Investor Presentaiton
Capital Allocation Framework
Continued focus on operating and capital efficiency, governed by a well-defined Capital Allocation Framework
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Capital Allocation Framework
Stay-in-business capex
■ Focused on safety and reliability of supply
■ Investments to support decarbonisation
Optimal capital structure
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Adj. Net Debt / EBITDA¹ target of 2.0x - 2.5x
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■ Where Adj. Net Debt > 2.5x EBITDA, debt reduction plans become a focus
Ordinary dividends
■ 50% - 70% of RCOP NPAT excluding significant items (fully franked)
Growth capex²
Capital returns²
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Ampol is committed to maintaining a strong investment grade credit rating;
currently Baa1 from Moody's Investors Service
Ampol's Capital Allocation Framework provides a balance between ensuring a
safe and sustainable business, maintaining a strong balance sheet, returning
capital to shareholders and investing in future value-accretive growth
opportunities
Shadow carbon price incorporated into Ampol's investment decision-
making process
Growth capex for projects linked to Future Energy will be return seeking,
although longer payback periods are expected
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■ Where clearly accretive to
shareholder returns
■ Investments to support the
energy transition
■ Where Adj. Net Debt < 2.0x EBITDA
(or sufficient headroom exists
within the target range)
Notes:
Adjusted net debt includes net borrowings, lease liabilities (in accordance with AASB 16) and hybrid equity credits (as an offset). Last twelve months EBITDA for Ampol includes adjustments for changes to RCOP
methodology and discontinued operations
Compete for capital based on risk-adjusted returns to shareholders
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AMPOL
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