Investor presentation – European roadshow

Chorus Limited
Level 10, 1 Willis Street
P O Box 632
Wellington
New Zealand

Email: company.secretary@chorus.co.nz






STOCK EXCHANGE ANNOUNCEMENT

24 March 2025

Investor presentation – European roadshow

The attached Chorus presentation will be referenced during investor meetings in
Europe and the USA in the next week.

Authorised by:

Drew Davies
Chief Operating Officer

ENDS

For further information:
Brett Jackson
Investor Relations Manager
Phone: +64 4 896 4039
Mobile: +64 (27) 488 7808
Email: Brett.Jackson@chorus.co.nz

Vicki Gan
Media and Content Manager
Mobile: +64 (22) 075 0159
Email: vicki.gan@chorus.co.nz

---

Disclaimer
2
This presentation:
•Is provided for general information purposes and does not constitute investment advice or an offer of or invitation
to purchase Chorus securities.
•Includes forward-looking statements. These statements are not guarantees or predictions of future performance.
They involve known and unknown risks, uncertainties and other factors, many of which are beyond Chorus’
control, and which may cause actual results to differ materially from those contained in this presentation.
•Includes statements relating to past performance which should not be regarded as reliable indicators of future
performance.
•Is current at the date of this presentation, unless otherwise stated. Except as required by law or the NZX Main
Board and ASX listing rules, Chorus is not under any obligation to update this presentation, whether as a result of
new information, future events or otherwise.
•Should be read in conjunction with Chorus’ audited consolidated financial statements for the year to 30 June
2024 and NZX and ASX market releases.
•Includes non-GAAP financial measures such as "EBITDA”. These measures do not have a standardised meaning
prescribed by GAAP and therefore may not be comparable to similar financial information presented by other
entities. They should not be used in substitution for, or isolation of, Chorus' audited consolidated financial
statements. We monitor EBITDA as a key performance indicator, and we believe it assists investors in assessing
the performance of the core operations of our business.EBITDA is reconciled in the Notes on page 11 of the HY25
half year financial statements.
•Has been prepared with due care and attention. However, Chorus and its directors and employees accept no
liability for any errors or omissions.
•Contains information from third parties Chorus believes reliable. However, no representations or warranties
(express or implied) are made as to the accuracy or completeness of such information.
INVESTOR ROADSHOW MARCH 2025

Kia ora from Chorus
3
New Zealand’s largest fixed line communications business
•Chorus (CNU) is dual listed on ASX and NZX; ADR ticker in USA: CHRYY
•~NZ$3.3 billion (~US$2bn) market cap at 20 March
•Enterprise value ~NZ$7bn*
•EBITDA NZ$700m (FY24)
•S&P “BBB” stable; Moody’s “Baa2” stable
•wholesale only business with ~90 retail service provider customers
•Chorus fibre passes 1.5m addresses, built under public-private-partnership
•~72% uptake today, striving for 80% fibre uptake by 2030
•regulated asset base and revenue cap regime on fibre
•copper network retirement enabling removal of legacy costs
•exploring market adjacencies to leverage our infrastructure assets
A rare listed fibre infrastructure asset
INVESTOR ROADSHOW MARCH 2025
* Based on 31 December debt, EBITDA and present value of Crown debt and equity securities

New Zealand’s fibre footprint
4
87% of population covered by fibre to the premises
•NZ government supported fibre rollout from 2011-2022
•requirement that fibre companies be wholesale only in return
for government financing
•Chorus received ~NZ$1.3bn in low-cost, long-term government
financing to build fibre in ~75% of the final footprint
•Chorus: ~1.1m fibre connections nationwide
•Tuatahi First Fibre: ~200k fibre connections in central North Island
•Enable: ~160k fibre connections in Christchurch area
•Northpower: ~25k fibre connections in upper North Island
INVESTOR ROADSHOW MARCH 2025
Fibre company footprints
NORTHPOWER
TUATAHI
ENABLE

