer
experience, reinventing key customer experiences and processes.
Capable employees identifying and driving performance
initiatives with ownership and accountability.
Operating model
Brand
Brand and reputation
repositioned from a strong
operational retailer to a smart
customer solutions provider.
Leverage advances in
technology to drive efficiency
with automated customer
experiences.
Technology
Contact Energy / FY20 Interim Financial Results / 10 February 2020
15

Contact Energy / FY20 Interim Financial Results / 10 February 2020
16
Contact Energy / FY20 Interim Financial Results / 10 February 2020
16
Brand
Operating model
Targeting reductions in cost to serve
20,000 broadband
connections
Winner of Charge Energy
Global Awards
for Best Established Brand
Technology
Optimisation through ‘clouding’ and digital
collaboration
New app
downloaded 65k times
Digitalsales NPS improved
Robotic Process Automation (RPA) implementation
across 14 key processes
60k customers now on zero PPD plans,
following the launch of our Simplicity plans
Cost reductions
from build-out of new Application Programming Interface (API)
and data platform on Cloud
Deadlock complaint levels at
11% share of all market complaints,
relative to our market share of ~19%
Net bad debt write offs reduced
by 33% on 1H19
Digital sales channel
share improved
by 9% to 28%. 40% of
customers interacting digitally
Winning brand recognition and awareness
from 23% to 26%, after new
join journey release
in June 2019
DELIVERING CUSTOMER STRATEGY: UPDATE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
17
Develop options to enable the
economic substitution of
Contact’s thermal generation
assets with renewables.
Thermal generation
Leveraging capability to expand
C&I products and services;
underpinned by our investment
in Simply Energy.
Partner with customers
on mutually beneficial
decarbonisation opportunities.
Customer solutions
Renewable development
Potential to develop Tauhara, New Zealand’s
lowest-cost, new renewable generation option:
Prepare a range of development options for a final
investment decision (FID).
Deploy capital to enabling works,
including pre-FID drilling.
DELIVERING WHOLESALE STRATEGY
Contact Energy / FY20 Interim Financial Results / 10 February 2020
17

Contact Energy / FY20 Interim Financial Results / 10 February 2020
18
RENEWABLE DEVELOPMENT
Project assessment
continues:
Pre-FID drilling of first four wells scheduled to continue until April.
Well 1
DECEMBER 2019
Well 2
JANUARY 2020
Drilled on the land of our project
partner the Tauhara Moana
Trust.
Well 3
MARCH 2020
(estimated)
Well 4
MAY 2020
(estimated)
Consent variation given to
allow build of Binary or Steam.
JULY 2019
Tender process competitive, multiple bids received with
ongoing discussions with multiple parties. A clear interest in the
project. Tendered output has exceeded initial expectations.
Excellent
progress being
made with the rig,
substantial improvements
in drilling rates compared
with previous
campaigns.
Nature of
the resource
Further delineation of eastern
area of the reservoir has
shown high temperature:
~300 degCin first well drilled
indicating world-class, high-
temperature reservoir extends
to south and west from wells
drilled in 2008.
Medium-term
Additional work packages,
including Contact’s work
scope and high voltage
connection, sufficiently
advanced to enable
execution as soon as
market conditions
allow
Cost of
the project
LCOE’s (levelised
cost of energy)
in line with
expectations.
Tauhara site, Taupo
TH12
TH24

Contact Energy / FY20 Interim Financial Results / 10 February 2020
19
19
Operational
performance and
financial results
Dorian Devers, CFO
19

Contact Energy / FY20 Interim Financial Results / 10 February 2020
20
276
99
59
177
57
11
17
Net interest
costs
EBITDAFDepreciation
and
amortisation
1H19 profitProfit on
continuing
operations
Discontinued
operation
8
Tax
3
Significant
items
1H20 profit
Profit ($m)
19
10
Pricing1H19 on
continuing
operations
Natural gas
constraint
278
17
Hydro
7
Market
making
4
Fixed costs1H20
221
-57
EBITDAF ($m)
54321
FY19 support
to stressed
market during
unplanned gas
field outage.
Continued
gas
availability
issues
and rising
costs,
lower sales
volumes.
Lower
hydro
year on
year.
Market
makers
forced into
positions,
driving
earnings
volatility
Full year
cost of gas
storage
agreement.
54321
1H20 RESULTS

Contact Energy / FY20 Interim Financial Results / 10 February 2020
21
1H20 RESULTS
48
30
3
11
Gas
Gross
Margin
Cost
inflation
1H19Opex
1
Electricity
price
1
2
1H20
-13
-18
13
1H19
13
1H20
0
Wholesale EBITDAF ($m)
Customer EBITDAF ($m)
Corporate / unallocated ($m)
Electricity gross margin
(-$14m)
Price recovery of
cost inflation
7
10
22
1H201H19Generation
costs
(including
acquired
generation)
Total
contracted
revenue
Trading,
merchant
revenue
and losses
243
204
-39
Networks
Electricity
Refer to slides 22 -24
Refer to slide 25

Contact Energy / FY20 Interim Financial Results / 10 February 2020
22
Electricity generated or acquired (GWh)
1,652
1,649
2,045
1,886
887
875
171
208
4,617
4,754
1H201H19
Geothermal
Acquired
Thermal
Hydro
59
49
60
47
81
25
88
25
24
50
23
54
10
11
11
24
23
Acquired
Generation
type
164
Generation
type
Renewable
Cost
type
6
Cost
type
Thermal
Gas storage
Carbon costs
Gas and diesel
Electricity and gas
transmission and
levies
Other
operating costs
164
171
171
+7
1H191H20
Electricity generated or acquired costs ($m)
Hydro generation down 159GWh on
1H19 (-8%), 5% below that expected in a
mean year. Geothermal volumes were in
line with the prior year and average
production.
•Renewable generation costs are
predominantly fixed. Geothermal carbon
costs were up $1m.
Thermal generation costs were up $8m
despite marginally lower generation
volumes (-1%).
•Gas and carbon costs up from $65/MWh
in 1H19 to $71/MWh (+9%).
•Fixed costs, led by the new gas storage
contract (since October 18), were up by
$4m on the prior comparative period
(net of other operating costs).
Continuing gas supply restrictions saw risk
management costs remaining elevated with
acquired generation volume up 22%; this
was offset by acquired generation costs
down from $138/MWh in 1H19 to
$111/MWh(-19%).
1H20 RESULTS: WHOLESALE BUSINESS

