Brookfield Infrastructure Partners L.P. reported net income of $125mn for the quarter ending March 31, down from $170mn a year earlier. The decline was attributed to higher borrowing costs and losses related to financial hedging, although the group benefited from organic growth and the sale of mature assets.
Funds from operations (FFO) increased to $646mn, representing a 5% rise compared to the same period in 2024. This result was driven by inflation indexation, the commissioning of $1.3bn in new capital, and recent tuck-in acquisitions.
Segment results and operational momentum
The data infrastructure segment posted the strongest growth, with FFO reaching $102mn, up 50% year-on-year. This performance was linked to sustained organic expansion and the acquisition of a tower portfolio in India. The transport infrastructure segment generated $288mn, slightly lower due to volume declines, partly offset by record intermodal logistics utilisation.
The utilities segment generated $192mn in FFO, stable compared to the previous year. Adjusted for currency impacts and divestitures, this represents a 13% increase, notably supported by $450mn of capital added to the rate base. The midstream segment reached $169mn, driven by strong demand and higher pricing for Canadian assets, despite currency fluctuation impacts.
Active capital recycling programme
Brookfield Infrastructure completed five asset sales representing $1.4bn in gross proceeds, including approximately $1.2bn net. The upcoming sale of its Australian container terminal is expected to yield $1.2bn, with $0.5bn net. Finalised after nine years of ownership, the transaction is expected to close in the second half of the year.
Other ongoing divestments include the sale of a remaining 25% stake in a U.S. gas pipeline, which should generate $400mn net, bringing total proceeds from the asset to $900mn since 2015. A non-core data centre sale is expected to bring in $400mn, including over $60mn net, while a European data centre portfolio could yield up to $280mn.
Strategic acquisition in energy transportation
Brookfield Infrastructure also finalised the acquisition of Colonial, an 8,850 km refined products pipeline network connecting Texas to New York, for $9bn. The group stated the asset has maintained nearly 90% utilisation over 25 years and generates strong cash flow with a seven-year capital payback. Acquired at a 9x EBITDA multiple, the deal aligns with Brookfield’s strategy targeting resilient, regulated infrastructure with inflation protection.
Sam Pollock, Chief Executive Officer of Brookfield Infrastructure, stated that “the best investment opportunities often arise during periods of economic uncertainty”, while highlighting the company’s strong balance sheet and predictable cash flows.
