Brookfield Infrastructure Partners LP says its net earnings fell nearly 17 percent to $69 million in the second quarter as funds from operations dipped due to a prior year gain from an asset sale.

The Bermuda-based company earned 65 cents per unit for the period ended June 30. That compares to $2.19 a year earlier when profits were $83 million.

Funds from operations decreased 31.6 per cent to $52 million, or 49 cents per unit from $76 million in 2009. When excluding the gain from the sale of its Brazilian transmission investment, funds from operations would have been $8 million, 21 cents per unit in 2009.

Brookfield said its investment in the restructuring of Babcock & Brown Infrastructure — now known as Prime Infrastructure — last November was largely responsible for a 133 per cent increase in the adjusted funds from operations on a per unit basis.

"Our solid performance for the quarter reflects the successful integration of the assets we acquired in the Prime Infrastructure recapitalisation," stated CEO Sam Pollock.

"With an expanded infrastructure platform and global footprint, we are very well positioned in this economic environment and will benefit from increased demand for services provided by our businesses." Brookfield Infrastructure was established by Toronto-based Brookfield Asset Management Inc. to operate long-life assets with stable cash flows.

Its current focus is utilities and energy, which serve local communities, as well as transportation, and timber assets in North and South America, Australia, Asia and Europe.

Brookfield Infrastructure's utilities and fee for service businesses, generated strong yields, which were offset by its timber business, which, although improved in the quarter, continue to operate at reduced harvest levels.

Overall revenue increased to $9 million, from $7 million in the second quarter of 2009.