Contact Energy / FY20 Interim Financial Results / 10 February 2020
23
1H20 RESULTS: WHOLESALE BUSINESS
159
169
126
96
53
70
16
17
1H19
8
1H20
Other net income
Steam sales
CFD sales
C&I netback
Customer sales
362
352
-10
2,017GWh
$78.9/MWh
Contracted revenue ($m)
1,572GWh
$80.4/MWh
708GWh
$74.6/MWh
-31GWh
+$6.3/MWh
-370GWh
-$0.2/MWh
+272GWh
-$3.6/MWh
•Fixed price variable volume electricity sales to the
Customer segment and C&I customers ended 401GWh
lower than 1H19 (-$33m), this was partially offset by
higher prices (+$13m) to the Customer business,
reflecting higher wholesale prices over the three
preceding years.
•CFD sales were up by 272GWh with increased sales to
support NZAS, which was up by 60GWh on 1H19,
electricity sales from gas tolling and CFD sales committed
to part way through 1H19. Only 70GWh of CFD sales
have been committed since October 2018.
•Steam revenue was up by $1m on 1H19 on a reduction in
volumes but increased tariffs on rising carbon costs with
customers.
•Other income was down by $8m, predominantly
due to ASX market making gains in 1H19
not replicated.
23

Contact Energy / FY20 Interim Financial Results / 10 February 2020
24
1H20 RESULTS: WHOLESALE BUSINESS
Trading EBITDAF ($m)
78
49
-32
-25
0
1H19
0
1H20
46
24
-22
459
449
4,246
-1
457
-4,246
1H19
4,118
-4,118
-1
1H20
449
($114.6/MWh)
Long / short position (GWh)
$170.5/MWh
5.6%
($7.7 / MWh)
5.5%
($6.2/MWh)
•10GWh decrease in
merchant sales volumes
(-$1m). The price received
for this “long” generation
was down by $61.7/MWh
(-$28m).
•Strong generation volumes
and risk management saw
limited price exposure to
unhedged spot market
purchases during higher
wholesale price periods.
•The relative reduction in
South Island hydro
generation reduced
locational losses by 0.1%
when combined with lower
wholesale prices saw
absolute LWAP/GWAP
reduce by $7m.
Trading revenue
Merchant sales: short-term sales channel available when the
spot prices exceed the opportunity cost of Contact generation.
Pool purchase: short-term opportunisticpurchases from
the spot electricity market when better value than
alternatives (adjusted for volatility and volume).
LWAP / GWAP losses: locational price differences
between where electricity is generated and purchased.
($45.9/MWh)
$108.8/MWh
Spot purchases and
sell CFD settlement
Spot sales and buy
CFD settlement
Pool purchases
Merchant generation

Contact Energy / FY20 Interim Financial Results / 10 February 2020
25
1H20 RESULTS: CUSTOMER BUSINESS
EBITDAF ($m)
Complex retail electricity tariff
structures mean transparency
is essential to understand
performance.
Electricity tariff changes
reflect heightened regulatory
environment:
•20k customers migrated to
fit-for-purpose plans
•End to further Prompt
Payment Discounts
•Only ~20% of customers
received a price increase
in FY19.
Smooth the impact of higher
energy costs for customers,
which are up by 7% on 1H19.
Revenue & Tariff
1
($m)
1H191H20Variance
$m$mTariff$mTariff
Electricity gross revenue451.6448.8241.2-2.80.2
PPD not taken6.46.1
Incentives paid(5.3)(4.1)
Net revenue (cash)452.7450.8242.3-1.90.7
Capitalisedincentives5.34.1
Amortisedincentives(3.4)(4.6)
Net revenue (P&L)454.6450.4242.0-4.2-0.6
Gas revenue39.240.523.01.30.5
Broadband revenue1.77.270.75.5
Other income1.92.50.6
Total revenue497.4500.63.2
Contract Asset (closing)1411(3)
1. Tariff is $/MWh for electricity, Gas $/GJ and $ per month per customer for broadband
19
21
-11
-15
-40
-41
30
231
Other
net income
-159
Other
operating
expenses
2
237
3
-169
Gas net price
Electricity
net price
Electricity
costs
Gas
and carbon
48
$126.2/MWh
($84.9/MWh)
-$1.2/MWh
-$6.0/MWh
1H191H20
-18

Contact Energy / FY20 Interim Financial Results / 10 February 2020
26
3
2
2
7
2
1
1H19
-6
110
1
Asset disposalsIncentivesNet cost savingsBroadband1H20
-1
102
Other operating cost movement ($m)
Other operating cost ($m)
132
125
114
110
102
1H191H181H171H161H20
-6%
Structural and performance
Learn and
Improve
Underlying
movement
Underlying movement
Delivered $2m of underlying
operating cost improvement in
line with our FY20 target.
$2m from ICT procurement savings:
•Configuration management
database optimised applications
•Rightsizing of application support
leveraging internal maturity with
systems
•SAP to the cloud.
Other operating cost trajectory
Reduction of 6% CAGR since FY16.
Underlying reduction of 2% in 1H20.
LPGInflationLPG services retainedAGS
1H20 RESULTS

Contact Energy / FY20 Interim Financial Results / 10 February 2020
27
CFDs725GWh$64/MWh$46m
C&I1,675GWh$81/MWh$136m
Retail2,014GWh$117/MWh$236m
Other income³$29m
$447m
Hydro1,990GWh$0/MWh-$0m
Geo1,650GWh$1/MWh-$2m
Thermal⁴974GWh$66/MWh-$64m
Acquired50GWh$100/MWh-$5m
-$71m
Length⁵$27mTransmission/Storage-$35m
Location losses⁶-$18mOperatingexpenses-$104m
Total$9mTotal-$139m
1H assumptions that deliver expected & normalised EBITDAF of $480m
EBITDAF reconciliation to 1H20
Hydrology & Asset
availability optimise generation
3
4
Total
x
=
Access to and price of fuel* drives
financials & risk position
7
8
3
6
Natural gas constraint
Normalised & Expected
Lower hydro
Pricing
2
246
Other income
Actual
221
unit cost
availability
Natural gas availability restricted thermal
generation and increased the cost of gas and
reduced the sales volume to fixed price channels
Higher thermal generation required to offset below mean
hydrology (104GWh) at expected thermal SRMC
Management of fuel supply risk meant unable to
re-contract & re-price C&I
1.All volumes are at the Grid Exit Point (GXP)
2.Net price is equal to tariff less pass-through costs (network, meters and levies)
Channel choices maximise
long term value¹
1
Net price² driven by
best commercial practices
2
Total
x
=
Trading delivers value to more
than offset locational losses
5
Digitalisation & continuous
improvement optimise fixed costs
6
3.Steam sales, retail gas gross margin, other income
4.Gas price of $6/GJ, carbon price of $20/unit and thermal portfolio heat rate (9.25GJ/MWh)
5.Length of 500GWh p.a. assumed (250GWh every 6 months)
6.Locational losses of 5.6% on spot purchases and settlement of
CFDs sold at a wholesale price of $75/MWh
1H20 RESULTS
x
x
x
x
x
x
x
=
=
=
=
=
=
=
*Fuel is natural gas and carbon costs

