VH Global Energy Infrastructure (ENRG) H2 2024 earnings summary

Executive summary

• Achieved a Net Asset Value (NAV) per share of 103.21p and portfolio NAV of £408.5m as of 31 December 2024.

• Portfolio generated 856,666 MWh of clean energy, powering approximately 317,284 UK homes and avoiding 262,501 tonnes of CO₂e in 2024.

• Three new assets came online, with significant expansion in Spain, Portugal, Sweden, and Australia, enhancing diversification across 34 assets in 7 geographies.

• Achieved key construction milestones, including the UK flexible power plant and gold certification for the Brazilian hydro facility.

Financial highlights

• Dividend coverage at 0.96x (1.24x currency adjusted); target dividend for 2025 is 5.80p per share, yielding 8.7% on 31/12/2024 share price.

• Total leverage stands at 6.6% of NAV, among the lowest in the sector.

• Portfolio NAV decreased from £483.8m to £408.5m, impacted by dividends, share buybacks, fund expenses, and fair value movements.

• US terminal storage, Australian solar PV with BESS, and Brazilian solar PV assets all reported year-over-year revenue and EBITDA growth.

Outlook and guidance

• Targeting a total NAV return of 10% per annum, net of costs and expenses.

• Progressive annual dividend policy, paid quarterly, with strong revenue visibility and inflation protection.

• Board to announce actions in H1 2025 to address share price discount to NAV.