Foresight Environmental Infrastructure posts stable NAV, maintains quarterly dividend target

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Foresight NAV and dividend update

Highlights

Foresight Environmental Infrastructure reports unaudited NAV of £652.4 million and NAV per share of 104.7 pence at 30 June 2026, down from £655.5 million and 105.2 pence at 31 March 2026.
The company achieves a 1.4% NAV total return for the quarter and a 28.2% total shareholder return, as positive valuation movements offset lower power price forecasts.
Dividend cover is projected to remain within the 1.2x to 1.3x target range and gearing rises slightly to 29.2%, with shares trading at an 18.8% discount to NAV.

Quarterly valuation and dividend update

As reported by London Stock Exchange, citing its Regulatory News Service, Foresight Environmental Infrastructure says its unaudited NAV stands at £652.4 million at 30 June 2026, down from £655.5 million at 31 March 2026, with NAV per share at 104.7 pence.

The company says it delivers a 1.4% NAV total return for the quarter, while total shareholder return reaches 28.2%. It adds that positive valuation movements and portfolio performance largely counterbalance the effect of lower power price forecasts.

In its NAV bridge, FGEN lists a starting NAV of 105.2 pence at 31 March 2026, a 2.0 pence deduction for dividends paid in the period, a 1.3 pence hit from power price forecasts, and a 2.8 pence gain from other movements, including discount rate unwind less fund overheads, resulting in a 30 June 2026 NAV of 104.7 pence.

Stephanie Coxon, chair-designate of FGEN, says the group delivers another strong operational quarter and that the portfolio's cash-generative and diversified profile continues to support shareholder returns.

Balance sheet position and sector context

FGEN says portfolio cash generation remains robust, with dividend cover expected to stay within its target range of 1.2x to 1.3x after project debt amortisation. The company adds that gearing is 29.2% at 30 June 2026, compared with 28.8% at 31 March 2026, which it says leaves it among the lowest geared vehicles in the sector.

The board says it remains focused on progressive dividends and organic NAV growth through operational performance, value enhancements and selective capital recycling. Coxon says the wider renewable infrastructure sector continues to face headwinds, but the board believes the company's 18.8% discount to NAV still undervalues the business and its underlying assets.

In our earlier report on the UK’s electricity grid upgrade programme, we explained how the government plans to offer bill discounts to households living near new power lines and converter stations to reduce opposition and accelerate buildout. We also noted that delays to network expansion could slow decarbonisation efforts and constrain the system’s ability to absorb growing wind and solar generation.

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