New Zealand’s largest digital infrastructure ‘neutral host’
5
NATIONAL REACH
~22,000km
TRANSPORT FIBRE
400Gbps
400GBPS CAPABLE DWDM
TRANSPORT NETWORK
51
POINTS OF
INTERCONNECT
EXTENSIVE
GEOGRAPHIC
DIVERSITY
62
MESH NODES
400Gbps CAPABLE
80
CORE NODES WITH
FULL DIVERSITY
ACCESS
~180,000km
ACCESS FIBRE
1-10Gbps
LAYER 2 ACCESS
PRODUCTS
DIVERSE POINT-TO-POINT
FIBRE ROUTES
EXTENSIVE ASSET BASE
~60,000km
NATIONWIDE DUCT
NETWORK
211,000
POLES
14,700
ROADSIDE CABINETS
~600
EXCHANGES
(4 EDGECENTRES)
~200,000+ km of total fibre
Connecting
~90
RETAIL SERVICE PROVIDERS
1.2m
HOMES AND BUSINESSES
3,400
MOBILE CELLSITES
2,000+
SMART LOCATIONS
INVESTOR ROADSHOW MARCH 2025

FY24 overview
6
INVESTOR ROADSHOW MARCH 2025

Covid and economic slowdown has proven fibre’s utility value
7
•Covid caused a long period of high inflation and the
Reserve Bank NZ (RBNZ) responded with strong cash
rate increases
•NZ experienced a subsequent economic slowdown
impacting discretionary spending through 2024
•despite these headwinds, Chorus’ fibre uptake and
revenues have continued to grow
•RBNZ has implemented cash rate cuts and inflation has
now moved back into target 1-3% range, with
economic conditions showing improvement

-2.00%
-1.50%
-1.00%
-0.50%
0.00%
0.50%
1.00%
1.50%
1/09/20231/12/20231/03/20241/06/20241/09/20241/12/2024
NZ GDP (YoY)
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
1/09/20231/12/20231/03/20241/06/20241/09/20241/12/2024
NZ CPI (YoY)
0%
1%
2%
3%
4%
5%
6%
RBNZ Official Cash Rate
INVESTOR ROADSHOW MARCH 2025

Our Road to 2030
Growth, Simplicity & Efficiency
8
PURPOSE
ASPIRATION
BUSINESS
MODEL
CORE
COMPETENCIES
STRATEGIC
PILLARS &
PRIORITIES
Unleashing potential through connectivity. Enabling better futures for Aotearoa.
Simplified all fibre business with 80% uptake by 2030.
Efficient Network
Operator
Market
Challenger
Infrastructure
Player
Tangible assets
Regulatory
Management
Go-to-Market
L
Lead
Expand
A
Adapt
P
Pioneer
E
Leading fibre
uptake
Expand
new revenues
Achieve operational
excellence
Pioneer an
all-fibre business
INVESTOR ROADSHOW MARCH 2025

9
Our market
context

9INVESTOR ROADSHOW MARCH 2025
INVESTOR ROADSHOW MARCH 2025

10
The New Zealand broadband market
0
500,000
1,000,000
1,500,000
2,000,000
NZ broadband market – by retailer
SparkOne
2degrees (incl Vocus)Mercury (incl Trustpower)
ContactOthers
-
500,000
1,000,000
1,500,000
2,000,000
NZ broadband market – by technology
Chorus xDSLChorus mass market fibre
Chorus premium fibreLocal fibre companies (UFB)
Other fibre networksOne cable
Fixed (mobile) wirelessLegacy fixed wireless, satellite
Source: IDC
INVESTOR ROADSHOW MARCH 2025
39%33%
24%
19%
19%
19%
5%
8%
5%
14%
16%
17%
54%
19%
4%
28%
39%
15%
12%