Contact Energy / FY20 Interim Financial Results / 10 February 2020
28
46
64
35
29
27
0
20
40
60
80
1H161H171H181H191H20
•
EBITDAF down $70m with continuing operations down $57m with $13m from Rockgas (discontinued)
•
Working capital changes $13m lower on higher injection into storage
•
Capital expenditure on continuing operations of $27m in 1H20 in line with 1H19
6 months
ended
31 Dec. 2019
6 months
ended
31 Dec. 2018
Comparison
against 1H19
EBITDAF$221m$291m↓($70m)
Workingcapital changes$5m$18m↓($13m)
Taxpaid($56m)($41m)↑($15m)
Interest paid, net of interest capitalised($25m)($36m)↓$11m
SIBcapital expenditure($27m)($29m)↓$2m
Non-cash sharebased compensation$2m$1m↑$1m
Significant items-($1m)↓$1m
Operating free cash flow$120m$203m↓($83m)
Operating free cash flow per share16.8 cps28.3 cps↓(11.5 cps)
Proceeds from saleof assets/operations-$438m↓($438m)
Free cash flow$120m$641m↓($521m)
SIB capital expenditure ($m)
46
165
120
22
22
Investment
in associates
1
Sources
Cash change
Growth investment
Uses
OFCF
Debt movement
Dividends paid
188188
Sources and uses of cash ($m) 1H20
1H20 RESULTS

Contact Energy / FY20 Interim Financial Results / 10 February 2020
29
50
70
150
100
153
100
136
88
16
15
149
50
130
50
FY20
7
FY22FY21
7
FY23
7
252
FY24
7
FY25
107
14
FY26-
FY27
FY28-
FY29
54
242
92
207
210
150
•
Face value of borrowings net of cash (excl. leases) increased by $68m to $1,036m since 30 June 2019 as the final dividend
payment relating to FY19 and the investment in growth exceeded the operating free cash flow . Net debt has reduced by
$623m since the end of FY15. Gearing increased to 29.9% at 31 December 2019, up from 28.3% at 30 June 2019.
•
$50m wholesale domestic bond maturity in May 2020, to be funded through existing facilities.
•
Weighted average interest rate reduced by 46bp on FY19 with a greater proportion of floating rate debt at current low
interest rates in 1H20.
•
Contact continues to target a credit rating of BBB (net debt / EBITDAF <2.8x).
•
Contact’s Green Borrowing Programme was recognisedat the 2019 Deloitte Excellence in Energy Awards, winning the
“Innovation in Energy” category.
•
New sustainability linked loan facility executed in December 2019 to align capital structure with strategic ESG ambitions.
23
-25
-5
1,626
1,608
FY16FY17
38
1,504
990
41
-6
1,410
-3
FY18
25
-47
FY19
24
1,037
1H20
1,539
1,445
968
1,036
FY17
6.17%
FY18FY16
5.61%
FY15
5.32%
5.14%
5.75%
FY19
5.29%
1H20
Closing net debt ($m)
Face value of borrowings less cash
Interest rate (%)
Weighted average net interest¹ on average borrowings
net of cash
Net debt to EBITDAF (x)
Includes S&P adjustments (in FY19 AGS was treated as a lease)
Borrowing maturities ($m)
Average tenor of 3.4 years as at 31 December 2019
1,026
1,399
1,647
1,570
1,4681,075
Average borrowings net of cash ($m)
Undrawn bank facilities
Drawn bank facilities
Domestic
USPP
NEXI
Lease obligationsBorrowingsCash on hand
3.1
3.1
3.0
2.7
2.52.5
3.4
3.2
3.2
3.1
2.3
2.3
FY17FY15FY18FY16FY19Normalised
year
SmoothedSnapshot
1H20 RESULTS
7
4
4
1.Net interest includes all interest on borrowings, bank commitment feesand
deferred financing costs. Unwind of leases and provisions not included.

Contact Energy / FY20 Interim Financial Results / 10 February 2020
30
Interim dividend for 1H20 of 16 cents per share
•Interim dividend of 16 cents per share (Interim FY19 16 cents per
share) is imputed to 63% or 10 cents per share for qualifying
shareholders. This represents a pay-out of 95% of 1H20 operating
free cash flow per share.
•Target FY20 ordinary dividend of 39 cents per share (FY19 39 cents
per share).
•Record date of 19 March 2020; payment date of 7 April 2020.
•The NZD/AUD exchange rate used for the payment of Australian
dollar dividends will be set on 30 March 2020.
•See Appendix (page 40 -41) for detailed workings explaining
the calculation of expected operating free cash flow.
Ordinary dividends (cps)
Declared or target
1111
13
1616
1515
19
2323
FY19FY20
target
FY16FY17
26
39
FY18
26
32
39
Final dividendInterim dividend
54%61%
76%
82%
% pay-out of operating free cash flow per share
DISTRIBUTIONS
30

Contact Energy / FY20 Interim Financial Results / 10 February 2020
31
31
Market update
and outlook
Dennis Barnes, CEO
31

