TRIG to maintain dividend this year as NAV falls

(Sharecast News) - London-listed renewable energy investment company The Renewables Infrastructure Group (TRIG) said it would keep its dividend unchanged this year after reporting a 5.2% fall in net asset value (NAV) per share over the fourth quarter. The company, which said it remains committed to a progressive dividend policy, said it would only raise payouts "when it is prudent to do so".

As announced earlier this month, the fourth quarterly interim dividend was 1.8875p per share, taking the full-year dividend to 7.55p, representing net dividend cover for the year of 1.0x.

"The 2026 dividend target is maintained at 7.55 pence per share. In setting the dividend target for 2026, the vboard has prioritised restoring net dividend cover to the range 1.1x - 1.2x and future growth of the NAV," TRIG said in an update on Monday.

NAV totalled 104.0p per share by 31 December, down 5.7p over the final three months of the year.

The quarterly decline reflected a reduction in revenue forecasts (-1.8p), low power prices in Sweden, grid outages and operational updates (-1.8p), increased discount rates for UK offshore wind projects (-1.2p), the impact of the UK government's change in indexation basis from RPI to CPI for Renewable Obligation Certificates and Feed-in-Tariff (-0.6p), and the impact of the Autumn Budget (-0.3p).

Energy generation across the portfolio was 5% below budget for the quarter, as a good performance from TRIG's offshore wind portfolio was more than offset by below budget generation in Sweden and TRIG's UK onshore wind portfolio.

The stock was down 1.9% at 67.9p by 0951 GMT.