11
Record data use at 644GB and more peak events
302
644
200
250
300
350
400
450
500
550
600
650
Jun-20
Sep-20
Dec-20
Mar-21
Jun-21
Sep-21
Dec-21
Mar-22
Jun-22
Sep-22
Dec-22
Mar-23
Jun-23
Sep-23
Dec-23
Mar-24
Jun-24
Sep-24
Dec-24
CopperFibre
Data usage (GB)
* includes upstream traffic
Monthly average data usage per connection*
•monthly average data usage on fibre increased strongly to 644GB (June: 623GB)
•the proportion of fibre connections using more than 1 terabyte of data was 17.5% (June: 16%)
•HY25 average daily peak traffic 10% higher than HY24
•10 peak traffic events in HY25 vs 4 in HY24


Daily peak traffic on fibre network, July-December
INVESTOR ROADSHOW MARCH 2025

12
• 71.7% fibre uptake across Chorus fibre area (FY24: 71.4%; target: 80% by 2030)
• mass market fibre connections up 15k in HY25, with slowing tailwind from copper migration
• fibre footprint +14k in HY25 to 1,520,000 addresses passed
68.0
68.5
69.0
69.5
70.0
70.5
71.0
71.5
72.0
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
30-Jun-2331-Dec-2330-Jun-2431-Dec-24
Fibre connectedInactive fibre sockets***
Fibre socket not yet installedFibre uptake (%)
Fibre growth continues in slower market
29
21
15
-18
-15
-10
-9
-7
-7
-30
-20
-10
0
10
20
30
HY24H2 FY24HY25
Change in mass market connections
in Chorus fibre area (’000s)
FibreCopper broadbandCopper voice
%
uptake
Fibre
connections
Fibre uptake in Chorus fibre area (% of addresses passed)
INVESTOR ROADSHOW MARCH 2025

13
80% uptake requires ~240k connections
Any new build
must reach
80% uptake
120
8
20
90
240
New property
Fibre frontier
Copper to fibre
Growth & Winback
FY30 con. target
0
50
100
150
200
250
300
Net Connection Growth FY25-FY30
~130k
New build
~110k
Premises already passed
~180k
Under-penetrated
segments
~220k
Fixed wireless
and HFC
~110k
UFB2/2+
FY25 opportunity pools
(overlapping)
~220k
Inactive ONTs
33k users
per month
speed test
Maximising
acquisition on
our website
14k users
per month
broadband
checker
1.7M users
each year
chorus.co.nz
Path to 240k connections
INVESTOR ROADSHOW MARCH 2025

14
Moving from one size fits all to tailor offers for RSPs
10%
15%
75%
Chorus Fibre Market Share
Pure
RSPs
Bundlers
MNO's
~580k power
customers
~450k power
customers
~940k
customers
~430k fibre
customers
~340k fibre
customers
~245k fibre
customers
Consumer incentives
Home Fibre
Starter
Home Fibre 300Home Fibre 920Hyperfibre
New connection
(First connection or 12M+ non-connectivity)
$100$200$250$250
Upgrade
(From any plan lower)
-$100$100$200
Note: numbers are NZ wide
INVESTOR ROADSHOW MARCH 2025

15
•mass market fibre ARPU $55.34 (Dec 2024)
•Home Fibre Starter (50Mbps) plan growing in response to offnet demand and cost-of-living
•88% of business connections are on 500Mbps or faster; 25% of residential plans are on 1Gbps or faster
•demand for multi-gigabit Hyperfibre plans (2Gbps and above) nearing 5k connections
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
Dec-23Jun-24Dec-24
Residential
2Gbps+1Gbps300Mbps200Mbps
100Mbps<100MbpsVoice
0
20,000
40,000
60,000
80,000
100,000
Dec-23Jun-24Dec-24
Business
2Gbps+1Gbps500Mbps300Mbps
200Mbps100Mbps<100MbpsVoice
64%
25%
14%
48%
31%
62%
25%24%
65%
31%
30%
57%
6%
45%
17%
+1k
+2k
+14k
+19k
Entry level plan meets cost-of-living need
INVESTOR ROADSHOW MARCH 2025

