24th Jul 2024 14:07
(Alliance News) - Greencoat UK Wind PLC on Wednesday announced an increased half-year dividend, although its net asset value decreased on lower cash generation.
The London-based investor in UK wind farms reported a net asset value of 159.3 pence at June 30, down 2.9% from 164.1p at December 31.
Greencoat said the decreased NAV reflected lower cash generation for the first half of 2024. Net cash generation totalled GBP165.4 million, down from GBP204.0 million a year before.
The company declared a quarterly dividend of 2.50p per share. This brought the total dividend for the half year to 5.0p, up 14% from 4.38p in the prior year.
"We are pleased to have delivered a resilient performance, extending our sustained track record of growing our dividend at least in line with RPI since our listing in," commented Chair Lucinda Riches.
Going forward, she added: "The outlook for the group remains very encouraging. Portfolio returns have been adjusted over the past two years to reflect the macro environment, and are now set to deliver net returns to investors of 10% on NAV.
"We operate in a mature and growing asset class and, as the market for UK wind assets is expected to grow to threefold over the next decade, we are well placed to capitalise on our leading position, continuing to deliver superior returns and supporting the UK government's net zero targets."
Shares in Greencoat UK Wind slipped 0.6% to 141.29p in London on Wednesday afternoon.
By Emma Curzon, Alliance News reporter
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