The APA Group (ASX: APA) share price has been climbing to reach another 52-week high. It’s currently up 1%.
Over the last month, the APA share price has risen by more than 10%. In the last six months, the business has gone up by 33%.
APA says that it has 15,000 kilometres of natural gas pipelines that connect sources of supply and markets across mainland Australia. It operates and maintains networks connecting 1.4 million Australian homes and businesses to natural gas. The business owns or has interests in, gas storage facilities, gas-fired power stations and renewable energy generation (wind and solar farms).
What has happened recently with APA?
Earlier this week, APA and Cooper Energy Ltd. (ASX: COE) announced that a transition agreement in relation to the Orbost gas processing plant has been extended to 30 June 2022. The two businesses are advancing discussions regarding long-term commercial arrangements.
A couple of months ago, APA said that it achieved “solid” financial results in the first half of FY22, with revenue up 4.3%. Every operating segment contributed to this growth. Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) rose 4.5% and free cash flow went up 22.6%.
The first half distribution was increased by 4.2% to 25 cents per security. The FY22 distribution guidance of 53 cents per security has been retained – this will represent a 3.9% increase on FY21.
APA pointed to a positive outlook. It notes that it’s favourably exposed to rising inflation with almost 100% of contracted revenue linked to inflation indices. This could be helpful for the APA share price. It is being widely reported that inflation is rising in Australia.
The post The APA share price just powered to a 52-week high appeared first on The Motley Fool Australia.
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More reading
- 3 ASX 200 shares hopping to new 52-week highs today
- Does APA Group have a dividend reinvestment plan?
- Here’s what happened to the APA share price in March
- 2 defensive ASX dividend shares offering reliable income
- Why did the APA (ASX:APA) share price just ink a new 52-week high?
Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended APA Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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