16
Wholesale broadband pricing
Fibre plan - consumerCurrent wholesale pricePrice before 1 Jan 2025Notes
Voice line$30.59$29.11
Home starter
50/10Mbps
$38$35
Wholesale price applies where retail price is $65.
50/10Mbps upgrades to 100/20Mbps from end FY25.
50/10Mbps$53.96$50.43
100/20Mbps
300/100Mbps
$56.28$53.54
100Mbps is anchor service.
300/100Mbps service upgrades to 500/100Mbps
from end FY25.
1Gbps $66.19$61.86
Hyperfibre 2Gbps$74.90$70
Hyperfibre 4Gbps$90.95$85
Hyperfibre 8Gbps$117.70$110
Copper pricingCurrent wholesale price Price before 16 Dec 2024 Notes
Copper line$39.03$38.21
Annual CPI adjustment mid-December
2024
Copper broadband$52.18$51.08
INVESTOR ROADSHOW MARCH 2025

17
Fast track to
an all-fibre
future
INVESTOR ROADSHOW MARCH 2025
17

18
• Infrastructure revenues $77m in HY25 (target: annual $180m-$200m by 2030)
• ‘greenfield’ property activity stabilising back at pre-Covid levels (~20k-25k lots p.a.)
• steady growth in data connectivity demand (e.g. smart locations, mobile backhaul, EdgeCentre)
• IoT: proof of value trials with councils/utilities
• Tasman Ring Network: feasibility work underway following MoU with Datagrid in December
Driving digital infrastructure revenue growth
INVESTOR ROADSHOW MARCH 2025

19
Exploring a range of new revenue options
Option 1:
IoT Solutions
Option 4:
Fibre Expansion
Option 2:
Scale EdgeCentres
Option 3:
Trans-Tasman Ring
Option 5:
Copper recovery
Option 6:
Property optimisation
INVESTOR ROADSHOW MARCH 2025

20
Exploring option 3: Tasman Ring subsea network
• proposed ~6,000km subsea network to underpin NZ’s growing data centre ecosystem and
leverage South Island hydro capacity
• launched to prospective customers at Pacific Telecom Conference in January
• investment subject to pre-build commitments meeting return hurdles
• indicative build completion in CY28
INVESTOR ROADSHOW MARCH 2025

21
Our regulatory framework
INVESTOR ROADSHOW MARCH 2025
• Chorus is required to provide wholesale services to retailers on a non-discriminatory basis
• Chorus fibre access services, excluding fibre in other fibre company areas, operate under a
Regulated Asset Base (RAB) building blocks regime. The Commerce Commission sets a Maximum
Allowable Revenue (MAR) that includes a mechanism for revenue wash-ups and inflation and is
also used for electricity lines and gas network businesses.
• copper services can be withdrawn with 6 months’ notice in areas where fibre is available and the
Commerce Commission made a draft recommendation in March to deregulate copper services
where fibre is not
available.
- XXX,
Areas where fibre is available
(~87% population)
•Chorus can withdraw copper services
•a RAB building blocks regime with revenue
cap applies to specified fibre access services
outside of other fibre company areas
•the building blocks regime was first
introduced for 2022-2024, with settings for
the next period 2025-2028 just confirmed
Areas where fibre is not available
(~13% population)
•Chorus supplies copper fixed line services to
a diminishing customer base
•the Commerce Commission’s final
recommendation on copper deregulation is
due to government by end of 2025
•a Telecommunications Service Obligation
(TSO) for voice services applies to
residential addresses that existed in 2001

22
PQP2
allowances
2025202620272028
Opex*$197.0m$203.6m$208.0m$210.9m
Capex**$327.6m$290.6m$261.3m$260.0m
PQP2 MAR 2025202620272028
Final MAR$956.9m$1,001.0m$1,040.8m$1,079.7m
•final MAR decision (December) defers $256m of core fibre asset depreciation from PQP2
(2025-2028)
•we expect opening core RAB to grow from $4.99bn (Commission forecast at 13 Dec 2024) to
~$5.4bn through PQP2, based on final capex allowances and core asset depreciation
* opex allowance excludes ~$20m p.a. of pass-through costs included in MAR. Chorus expects to add $10m-
$20m opex p.a. (to be recovered via wash-up) as copper shuts down in CNU fibre areas.
** capex allowance may increase subject to installation demand and any future incentive proposal
Regulatory certainty on fibre to 2029
INVESTOR ROADSHOW MARCH 2025