Contact Energy / FY20 Interim Financial Results / 10 February 2020
32
≠
w
TIWAI POINT ALUMINIUM SMELTER
Production
+4kT¹
Staff
+18% over
3 years
Cash
tax paid
$21m in
FY18
3 year total
EBITDA
less capex²
+$71m
•Impact on the Southland and Taranaki
economy, loss of regional jobs.
•Carbon leakage from low carbon aluminum.
•Inefficient capital investment decisions.
•Risk to New Zealand's long-term
decarbonisation goals.
•Loss of tax revenue; current account impact.
•Electricity would flow North, in a curtailment
scenario without grid upgrades.
•Reduced return on thermal assets and lower
natural gas demand.
•Transmission pricing delays –initial benefits to
NZAS have been eroded.
•Large closing costs (estimate >$300m on closure).
•Uncertainty from 12 month termination right.
•Infrastructure and supply chain to support NZAS.
•Retooling and reskilling –time and investment.
“Rio Tinto will work
with all stakeholders
including the government,
suppliers, communities
and employeesin order to
find a solution that will
ensure a profitable future
for this plant.”
Rio Tinto Aluminium
ChiefExecutive, Alf Barrios
22.10.19
Suppliers
Government
Communities
& employees
Target completion first quarter 2020
Independent analysis of smelter financial performance indicates positive cash flows.
32
Alternative electricity demand growth
•Dairy electrification real
Strong balance sheet
Manage North Island reserves, increase
HVDC flow without investment
Early LSI transmission upgrade agreed
Contact Energy / FY20 Interim Financial Results / 10 February 2020
Thermal portfolio marginal at best
•Short gas book
•Close baseload thermal (TCC)
¹ Commissioned a 4th potline in late 2018, increasing production backed by a new electricity contract until 12/2022, ² Source Pacific
Aluminium (New Zealand) Limited financial statements: EBITDAF is equal to Profit before Income Tax; add back Depreciation,
Finance costs and fair value movements in derivatives. Capex is equal to cash payments for Plant, Property and Equipment

Contact Energy / FY20 Interim Financial Results / 10 February 2020
33
Claim of undesirable trading situation (UTS) and
alleged breach of high standards of trading
conduct
Market making
Revenue / (loss)($m)
OUTLOOK
5
-3
8
-2
FY18FY17FY19
Ø 1.9
1H20
We are continuing to support the Electricity Authority in its
investigation into whether lower South Island trading
conditions in November and December represented an
undesirable trading situation as claimed.
•The Clutha is a run of river scheme. There is no ability
to store the water that flows down the Clutha river.
•The Clutha catchment was in flood conditions
throughout the period. We could not process all of the
waterthrough our hydro stations and had to spill it.
•During a flood, we need stability to meet our consent
conditions and to minimise undue risk to equipment
which is essential to the safe passage of flood flows.
When in flood conditions there are operational reasons
that mean we do not want our plant to be the marginal
offer over the course of a day.Being marginal means
we risk constantly adjusting the set-points of the plant
and our dams’ flood management systems.
2
4
5
11
FY17FY18FY191H20
Prudential requirements ($m)
•Profit/loss in market making
driven primarily by the net
sales/purchase position when
the forward prices move. No
revenue opportunities from
providing a market making
service off the bid/offer spread.
•Prudential requirements have
risen in line with increased
volatility and higher average
wholesale prices.
•The new ASX trading
arrangements, in which some
market participants triple market
making volumes in the monthly
contracts while maintaining
narrower bid/offer spreads
commenced on 13 January.
•We maintain that this will be for
the benefit of speculative
financial market participants as
opposed to Tier 2 retailers or
customers.
33
33

Contact Energy / FY20 Interim Financial Results / 10 February 2020
34
FUEL OUTLOOK
Portfolio requirements for thermal generation (TWh)
8.5
2.0
1.0
0.7
-0.3
GeothermalExpected
2020
generation
(inc.
losses)
Maximum
thermal
required
-2.9
-3.3
-0.3
Co-
generation
Hydro in
“extreme
dry” year*
-1.0
“Extreme
dry” to
“mean”
year swing
Mean
thermal
required
Minimum
thermal
required
-1.3
Carbon
FY20(f)
62
FY17
85
Gas
FY18
59
FY19FY21(f)
76
96
+13%
Thermal plant fuel cost ($/MWh)
Contracted gas volumes (PJ)
3.7
The increasing price of natural gas and carbon
is accelerating the case for the long-term
economic substitution of baseloadthermal plant.
•Increased gas prices and the greater relative
returns from a substitution investment in
Tauhara, make it prudent to reduce the asset
life of TCC to FY23 -accelerating
depreciation since 1 July 2019.
6.5
4.5
2.3
8.0
3.4
4.5
3.6
6.3
4.5
7.6
4.5
4.0
1.8
12.2
CY18CY20CY19
16.6
18.4
3.7
CY21
18.0
Short-term gas
Maui -notifiedGenesis
Swap
Maui -contingent
OMV
Hydro variation >>
“Mean” to
“wet” year
swing
* Hydro generation in FY12
Storage balance at 31 January 2020 5.7PJ

Contact Energy / FY20 Interim Financial Results / 10 February 2020
35
MANAGING 2020 RISK
3.0
12.2
4.0
0.8
8.0
2.0
Mean year
demand
Mean Thermal
2020 supply
Co-generation
Expected further
spot gas purchase
Retail
Balance
from storage*
15.015.0
Gas supply and demand 2020 (PJ)
Managing earnings at risk more
important than current year earnings
0.7
1H20
2.0
1.7
2.1
1H19
0.6
1H18
0.7
1.6
2.0
1.2
Customer
C&I
CFDs
Long-term
4.3
4.4
3.9
-0.5
1 –Reduce sales volumes
2 –Internal risk management
3 –External risk management
Whirinaki
155MW
Diesel
peaker
Hawea
>285GWh
of controlled
storage
Look to
re-contract
C&I in 1H21
Huntly
swaption
100MW
Limited fixed price sales, reduced mean
(P50) EBITDAF but improved earning
at risk (P5)
P5
P5
~$150m
$60m
P50
P50
Prudent
Possible
EBITDAF ($m)
*Storage balance at 31 January 2020 5.7PJ

Contact Energy / FY20 Interim Financial Results / 10 February 2020
36
Mike Fugestarts 24 February
Lower the cost of geothermal.
Redesign customer journeys to capture multi-
product scale efficiencies.
FOCUS
Tiwai
Manage
wholesale
market
volatility
Constructive engagement to promote renewable advantage. Continue to advance
mitigation options.
Effective risk management.
Gas contracts will allows for greater participation in contracting
fixed price sales.
Delivering
value
Recover rising input costs.
Investment in digital and data to further reduce
costs and develop new, innovative propositions.
Continued focus on controllable cost reduction.
CEO
succession
Near
term
Medium
term
Decarbonisation
Capture
scale
efficiencies
Develop options to enable the
economic substitution of thermal
generation with renewables.
Partner with customers on
mutually beneficial
decarbonisation opportunities.
Tauhara
appraisal
Evaluation of the drilling results, preparation for final investment
decisions

