Weak wind speeds and power prices weigh on Greencoat UK Wind

(Sharecast News) - Renewable infrastructure fund Greencoat UK Wind said on Wednesday that net cash generation had fallen in the six months ended 31 June amid weaker wind speeds and power prices in H1. Greencoat UK Wind said it had generated net cash of £163.3m during the first six months of 2025, down roughly 41% year-on-year, largely due to lower wind speeds and softer power prices.

Net asset values slipped to £3.18bn, or 143.4p per share, down from 151.2p at year-end, as forecasts for output and power prices were revised lower.

Elsewhere, the group confirmed £131m of share buybacks during the half, repurchasing 101m shares at an average of 130.00p and also announced wind farm disposals worth £181m, bringing total divestments to £222m, all completed at NAV.

Operationally, output came in at 2,581GWh, 14% below budget due to industry-wide low wind conditions.

Greencoat also noted that gearing stood at 41.5% of gross asset value and said it would pay a Q2 dividend of 2.59p per share.

Chairman Lucinda Riches said: "Despite lower portfolio generation due to low wind, the group delivered robust cash generation of £163m to achieve dividend cover of 1.4x.

"We remain confident in our ability to deliver on our objectives of growing the dividend in line with RPI and capital preservation over the long term and extend our track record of outperforming our peers."

As of 1010 BST, Greencoat UK Wind shares were down 0.74% at 120.10p.

Reporting by Iain Gilbert at Sharecast.com