23
• shutdown of copper in Chorus fibre areas now expected by end FY26; fewer than 28k lines in service
• 21% reduction in non-fibre area copper lines since HY24 (target: copper shutdown by 2030)
• 1.5k remote radio customers: ~30% of addresses have moved to an alternative service
• ~10k premises rollout: 1.6k premises passed and 500 connected (4k expressions of interest to date)
Copper retirement is coming into focus
67,000
28,000
25,000
14,000
101,000
80,000
HY24HY25
Remaining copper lines
CNU fibre areaLFC fibre areaNon-fibre area
0
2
4
6
8
10
12
Chorus UFB LFC UFB Rest of NZ (non
UFB)
Copper – reactive fault spend by area
H1 FY23H2 FY23H1 FY24H2 FY24H1 FY25
$m
-37%
193,000
122,000
INVESTOR ROADSHOW MARCH 2025

Fibre enables a greener, more resilient future
24
INVESTOR ROADSHOW MARCH 2025
• Fibre broadband has a much lower fault rate than copper (~5% vs ~30% per annum) and is widely
recognised as the most energy efficient broadband technology
• Chorus carried 8% more data traffic in FY24, but reduced electricity usage by 3% by removing legacy
equipment
• Reduced electricity use and ~87% renewable generation in the NZ electricity grid (March 2024) saw our
FY24 Scope 1 & 2 emissions reduce by 39% against our FY20 base year (target = 62% reduction by
FY30)

25
Tight cost control keeps direct copper revenues and costs FCF positive
Copper cost outlook
•Copper capex, net of contributions, $15m (FY24) and declining as activity transitions to fibre
•Direct copper opex of ~$54m (FY24) steps down as copper customers migrate to other networks,
or to fibre with a lower costto serve
Direct copper
expenses*
FY24
$m
Outlook to 2030 copper retirement
Network maintenance27Reducing as customers migrate to alternative networks: includes
faults from the exchange and/or cabinet, through to customer
premises
IT10Step-change once customer numbers remove need for scale systems
Other network costs5$4m of exit costs in FY24; ongoing exit costs subject to pace of
copper retirement and copper recycling programme
Electricity12Steady decline as network equipment shuts down
TOTAL54
*Note: this summary excludes shared costs and potential property maintenance savings from property optimisation
INVESTOR ROADSHOW MARCH 2025

26
Opportunities from copper retirement
•copper recovery (Option 5): cable trial underway;
expect ~3-7 year programme with $30m-$50m net
proceeds
•property optimisation (Option 6): ~$20m ‘high sites’
and ~$75m other land & buildings in LFC and other
non-UFB areas that may be optimised or sold
•rural fibre (Option 4): submission to govt Infra
Priorities Programme that fibre’s socio-economic
benefits should be evaluated like roading
0%20%40%60%80%100%
Greece
Germany
Czech Republic
Italy
Belgium
Croatia
Malta
Poland
Ireland
Netherlands
Estonia
Denmark
France
Latvia
Luxembourg
Lithuania
Bulgaria
New Zealand
Spain
Sweden
Portugal
International copper retirement progress
(% of incumbent network lines on fibre vs copper)
FibreCopper
Source: FTTH Council Europe
INVESTOR ROADSHOW MARCH 2025

INVESTOR ROADSHOW MARCH 2025
Financial
Performance
27

28
A digital infrastructure business maximising long-term value and returns
Capital management principles and policy
Dividend policy: pay an ordinary dividend of 70% to 90% (on average, over time) of net cash flow from
operating activities less
sustaining capital expenditure
Capital allocation
underpinned by
free cash flow
from an essential
regulated
infrastructure
asset
Deliver a
sustainable
growing dividend,
at least in real
terms
Use balance sheet
to fund
discretionary
growth capex - up
to 4.75x
ND/EBITDA
Discretionary
growth capex
must deliver
greater value
than returning
funds to
shareholders
INVESTOR ROADSHOW MARCH 2025

