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SDCL Energy Efficiency Income Trust swings to half-year profit

4th Dec 2024 11:31

(Alliance News) - SDCL Energy Efficiency Income Trust PLC on Wednesday said it was pleased with its operational and financial performance amid broadly flat returns in its half-year net asset value per share.

SDCL Energy Efficiency Income Trust invests in assets in the energy efficiency sector, such as electric vehicle charging infrastructure and geothermal and biogas projects.

The trust said its net asset value per share was broadly flat in the six months to September 30, up 0.1% to 90.6 pence from 90.5p at March 31, with Chief Executive Jonathan Maxwell noting that the trusts large and diverse portfolio "delivered stable overall operational performance and cash inflows that covered our dividends", but adding that the "investment trust market however remains depressed".

The firm's portfolio valuation fell over the same period to GBP1.10 billion from GBP1.12 billion, with the trust stating that investments into organic investments and existing commitments over the six months were up 5.4% on-year to GBP98 million from GBP93 million.

The trust swung to an pretax profit of GBP35.1 million at the half-year, up from a loss of GBP89.1 million the prior year, bolstered by an on-year improvement in investment income over the same period to GBP40.3 million from a loss of GBP83.0 million.

It said its aggregate interim dividends of 3.16p per share were in line with guidance, adding that target guidance for the full-year remains up 1.3% at 6.32p from 6.24p the prior year.

Its shares were up 2.9% at 53.40p on Wednesday morning in London.

Chair Tony Roper said: "We are pleased that both SEEIT's operational and financial performance for the period were in line, or a little above budget and generated cash flows that fully underpinned the company's progressive dividend policy.

"We are strongly of the view that SEEIT's share price does not reflect the value of its investments nor the cashflows derived from them. To this end, the board and manager remain focused on addressing the share price discount by supporting the marketability and liquidity of the company's shares."

By Christopher Ward, Alliance News reporter

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