Contact Energy / FY20 Interim Financial Results / 10 February 2020
37
FY20Change to prior guidance
Other operating costs$200–205m
Cash spend forecast range unchanged
Stay in business capital expenditure$55 –60m
Cashspend (‘Totex’)$255 –265m
Depreciation and amortisation$213–223m
↑ $18m
TCC now to be fully depreciated by 2023.
Full year impact $18m
Net interest (accounting)$55 –60m
↓ $5m
Interest on Tauharaspend capitalised
to PP&E
Cash interest(in operating cash flow)$50 –55m
Cashtaxation$70 –75m
-
Target ordinary dividend per share39 cps
-
GUIDANCE
30

Contact Energy / FY20 Interim Financial Results / 10 February 2020
38
38
Questions
38

Contact Energy / FY20 Interim Financial Results / 10 February 2020
39
39
Supporting
material
39

Contact Energy / FY20 Interim Financial Results / 10 February 2020
40
Distribution policy
480
-60
-70
-65
EBITDAF
Buffer to dividend
-5
SIB cash capex
Cash interest
Cash tax
280
Key assumptions:
Hydro generation at
3,900 GWh (mean),
geothermal generation
at 3,300 GWh
(average).
ASX electricity futures
and electricity retail
margins stable.
Excludes
working capital
movements.
Medium term OFCF ($m)Long run average CAPEX ($m)
Excludes capex associated with
Wairakeiextension post 2026
Sustainable capital
expenditure is between
$60 -$65m per annum
and includes:
•Thermal plant
refurbishment
•Geothermal well drilling
to maintain geothermal
generation at 3,300
GWh per annum
•Transformation and
continuous
improvement initiatives
•Plant and systems
maintenance.
Contact’s policy is to distribute
ordinary dividends targeting a pay-out
ratio of 100% of Operating Free Cash
Flow* which is adjusted for expected
medium-term stay-in-business capital
expenditure, mean hydrology and the
consideration of a sustainable financial
structure including the targeting of a
long-term credit rating of BBB.
Dividend payments are expected to be
split into an interim dividend paid in
April, targeting around 40% of the total
expected dividend for the financial
year, and a final dividend to be paid in
September.
It is the intention of the Board to attach
imputation credits to dividends to the
extent they are available.
*Operating Free Cash Flow (OFCF) is operating
cash flow less stay-in-business capital expenditure
BASIS FOR DISTRIBUTIONS
40
15
10
$m
Wholesale TCC and drilling
Wholesale maintenance
Customer and corporate

Contact Energy / FY20 Interim Financial Results / 10 February 2020
41
Channel choices maximise
long term value¹
1
Net price² driven by
best commercial practices
2
x
=
CFDs1,450GWh$64/MWh$93m
C&I3,350GWh$83/MWh$278m
Retail3,800GWh$117/MWh$445m
Other income³$50m
$866m
Hydro mean3,900GWh$0/MWh-$0m
Geothermal average3,300GWh$1/MWh-$3m
Thermal1,800GWh$66/MWh⁴-$119m
Acquired100GWh$100/MWh-$10m
-$132m
Length⁵$55mTransmission/Storage-$70m
Location losses⁶-$36mOperatingexpenses-$203m
Total$19mTotal-$273m
FY assumptions that deliver expected & normalised EBITDAF of $480m
1.All volumes are at the Grid Exit Point (GXP)
2.Net price is equal to tariff less pass-through
costs (network, meters and levies) /MWh
866
-132
-273
19
Fuel cost
Net Price
480
Trading
Fixed costs
ASSUMPTIONS FOR NORMALISED EARNINGS
Expected & normalised FY EBITDAF
3.Steam sales, retail gas gross margin, other income
4.Gas price of $6/GJ, carbon price of $20/unit and thermal portfolio heat rate (9.25GJ/MWh)
5.Length of 500GWh p.a. assumed
6.Locational losses of 5.6% on spot purchases and settlement
of CFDs sold at a wholesale price of $75/MWh
Hydrology & Asset
availability optimise generation
3
4
Total
x
=
Access to and price of fuel* drives
financials & risk position
Total
Trading delivers value to more
than offset locational losses
5
Digitalisation & continuous
improvement optimise fixed costs
6
x
x
x
x
x
x
x
=
=
=
=
=
=
=
*Fuel is natural gas and carbon costs

Contact Energy / FY20 Interim Financial Results / 10 February 2020
42
1,087
1,479
1,623
1,552
1,726
1,652
1,649
2,129
2,168
2,010
2,073
1,635
2,045
1,886
1,522
1,166
1,036
685
966
836
825
1H151H201H171H141H161H18
Geothermal
generation
1H19
Thermal
generation
Hydro
generation
4,738
4,812
4,669
4,310
4,327
4,533
4,359
Contact generation output sold to the national grid (GWh)
171
208
51
708
50
980
459
449
Acquired generation
Sales
CFD gross sales
2,017
4,755
Sales
1
1,202
4,359
4,755
Generation
1,986
4,533
Direct generation
1
Spot generation
Merchant sales
Sales to C&I
Sales to Customer
1,572
Generation
4,618
4,618
-137
Electricity and generation sales position (GWh)
1H19
1H20
OPERATIONAL DATA