29
HY25 dividend and FY25 guidance (unchanged)
•FY25 EBITDA $700m to $720m*
otracking to lower half of range
ooriginal guidance excluded exploratory opex for subsea cable
ofibre price increases applied from January 2025
•FY25 gross capex $400m to $440m
ounchanged
•FY25 sustaining capex $200m to $220m
otracking to lower half of range

•HY25 interim dividend
o23cps, unimputed
•record date: 18 March 2025
•payment date: 15 April 2025
•Dividend Reinvestment Plan not available

•FY25 dividend guidance*: 57.5cps
odividends remain unimputed in medium term
14171923
21
25.5
28.5
34.5
0
10
20
30
40
50
60
FY22FY23FY24FY25*
Dividend
interimfinal
cents
per
share
* subject to no material adverse changes in circumstances or outlook
INVESTOR ROADSHOW MARCH 2025

30
Income Statement
H1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Operating revenue500507503
Operating expenses(154)(154)(156)
Earnings before interest, tax,
depreciation and amortisation
(EBITDA)
346353347
Depreciation and amortisation(235)(234)(228)
Earnings before interest and
income tax
111119119
Net interest expense(109)(110)(107)
Net earnings before income tax2912
Income tax expense(7)(23)(7)
Net (loss)/earnings(5)(14)5
decline in legacy revenues offsetting fibre growth
legacy costs reducing, but savings partly offset by inflation
and spend to explore new revenue opportunities
$48m total depreciation across copper assets, up from
$45m in HY24 due to acceleration on copper related poles
weighted average interest rate on debt reduced from 5.8%
to 5.7% (includes accounting adjustments)
H2 FY24 included $15m non-cash expense from law change
for deductibility of tax depreciation on buildings
INVESTOR ROADSHOW MARCH 2025

31
Revenue
H1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Fibre broadband
(GPON)
361356341
Fibre premium (P2P)323435
Copper based
broadband
313845
Copper based voice101315
Data services copper121
Field services343334
Infrastructure171716
Value added network
services
131313
Other113
Total500507503
growing uptake; ARPU: $55.34 (Dec 2024) vs $55.71 (June 2024) due to
growth of entry level plan and delay of fibre price changes to 1 Jan 2025
growing demand for mobile access and backhaul offset by withdrawal of
legacy enterprise services
copper revenues declining as customers migrate to Chorus fibre or
competing fibre/wireless/satellite networks
CPI increase of 2.15% applied to some services from mid-December
greenfields revenue $12m (HY24:$14m); roadworks $6m (HY24: $5m)
demand beginning to reduce for legacy services
HY24 included revenue from property optimisation
INVESTOR ROADSHOW MARCH 2025

32
Expenses
H1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Labour 434139
Network maintenance252627
IT202123
Other network costs171819
Rent, rates and
property maintenance
141314
Electricity111210
Advertising556
Insurance323
Consultants633
Regulatory levies545
Provisioning010
Other587
Total154154156
$1m of copper exit costs
45% capitalisation rate (HY24: 48%) as fibre investment reduces; $1m
change costs
reducing as legacy systems are exited
reducing fault volumes partly offset by service company CPI increases
CPI impact and spike in spot prices offset 3.6% lower consumption vs HY24
additional spend to support exploration of new revenue opportunities
INVESTOR ROADSHOW MARCH 2025

33
Capex
Gross capexH1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Sustaining capex*9488117
Discretionary growth capex105107115
Gross capex199195232
Less Third-party contributions**(24)(25)(30)
Net capex175170202
*Sustaining capex is investment to maintain, replace or improve an existing asset.
** Third-party contributions included $2m of government grants that were applied
to the balance sheet for specific projects. Other contributions were recognised as
revenue.
117
88
94
115
107
105
0
50
100
150
200
250
H1 FY24H2 FY24H1 FY25
Sustaining vs growth capex
Sustaining capexGrowth capex
INVESTOR ROADSHOW MARCH 2025

