3rd Sep 2020 09:05
(Alliance News) - Foresight Solar Fund Ltd on Thursday reported a fall in assets over the first half of the year but boasted its UK portfolio performed "significantly above expectations".
At June 30, the ground-based solar photovoltaics asset investor's NAV per share stood at 96.0 pence compared to 103.8p at December 31.
The fund's net assets dipped to GBP582.1 million from GBP628.0 million six months prior. Gross asset value ended the first half at GBP1.02 billion from GBP1.07 billion at the end of 2019.
The company said there has been minimal operational disruption to its assets, and said its UK portfolio performed "significantly above expectations". Of Foresight's 869 megawatt portfolio, 723 megawatts are based in the UK.
Electricity generation for the six-month period was 15.9% above base case, driven by record levels of irradiation in the first half of the year.
"This excellent operational performance is a result of both the strong irradiance during the period and the continued hard work and diligence of the asset management, building on an improving performance trend across recent reporting periods," Foresight added.
Foresight's interim dividend fell to 3.45p from 6.76p.
Chair Alex Ohlsson said: "Whilst Covid-19 has created unprecedented challenges for both our industry and the wider economy, I am pleased with the resilience the company has shown and how our team and our operational counter-parties have adapted during the first half of 2020."
Ohlsson also noted the firm is on track to deliver its 6.91p target dividend for the year.
"Whilst the power-price environment and wider global financial markets are set to remain challenging for the remainder of the year, we will continue to focus on delivering operational and financial stability, securing opportunities to enter fixed power price contracts to improve cash flow stability where possible, and will continue to explore opportunities to expand and diversify further our portfolio of assets whilst maintaining our strict criteria for risk-adjusted returns. We look forward to a further period of progress," Ohlsson added.
Shares in Foresight Solar Fund were down 0.5% in London on Thursday morning at 107.50 pence each.
By Paul McGowan; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Foresight Solar Fund