Interim Report 31 December 2023

​What the interim report details

This report details Auckland Council Group's (the group) financial performance for the six months to 31 December 2023. The report is unaudited.

The six months at a glance

• The group’s results reflect an ongoing recovery from last year’s extreme weather events. While we have agreements with central government to help fund regional recovery and resilience projects, the group will have to fund at least 50 per cent of the costs. These costs pose significant budget challenges, but are necessary to become a more resilient city, and to serve the people of Auckland now and in the future.
• Economic factors such as higher levels of inflation and interest rates continued to have an effect on our costs. Despite these challenges, the group made good progress on our capital projects.
• Auckland Council sold part of our Auckland International Airport Limited shareholding that realised $833 million. These proceeds were used to reduce the council’s debt and to partially fund new capital investment.

Summary of results

• Operating revenue increased 11 per cent to $4.8 billion compared to the six months to 31 December 2022.
• The surplus after income tax was $1.4 billion: a decrease of 16 per cent compared to the six months to 31 December 2022.
• The group’s capital investment in infrastructure and community assets totalled $1.4 billion: this was 19 per cent more than the prior period.
• Total assets increased by $1.8 billion to $74.8 billion compared to 30 June 2023.
• The group’s debt, net of cash and term deposits, decreased by $429 million to $11.9 billion compared to 30 June 2023.

The group continues to take a prudent and responsible approach to financial management. It aims to protect against future shocks and maintain the group’s ability to continue investing in infrastructure, services and facilities to ensure Auckland is a beautiful, thriving and safe place to live.

Investing in infrastructure

Our priority during the six months to 31 December 2023 has been to support the region’s recovery, and to strengthen its long-term resilience. We also continued to renew and build infrastructure to support population growth in our region.

Our $1.4 billion investment in key infrastructure includes:

• $599 million on roading and public transport infrastructure such as City Rail Link, Eastern Busway and the renewal of roading assets.
• $551 million on water and wastewater assets, including new infrastructure such as the Central Interceptor, upgrade of New Lynn Pump Station and the recovery work for Muriwai Water Treatment Plant.
• $185 million was spent on community assets including the development and renewal of local and regional community parks and facilities, town centre regeneration, and various projects to improve water quality and enhance Auckland’s natural environment.

Our credit ratings

The group has credit ratings of AA from S&P Global Ratings and Aa2 from Moody's; both with a "stable" outlook.

Get a copy of the interim report