34
Capex
RAB capex*
H1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Extending the network – growth452629
Installations – growth547081
IT & Support - sustaining273331
Network capacity - sustaining352639
Network sustain & enhance - sustaining181619
Gross RAB capex179171199
less Third-party contributions**(18)(15)(24)
Net RAB capex161156175
* HY25 unaudited. Final allocation for HY25 to be determined for 2025 Information Disclosure.
**Third-party contributions are deducted from capex when calculating the value of RAB assets
Non-RAB capex
H1
FY25
$m
H2
FY24
$m
H1
FY24
$m
Copper - growth241
Copper - sustaining4612
Other - growth474
Other - sustaining10716
Gross non-RAB capex202433
less Third-party contributions(6)(10)(6)
Net non-RAB capex141427
INVESTOR ROADSHOW MARCH 2025

35
As at31 Dec 2024 ($m)
Borrowings2,774
+ PV of CIP debt securities
(senior)
314
+ Net leases payable 166
Sub total3,254
- Cash83
Total net debt3,171
Net debt/EBITDA*4.54x
Leverage: 4.54x net debt/EBITDA
200
500
200
514
820
325
85
105
167
210
85
112
207
364
0
100
200
300
400
500
600
700
800
900
202520262027202820292030203120322033203420352036
Crown equity securitiesCrown debt securities
AUD MTNEUR MTN
NZ Bond
NZ $M
Debt maturity profile
prior periods ND/EBITDA: HY24 4.56x; FY24 4.42x
*based on S&P and bank covenant methodologies
ratings agency thresholds: S&P 5.0x, Moody’s 5.25x,
financial covenants require senior debt ratio to be no greater than 5.5x
borrowings increased $105m from $2,669 million (FY24)
olong term bank facilities of $450m ($215m drawn)
o~70% of interest rate exposure fixed for 3 years
INVESTOR ROADSHOW MARCH 2025

36
Appendices
36INVESTOR ROADSHOW MARCH 2025
INVESTOR ROADSHOW MARCH 2025

37
INVESTOR ROADSHOW MARCH 2025

38
INVESTOR ROADSHOW MARCH 2025

39
30 Sept
2023
31 Dec
2023
31 March
2024
30 June
2024
30 Sept
2024
31 Dec
2024
Baseband
copper
(no broadband)
64,00057,00051,00045,00040,00034,000
Copper ADSL
(includes naked)
75,00068,00062,00056,00049,00044,000
VDSL
(includes naked)
75,00068,00062,00055,00049,00044,000
Data services
(copper)
1,0001,0001,0001,0001,0001,000
Fibre broadband
(GPON)
1,041,0001,052,0001,064,0001,074,0001,083,0001,089,000
Fibre premium
(P2P)
10,00010,00010,00010,0009,0009,000
Total
connections*
1,266,0001,256,0001,250,0001,241,0001,231,0001,221,000
Copper connections
declined 16k in Q2 and
total 123k
Total fibre connections
grew 6k in Q2 and total
1,098k
*includes ~2,000 broadband connections Chorus is subsidising for lower socio-economic households
Chorus fixed line connections
INVESTOR ROADSHOW MARCH 2025

