The Renewables Infrastructure Group Limited (LSE:TRIG) reported an estimated unaudited net asset value (NAV) of 101.1 pence per share at 30 September 2026, unchanged from the previous quarter, as higher power price forecasts and portfolio performance offset an increase in valuation discount rates.
The renewable energy investment company also reaffirmed its full-year 2026 dividend target of 7.55 pence per share, representing a prospective yield of 9.4% based on its closing share price of 80.4 pence on 4 November.
Higher Power Prices Offset Increased Discount Rates
TRIG reported that portfolio performance and operational improvements contributed 0.4 pence per share to NAV during the third quarter, while revised revenue forecasts added a further 2.0 pence.
These gains were offset by a 2.4 pence reduction associated with higher discount rates.
The portfolio’s weighted average discount rate increased from 9.1% to 9.4%, reflecting movements in UK and European government bond yields and market transaction valuations.
UK discount rates increased by 0.25 percentage points, while European rates rose by an average of 0.4 percentage points.
TRIG said higher electricity prices, partly associated with tighter European gas markets, supported portfolio revenue during the quarter.
Generation exceeded budget across several assets, including British and Swedish onshore wind, German offshore wind and UK solar. This was partly offset by lower generation from UK offshore wind, French onshore wind and Spanish solar.
Dividend Target Maintained at 7.55p Per Share
The board maintained its 2026 dividend target of 7.55 pence per share.
Gross cash dividend cover is expected to reach approximately 2.1 times, calculated before around £190 million of scheduled project-level debt repayments.
After those repayments, net dividend cover is forecast at 1.1 times.
The company noted that dividend payments remain subject to financial performance and are not guaranteed.
Share Buybacks Total £29.2 Million in Third Quarter
TRIG repurchased 38.1 million shares during the three months ended 30 September 2026, for a total consideration of £29.2 million.
The company continues to allocate capital between share repurchases, debt reduction and investment in its construction and development portfolio.
On 28 October, TRIG completed the sale of its 17.5% interest in the Beatrice offshore wind farm for £157 million.
The disposal represented approximately 40% of the company’s £400 million capital realisation target announced in May 2026.
Proceeds were used to reduce borrowings under its revolving credit facility to £184 million, with additional asset disposal processes continuing.
Battery Storage and Wind Repowering Projects Progress
TRIG reported progress across several development and construction projects.
The 78MW Ryton battery storage project in the UK is undergoing final testing ahead of expected energisation by the end of 2026.
In France, construction of the 25MW Cuxac onshore wind repowering project is approaching completion, with commissioning also scheduled before year-end.
Development work continues on the Valdesolar battery co-location project in Spain and the Claves wind farm repowering project in France.
Final investment decisions for both developments are expected to be presented to the board during the fourth quarter.
Power Price Forecasts and Regulatory Changes Under Review
TRIG increased its near-term electricity price forecasts during the quarter, particularly for Great Britain and southern Sweden.
The company said further increases in forward power prices since 30 September could add approximately 1 to 2 pence per share to NAV if incorporated directly into its valuation.
The group also reported that recent UK government proposals to replace Renewable Obligation Certificates with Fixed Price Certificates are expected to have a negligible impact on NAV under the current consultation proposals.
Separately, potential changes to historical renewable energy tariffs in France could affect projects representing approximately 2% of TRIG’s portfolio value. The company said the details of the proposed legislation remain uncertain.
TRIG also estimated that changes to capital allowances announced in the UK Budget could reduce NAV by approximately 0.1 pence per share.
More About The Renewables Infrastructure Group
The Renewables Infrastructure Group Limited (LSE:TRIG) is a London-listed investment company with a diversified portfolio of renewable energy infrastructure assets. Its investments include onshore and offshore wind, solar generation and battery storage projects across the UK and Europe.
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