Contact Energy / FY20 Interim Financial Results / 10 February 2020
43
Geothermal fuel extracted at Wairakeivs consented
(GWh)
Wairakei, Poihipiand TeMihiconversion effectiveness
(MWhper kTextracted)
0
5
20
15
10
30
25
35
40
45
50
94%
88%
100%
1H15
98%
1H161H17
101%
1H18
97%
1H191H20
+3%
% of geothermal fluid extractedWairakei mass extracted
30.3
30.8
30.6
32.0
32.3
30.7
1H201H151H191H161H171H18
0%
-5%
GEOTHERMAL PERFORMANCE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
44
Hydro generation (GWh)
Geothermal generation (GWh)
Thermal generation (GWh)
582
488
719
716
709
569
612
539
486
493
208
199
209
203
181
165
159
161
155
171
98
94
99
92
95
1H201H161H17
1,726
1H19
1,552
1H18
1,623
1,652
1,649
Te Huka
Ohaaki
Te MihiPoihipi
Wairakei
553
298
463
649
593
156
275
369
69
119
211
111
133
114
111
116
52
50
51
50
54
1H161H17
2
4
1H181H201H19
1
1,090
736
1,016
887
875
TeRapa -spot
TCC
Whirinaki
Direct generation
Peakers
Otahuhu
Geothermal generation was 3GWh lower than
1H19 as the reduction in generation during the
scheduled 4-yearly outage at Poihipiwas offset by
increased generation at Ohaaki
Hydro generation was 104GWh above mean (1H 1,990GWh) in
1H20, 159GWh below 1H19 but 251GWh higher than a dry 1H18.
During December the Clutha catchment was in flood conditions
throughout the period. We could not process all of the
waterthrough our hydro stations and had to spill it.
Thermal generation volumes were 12GWh lower in 1H20
on lower sales and restricted availability of gas which
reduced the ability to run baseload thermal at TCC with
the Stratford peakers
OPERATIONAL DATA
2,213
1,780
2,148
2,789
2,003
-197
-20
-67
-35
-73
-707
1H17
-110
1H16
27
-73
1H18
-30
1H191H20
2,010
2,073
1,635
2,045
1,886
Storage
Inflows
Spill

Contact Energy / FY20 Interim Financial Results / 10 February 2020
45
Taranaki combined cycle (TCC)
Net
capacity
(MW)
Availability
(%)
Capacity
factor
(%)
Electricity
output
(GWh)
Pool revenue
($/MWh)($m)
1H1737795%18%2985215
1H1837751%28%46311051
1H19
377
63%39%64911978
1H2037778%36%59311367
Hydro
Geothermal
Peakers(including Whirinaki)
Net
capacity
(MW)
Availability
(%)
Capacity
factor
(%)
Electricity
output
(GWh)
Pool revenue
($/MWh)($m)
1H1778491%60%2,0734287
1H1878495%47%1,63588144
1H19
784
95%59%2,045129265
1H2078494%54%1,88698184
Net
capacity
(MW)
Availability
(%)
Capacity
factor
(%)
Electricity
output
(GWh)
Pool revenue
($/MWh)($m)
1H1742989%82%1,5525078
1H1842997%91%1,72686148
1H19
425
91%88%1,652137226
1H2042594%88%1,649106175
TeRapa (spot generation only)
Net
capacity
(MW)
Availability
(%)
Capacity
factor
(%)
Electricity
output
(GWh)
Pool revenue
($/MWh)($m)
1H1720296%16%2766017
1H1820298%21%37012044
1H1920279%4%7323117
1H2020278%7%12015318
Net
capacity
(MW)
Availability
(%)
Capacity
factor
(%)
Electricity
output
(GWh)
Pool revenue
($/MWh)($m)
1H1741100%31%111536
1H184199%37%1339312
1H19
41
98%32%11416118
1H2041100%31%11111613
OPERATIONAL DATA

Contact Energy / FY20 Interim Financial Results / 10 February 2020
46
862
770
833
623
495
164
208
93
60
153
-256
-145
-303
-188
-98
1H201H192H191H18
Gas extracted
2H18
495
Opening storage
Gas injected
770
833
623
550
104
152
27
103
53
159
152
277
174
216
231
252
294
351
-228
-299
-140
-282
-146
-302
-246
53
Inflows
1H181H191H172H172H182H191H20
Opening storage
Releases
152
27
103
159
152
257
Haweastrorage(GWh)Gas storage (GWh equivalent)
Using the 1H20 thermal efficiency (9.04 TJ/GWh)
CLOSING STORAGE
CLOSING STORAGE
Source: NZX hydro, 8 January 2019
OPERATIONAL DATA

Contact Energy / FY20 Interim Financial Results / 10 February 2020
47
7.8
7.6
5.6
11.1
7.0
10.0
7.3
4.5
9.3
-2.0
-1.1
9.8
-9.7
-7.4
-8.1
-5.8
-7.9
-1.4
-1.4
-1.7
-1.4
-1.8
-0.4
-0.2
-0.1
-0.1
Wholesale sales
5.0
0.5
-0.8
0.0
1H201H18
Opening storage
Generation
0.6
2H181H192H19
Customer sales
Purchases
Net injection/
(extraction)
7.0
7.6
5.6
4.5
Contracted gas volumes (PJ)
Sources and uses of gas (PJ)
Closing storage
-0.02
0.13
0.42
-0.04
Jun-
19
Apr-
19
Feb-
19
-0.18
0.30
Mar-
19
0.08
Oct-
19
0.39
-0.16
-0.34
0.16
Jan-
19
-0.01
May-
19
0.29
Nov-
19
-0.13
0.13
0.02
Jul-
19
-0.15
Aug-
19
Sep-
19
0.00
0.46
-0.23
0.20
-0.56
-0.12
0.00
Dec-
19
Gas injectedGas extracted
Ahuroagas storage monthly
injections and extractions (PJ)
6.9
4.1
6.5
4.5
2.3
8.08.0
1.2
3.1
3.4
4.5
3.6
6.3
1.0
4.4
4.5
4.5
7.6
4.5
4.1
6.9
4.0
1.8
CY20CY16
3.7
CY19CY17
9.0
16.7
CY18CY21CY22
18.6
18.4
16.6
12.1
18.018.0
Maui -notified
Maui -contingent
Pohokura
Short-term gas
Genesis
Swap
Storage balance at 31 January 2020 was 5.7PJ
OPERATIONAL DATA

