The Renewables Infrastructure Group (LON:TRIG), an investment trust that owns wind, solar and battery storage assets, reported interim results before the market opened today showing net asset value per share down to 101.1p. The board reaffirmed its 7.55p dividend target for 2026, and the shares were little changed on the update.
TRIG shares traded at 76.5p in early dealing today, down 0.65% from Thursday’s close of 77.0p, having opened flat. The stock has ranged between 61.55p and 79.0p over the past year and remains well below the 101.1p net asset value disclosed in the results.
TRIG’s net asset value per share fell 2.9p to 101.1p at 30 June, from 104.0p at the end of December, as the trust marked down third-party forecasts for power prices and green certificate revenues rather than reflecting any operational shortfall. Net dividend cover, the ratio of cash generated to dividends paid, was restored to 1.1 times, up from 1.0 times in 2025, and the board kept its 2026 dividend target at 7.55p per share, a yield of about 10% at the current share price.
The improved cover was underpinned by £209m of operational cash generation, with gross cash cover before debt amortisation at 2.3 times. TRIG’s £2,817m portfolio, comprising 2.3GW of net operational capacity, generated 2.9TWh of electricity in the half, about 3% below budget. The trust is also pressing on with a £400m capital realisation plan set in May, with its July agreement to sell its 17.5% stake in the Beatrice offshore wind farm to Equitix for around £155m, a 4% discount to its December valuation, marking the first step.
Richard Morse, TRIG’s chair, said: “The Board remains committed to delivering resilient income to shareholders and I am pleased to reaffirm the dividend target for 2026 of 7.55p per share, which represents a c. 10% dividend yield at the current share price.” Proceeds from the Beatrice sale are earmarked to cut the trust’s revolving credit facility, which stood at £276m at 30 June, and to fund further buybacks given the shares’ persistent discount to net asset value. Of the current £150m buyback programme, £123m had been deployed and 158 million shares repurchased as at yesterday, with the board expecting to continue buying beyond the programme.
Long-term gearing represented 41% of look-through enterprise value, a measure of debt against the trust’s underlying assets, at the end of June, and is expected to fall to 39% once the Beatrice disposal completes. About 90% of group debt is long-term, fixed-rate and amortising. TRIG’s first continuation vote, held at this year’s annual meeting, passed with 99.3% support.