Greencoat Renewables (GRP) H1 2026 earnings summary

Executive summary

• Gross asset value is €2.3 billion with 1.4 GW operating capacity and over €950 million cash generated since IPO, managed by Schroders Greencoat LLP.

• H1 2026 net cash generation was €59.8 million, supporting a 1.6x dividend cover and €37.5 million (3.41c/share) dividends paid; on track for a 2026 dividend target of 6.81c/share.

• Capital allocation focuses on buybacks, deleveraging, dividends, hybridization, digital infrastructure, and enhanced PPAs, with €50 million of €100 million buyback program underway.

• Portfolio is highly cash-generative, diversified across Europe, and maintains a leading position in Ireland.

• Green Digital Infrastructure Platform launched to capture growth from rising electricity demand, especially from data centres.

Financial highlights

• H1 2026 revenue was €157 million, down 2% year-over-year but up 4% like-for-like; EBITDA stable at €90 million; operating expenses decreased to €67 million.

• Net cash generation declined 8% to €59.8 million, mainly due to weaker wind resource in Q1; underlying portfolio cash generation up 4% like-for-like.

• Net asset value at €1.1 billion, NAV per share at 97.2c, and 2% NAV total return including dividends.

• Gearing at 53% (gross), with €1.2 billion borrowings and €139 million cash on hand.

• Weighted average cost of debt: 3.5%, with 89% fixed rate and first maturity in March 2027.

Outlook and guidance

• Full-year dividend cover projected at 1.5x, exceeding initial guidance; 2026 dividend target of 6.81c/share maintained.

• Portfolio expected to generate ~€600 million cash through 2030, supporting dividends, deleveraging, and reinvestment.

• 73% of forecast revenues contracted through 2030, rising to 75% post-Borkum PPA, supporting average dividend cover of 1.7x.

• Gearing targeted to reduce from 53% to mid-40s by end of 2027, supported by disposals and organic cash flow.

• Portfolio expected to benefit from long-term trends in electrification, energy security, and digital infrastructure demand.