Contact Energy / FY20 Interim Financial Results / 10 February 2020
48
•EBITDAF is Contact’s earnings before net interest expense, tax, depreciation, amortisation, change in
fair value of financial instruments and other significant items.
•EBITDAF is commonly used in the electricity industry so provides a comparable measure of Contact’s
performance.
•Reconciliation of statutory profit back to EBITDAF:
6 months ended
31 December 2019
6 months ended
31 December 2018
Variance onprior year
$m%
Profit59 276 (217)(79%)
Depreciation and amortisation11010288%
Significant items (grossof tax)(2) (172) 17099%
Net interest expense2839(11)(28%)
Tax expense2646(20)(43%)
EBITDAF221 291 (70)(24%)
•Depreciation and amortisation, change in fair value of financial instruments, net interest and tax
expense are explained in the following slide
The adjustments from EBITDAF to reported profit and
movements on 1H19 are as follows:
•Depreciation and amortisation: Increased by $8m (8%) on
1H19 primarily resulting from the change in estimate for the
expected useful life of TCC to 2023 (previously 2028) which
has resulted in accelerated depreciation from 1 July 2019.
•Change in fair value of financial instruments: Reduced by
($2m) in 1H20 reflecting the unfavourable movement in
electricity price derivatives over the period.
•Net interest expense: Reduced by $11m (28%) to $28m over
1H20 on reduced average borrowings and a lower interest
rate as well as the capitalisationof interest relating to the
Tauharageothermal project ($3m). Net interest also includes
a $3m unwind in the discount of provisions.
•Tax expense for the six months ended 31 December 2019
was $26m down from $43m in 1H19 on lower operating
earnings and higher depreciation partially offset by lower net
interest expense.Tax expense for 1H20 represents an
effective tax rate of30%. The effective tax rate for 1H19
was 14% on total earnings as the gain on the sale of
Rockgaswas not subject to income tax.
•Other significant items are detailed on
the next two slides.
NON-GAAP PROFIT MEASURE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
49
6 months ended
31 December 2019
6 months ended
31 December 2018
Variance on
prior year
$m%
Profit59276(217)(79%)
Change in fair value of financial instruments(2)2(4)
Gainon sale of RockgasLimited(LPG)-(167) 167100%
Gain on sale of Ahuroagas storage-(5)5 100%
Remediation for Holidays Act non-compliance-(2)2100%
Tax on items excluded from underlying profit1 3(2) (67%)
Underlying profit58107 49(46%)
•Underlying profit provides a consistent measure of Contact’s ongoing performance.
•Underlying profit excludes the effect of significant items from reported profit. Significant items are determined
based on principles approved by the Board of Directors.
•Other significant items are determined in accordance with the principles of consistency, relevance and clarity.
Items considered for classification as other significant items include impairment or reversal of impairment of
assets; business integration, restructure, acquisition and disposal costs; and transactions or events outside of
Contact’s ongoing operations that have a significant impact on reported profit.
•Reconciliation of statutory profit for the year to underlying profit.
The only adjustment from reported profit to underlying profit
for 1H20 was:
•Change in the fair value of financial instruments (net of
taxation)
The adjustments from reported profit to underlying profit for
1H19 were as follows:
•AhuroaGas Storage (AGS) Facility Sale: The sale of
the AGS Facility to GSNZ SPV1 Limited (GSNZ) was
completed on 1 October 2018. Cash proceeds from sale
received to date are $190 million resulting in a gain on
sale of $5 million before tax. Consideration of up to $10
million remains unrecognisedas it is contingent on GSNZ
obtaining a favourablebinding ruling as to the tax
treatment of the main assets it acquired.
•RockgasLimited Sale: Rockgaswas sold to Gas
Services NZ Midco Limited on 30 November 2018, the net
gain on sale recognisedin 1H19 was $167m (FY19
$165m)
•Remediation for Holidays Act non-compliance: During
1H19, spend of $1 million was incurred in order to resolve
non-compliance with aspects of the Holidays Act 2003.
The provision was reduced by $2 million as a result of
ongoing reassessment of the expected liability
•Change in the fair value of financial instruments
•Taxation on the items outlined above
(to the extent applicable)
NON-GAAP PROFIT MEASURE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
50
Unit
1H161H171H181H191H20
Revenue$m1,1201,0371,1901,3631,110
Expenses$m8667739541,072889
EBITDAF$m254264236291221
Profit/(loss)$m(116)965827659
Underlying profit$m73825910758
Underlying profit per sharecps1011.58.215.08.0
Operating free cash flow$m200134141203120
Operating free cash flow per sharecps27.318.719.728.316.8
Dividends declared
1
cps11.011.013.016.016.0
Total assets$m5,7265,5875,3905,1404,850
Total liabilities$m2,8482,7662,6632,2972,170
Total equity$m2,8782,8212,7272,8432,680
Gearing ratio%37.036.435.429.729.9
1.Figures have been restated for the adoption of NZ IFRS 15 Revenue from Contracts with Customers and NZ IFRS 16 Leases
2.Figures above reflect the combined result and position for continuing and discontinued operations and certain 2018 amounts have been reclassified to conform to the current year’s presentation
HISTORIC PERFORMANCE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
51
1H201H19
Reference number for
Wholesale segment
note (see following
page)
Six months ended 31 December 2019Six months ended 31 December 2018
VolumeGWAPVolumeGWAP
Note: this table has not been rounded andmight not addGWh$/MWh$mGWh$/MWh$m
Electricity sales to Customer1,986 85.2 169 2,017 78.9 159 1
Electricity sales to Fixed C&I (netback)1,15279.1 91 1,52179.8 121
2Electricity sales –Direct50105.1 5 5197.7 5
Electricity sales to C&I1,202 80.2 96 1,572 80.4 126
CfDs –Tiwai support436376
3
CfDs -Long term sales301298
CfDs -Short term sales24334
Electricity sales -CFDs980 71.0 70 708 74.6 53
Total contracted electricity sales4,168 80.4 335 4,296 78.7 338
Steam sales343 49.4 17 351 45.9 16 4
Other income(1)6 5
Net income on gas sales1 1 6
Net income on electricity related services0 1 7
Net other income(0)7
Total contracted revenue (1)4,512 77.9 352 4,647 77.8 362
8
Generation costs4,409(33.6)(148)4,583(30.6)(140)
Acquired generation cost208(111.3)(23)171(138.1)(24)9
Generation costs (including acquired generation) (2)4,617 (37.1)(171)4,754 (34.5)(164)
Spot electricity revenue4,359105.2 459 4,532133.4 605 10
Settlement on acquired generation208124.7 26 171166.1 28 11
Spot revenue and settlement on acquired generation (GWAP)4,567 106.1 485 4,703 134.6 633
Spot electricity cost(3,138)(114.1)(358)(3,538)(138.5)(490)12
Settlement on CFDs sold(980)(105.2)(103)(708)(137.8)(98)13
Spot purchases and settlement on CFDs sold (LWAP)(4,118)(112.0)(461)(4,246)(138.4)(588)
Trading, merchant revenue and losses(3)23 45
Wholesale EBITDAF (1+2+3)204 243
HISTORIC PERFORMANCE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
52
Wholesale segment
Reference to detailed operating
segment performance
Comment
Revenue
C&I electricity –Fixed Price2
C&I electricity –Spot2-spot
Spot sales are regarded as a pass-through and not reflected in
performance reporting, any margin included in C&I netback
Wholesale electricity, net of hedging3+10+13
Electricity related services revenue7
Inter-segment electricity sales1
Gas6
Revenuefrom wholesale gas sales, purchase cost in gas and
diesel purchases
Steam4
Other income5
Costs
Electricity purchases, net of hedging9+11+12
Electricity purchases–Spot2-spotSpot sales are regarded as a pass-through
Electricity related services cost7
Gasand diesel purchases8 (less costs identified relating to 6)Includeswholesale gas sales purchases (if any)
Gas storage costs8
Carbon emissions8
Generation transmission andreserve costs8
Gas networks,transmission and meter costs –Fixed Price2
Gas networks,transmission and meter costs –Spot2-spotSpot sales are regarded as a pass-through
Gas networks,transmission and meter costs8
Other operating expenses8 (less costs identified relating to 2)
C&Ioperating costs are included in the calculation of netback
(2) and are excluded from generation operating costs
SEGMENT NOTE TO OPERATIONAL PERFORMANCE