40
Connection changes by zone (indicative as at 31 December)
Other fibre
company (LFC)
zone
Copper lines (no broadband)6,000Local Fibre Company and fixed wireless provider
activity is driving a gradual decline in copper
connections.
Copper broadband lines8,000
Fibre broadband lines (GPON)4,000
TOTAL18,000
Non-fibre
addresses (i.e.
Chorus fibre not
available)
Copper lines (no broadband)15,000Ongoing decline in copper connections due to
mobile/fixed wireless/satellite footprint
expansion.
Copper broadband lines65,000
TOTAL80,000
Chorus fibre zoneCopper lines (no broadband)13,000Covers all addresses outside of LFC UFB rollout
zone where Chorus fibre is available. Fibre
footprint is growing as a result of new property
development. Copper connections are reducing
as Chorus retires its copper network.
Copper broadband lines15,000
Fibre broadband lines (GPON)1,083,000
TOTAL1,111,000
Quarterly change (’000s) by zone
-3
-4
-3
-4
-4
-2
-1
-2
-1
-1
-1
-1
-1
-2
-4
-6
-7
-8
-8
-4
-5
-5
-2
-4
-2
-2
-1
-2
-2
6
9
9
12
11
1
-15-5515
Q2 FY25
Q1 FY25
Q4 FY24
Q3 FY24
Q2 FY24
Q2 FY25
Q1 FY25
Q4 FY24
Q3 FY24
Q2 FY24
Q2 FY25
Q1 FY25
Q4 FY24
Q3 FY24
Q2 FY24
Copper line onlyCopper broadband
Fibre broadband
* Excludes ~12k fibre premium, data services (copper) and smart location connections
INVESTOR ROADSHOW MARCH 2025

41
Bond
Amount
(NZ$m)
Current hedge profile
EMTN 2026
514100% fixed for life of bond at 3.39%
NZD 2027
200100% fixed for life of bond at 1.98%
NZD 2028
500100% fixed for life of bond at 6.21% from Dec 2023
EMTN 2029
820
Swapped to a margin over floating (BKBM) through cross
currency interest rate swaps.
~67% fixed at 6.17%
NZD 2030
200100% fixed at 2.5%
AMTN 2030
325
Swapped to a margin of 1.73% over floating (BKBM)
through cross currency interest rate swaps. ~30% is
fixed using an interest rate collar of 5.48% to 6.05%
from March 2025
Crown
securities
$m
30
June
2025
30
June
2030
30
June
2033
30
June
2036TOTAL
Equity securities
(cumulative total)
85.3197.0404.0768.5768.5
Debt securities
(maturity profile)
85.3104.7166.7210.2566.9
Crown equity securities
unique class of security with no voting rights but a repayment
preference on liquidation
an increasing portion attract dividend payments from 30 June 2025
onwards based on 180-day NZ bank bill rate, plus 6% p.a. margin
redeemable by cash payment of total issue price or the issue of Chorus
shares (at a 5% discount to the 20-day VWAP for Chorus shares)
Crown debt securities
•unsecured, non-interest bearing and carry no voting rights
•to be redeemed in tranches from 30 June 2025 to 2036 by repaying
the issue price to the holder
Crown financing summary
Interest rate hedges
INVESTOR ROADSHOW MARCH 2025

42
0
10
20
30
40
50
60
70
80
90
100
FY22FY23FY24FY25eFY26eFY27e
Cables: CNU areaCables: LFC areaDuct: LFC areaPoles: LFCarea
Cables: ruralPoles: ruralEstimate
$m
Accelerated copper depreciation rolls off rapidly
NPAT impact
reduces by
~$50m in FY26
INVESTOR ROADSHOW MARCH 2025

43
Final building blocks revenue components
($m, nominal)
2025202620272028
Total return on capital255.1270.4269.4266.1
Return on assets (RAB x WACC), Core fibre assets384.6396.6404.3408.5
Return on assets (RAB x WACC), Financial loss assets74.063.854.646.2
Revaluations-127.1-116.7-116.1-115.3
Ex-ante stranding allowance 6.06.06.05.9
Benefit of Crown finance-84.9-81.9-81.8-81.7
TCSD allowance2.52.52.52.4
Opex allowance197.0203.6208.0210.9
Total depreciation452.8447.3450.8439.4
Core fibre assets299.4310.0327.5328.3
Financial loss assets153.4137.2123.3111.1
Tax allowance0.00.028.3101.6
In -period smoothing-13.311.613.5-11.4
Total building blocks revenue891.5932.8970.21,006.6
Pass-through costs19.620.220.821.4
Wash-up amount (smoothed)45.847.949.851.7
TOTAL956.91,001.01,040.81,079.7
Fibre RAB settings
INVESTOR ROADSHOW MARCH 2025