International Public Partnerships (INPP) H2 2025 earnings summary

Executive summary

• Invests in essential public infrastructure with 98% of revenues government-backed, regulated, or long-term contracted, providing predictable, inflation-linked cash flows and a growing dividend stream.

• Portfolio is diversified across 130+ investments in nine OECD countries and sectors, with 53% regulated assets, 35% PPPs, and 12% operating businesses.

• Dividend growth has been uninterrupted since IPO, with a progressive policy targeting at least 2.5% annual growth for over 25 years.

• Demonstrated resilience through multiple crises, maintaining cash flows and dividend growth for nearly 20 years.

• Over £385 million of realisations since June 2023, all at or above published valuations, validating the NAV methodology.

Financial highlights

• NAV per share increased by 4.7% to 151.5p at 31 Dec 2025, up from 144.7p the previous year.

• Total NAV return for 2025 was 10.6%, with a dividend of 8.58p per share, up 2.5% year-over-year, and a 7.1% dividend yield.

• Dividend cover remained stable at 1.1x, and ongoing charges reduced to 1.09%.

• IFRS profit before tax rose to £263.9 million from £0.5 million in 2024, driven by unrealised fair value gains.

• Share buybacks added up to 1.6p per share in the period, with over £135 million deployed to date.

Outlook and guidance

• Dividend targets set at 8.79p for 2026 and 9.01p for 2027, continuing 2.5% annual growth.

• Projected net return from current share price levels is 10.3%.

• Portfolio expected to sustain growing dividends for over 25 years based solely on current assets.

• Inflation linkage expected to rise from 0.7% to 0.8% as new investments like Sizewell C are deployed.

• The company expects to fund new commitments through realisation proceeds and surplus cash.