Contact Energy / FY20 Interim Financial Results / 10 February 2020
53
Residential electricityunit1H171H181H191H20Residential gasunit1H171H181H191H20
Average connections#363,472361,412352,159355,216Average connections#59,56560,87061,33261,959
Sales volumesGWh1,3981,3431,3351,328Sales volumesTJ951946936911
Average usageper ICP3.83.73.83.7Average usageper ICP16.015.515.314.7
Tariff$/MWh245.8247.8249.9248.2Tariff$/GJ29.429.629.130.6
Network, meters and levies$/MWh-118.0-123.3-120.3-119.0Network, meters and levies$/GJ-17.8-18.2-16.7-16.7
Energy costs$/MWh-85.2-84.2-85.4-91.6Energy costs$/GJ-5.4-5.1-5.6-7.6
Gross margin$/MWh42.640.344.237.6Carbon costs$/GJ-0.4-0.5-0.9-1.4
Gross margin$ per ICP164150168141Gross margin$/GJ5.85.85.94.9
Gross margin$m60545950Gross margin$ per ICP93909073
Gross margin$m6564
SME electricityunit1H171H181H191H20SME gasunit1H171H181H191H20
Average connections#56,04657,30255,15655,295Average connections#2,8203,5823,8653,991
Sales volumesGWh544564539533Sales volumesTJ459679809845
Average usageper ICP9.79.89.89.6Average usageper ICP162.9189.7209.4211.8
Tariff$/MWh224.1222.9224.4226.7Tariff$/GJ17.015.514.814.9
Network, meters and levies$/MWh-106.2-105.2-106.5-112.2Network, meters and levies$/GJ-5.1-4.4-5.3-5.4
Energy costs$/MWh-82.9-81.9-83.6-89.3Energy costs$/GJ-5.4-5.1-5.6-7.6
Gross margin$/MWh35.035.734.225.1Carbon costs$/GJ-0.4-0.5-0.9-1.4
Gross margin$ per ICP339352335242Gross margin$/GJ6.05.53.00.5
Gross margin$m19201813Gross margin$ per ICP9851,049625107
Gross margin$m3420
Customer EBITDAF
Electricity Gross margin$m79747763
Gas Gross Margin$m8985
Broadband Gross Margin$m000
Total Gross Margin$m87838668
Other income$m322
Other operating costs$m-54-41-40-41
Customer EBITDAF$m32454830
Corporate allocation (50%)¹$m-7-7-7
Retailing EBITDAF$m32394123
EBITDAF margins (% of revenue)%6.5%7.8%8.2%4.7%
1.Prior to FY18,corporate costs were fully allocated to the reporting segments.
HISTORIC PERFORMANCE

---

Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)



Results for announcement to the market
Name of issuer Contact Energy Limited
Reporting Period 6 months to 31 December 2019
Previous Reporting Period 6 months to 31 December 2018
Currency NZD

Amount (000s) Percentage change
Revenue from continuing
operations
$1,110,000 (14.9)%
Total Revenue $1,110,000 (18.6)%
Net profit/(loss) from
continuing operations
$59,000 (39.9)%
Total net profit/(loss) $59,000 (78.4)%
Interim/Final Dividend
Amount per Quoted Equity
Security
$0.16
Imputed amount per Quoted
Equity Security
$0.03888889
Record Date 19 March 2020
Dividend Payment Date 7 April 2020
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$3.12 $3.32
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood

Authority for this announcement
Name of person

authorised
to make this announcement
Kirsten Clayton, Company Secretary
Contact person for this
announcement
Matthew Forbes, GM Corporate Finance
Contact phone number +64 21 072 8578
Contact email address investor.centre@contactenergy.co.nz
Date of release through MAP

10/02/2020

Unaudited financial statements accompany this announcement.

---

Distribution Notice







Section 1: Issuer information
Name of issuer Contact Energy Limited
Financial product name/description Ordinary Shares
NZX ticker code CEN
ISIN (If unknown, check on NZX
website)
NZCENE0001S6
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year Quarterly
Half Year X Special
DRP applies
Record date 19/03/2020
Ex-Date (one business day before the
Record Date)
18/03/2020
Payment date (and allotment date for
DRP)
07/04/2020
Total monies associated with the
distribution
$ 114,892,416
(718,077,598 shares @ $0.16 / share)
Source of distribution (for example,
retained earnings)
Operating Free Cash Flow
Currency NZD
Section 2: Distribution amounts per financial product
Gross distribution $0.19888889
Gross taxable amount $0.19888889
Total cash distribution $0.16
Excluded amount (applicable to listed
PIEs)
N/A
Supplementary distribution amount $0.01764706
Section 3: Imputation credits and Resident Withholding Tax
Is the distribution imputed Fully imputed
Partial imputation
No imputation
If fully or partially imputed, please
state imputation rate as % applied
20%
Imputation tax credits per financial
product
$0.03888889
Resident Withholding Tax per
financial product
$0.02674444

Section 4: Distribution re-investment plan (if applicable) – N/A
DRP % discount (if any)

Start date and end date for
determining market price for DRP

Date strike price to be announced (if
not available at this time)

Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)

DRP strike price per financial product

Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms

Section 5: Authority for this announcement
Name of person

authorised to make
this announcement
Kirsten Clayton, Company Secretary
Contact person for this
announcement
Matthew Forbes, GM Corporate Finance
Contact phone number +64 21 072 8578
Contact email address investor.centre@contactenergy.co.nz
Date of release through MAP

10/02/2020