Gresham House Storage Fund NAV Jumps 15.8% on Project Revaluation

Gresham House Energy Storage Fund (LON: GRID), the UK’s largest listed fund investing in utility-scale battery storage, said net asset value per share rose 15.8% to 131.30p at the end of June, sending shares to a new 52-week high in early trade.

GRID shares opened today at 101p, up from yesterday’s close of 98.1p, and touched an intraday high of 103.5p, a new 52-week high.

Chair John Leggate CBE said the half-year progress reflected “a 15.8% NAV increase to 131.30p per share, reinforced by higher revenues and double-digit EBITDA growth.” But the fund’s own breakdown shows 14.33p of the 17.96p total NAV increase, around 80%, came from revaluing newly-financed projects totalling 397MW from cost basis to a discounted cash flow basis, an accounting reclassification triggered when the projects reached financial close in May.

Underlying trading was more mixed. Portfolio revenue rose 9.5% year-on-year to £34.7mn and EBITDA, earnings before interest, tax, depreciation and amortisation, rose 14.5% to £23.5mn. But revenue per operational megawatt fell to £63,200 from £75,100 a year earlier as merchant power markets weakened. Management applied a fresh short-term haircut to its 2026-2030 merchant revenue forecasts in the second quarter to reflect the softer trading backdrop.

Markets appear to be rewarding the NAV growth and reduced risk profile rather than an improvement in trading. Contracted revenue, mainly from tolling agreements, rose to 61% of total revenue from 35% a year earlier, even as the operating environment for battery storage in Great Britain remains difficult.

GRID is due to publish its full interim results for the first half on 23 September.