Bluefield Solar Income Fund Limited (LSE:BSIF) reported a 4.3% drop in its Net Asset Value (NAV) for the June quarter, with NAV declining to 117.77p per share from 123.0p at the end of March.
The reduction was largely driven by the fund’s quarterly dividend of 2.2p per share, alongside downward revisions to power price and REGO (Renewable Energy Guarantees of Origin) assumptions, which together reduced NAV by 2.86p per share.
Solar generation benefited from above-average irradiation, which exceeded expectations by 18.3% during the quarter, but outages from Distribution Network Operators (DNOs) limited the overall output. Meanwhile, wind assets continued to underperform, producing 23.8% less than budget due to weak winds and turbine downtime. Overall, the fund’s total generation ended 4.4% above budget.
The quarterly NAV drop of around 4% was steeper than that of peer Foresight Solar, which saw a roughly 2% decline in the same period. Bluefield Solar shares currently trade at an 18% discount to the updated NAV, slightly narrower than the 22% average discount across its wider renewable energy peer group.
The fund’s total outstanding debt stands at £581 million, with gearing rising modestly to 45% from 44% in the previous quarter, remaining at the higher end of its preferred 35–45% range.
Bluefield Solar confirmed that the FY25 dividend is expected to be fully covered by earnings after debt amortization, though no guidance was provided for FY26.
In leadership news, chairman John Scott will step down following the FY25 results. Michael Gibbons CBE, a Non-Executive Director since October 2022, will succeed him. Scott had previously indicated he would not seek re-election at the 2025 AGM.
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