Greencoat Renewables (GRP) H2 2024 earnings summary

Executive summary

• Achieved pan-European scale with 39 renewable assets totaling 1.5 GW across five countries, spanning wind, solar, and battery technologies, making it a top 10 listed European renewables company.

• Maintained high contracted cash flow visibility, with 71% of revenues/cashflows contracted over the next five years through 2029.

• Delivered €781M gross cash since IPO, €350M in dividends, and over €350M reinvested to grow NAV.

• Returned over €100M to shareholders in 2024 via dividends and share buybacks, including €75.2M in dividends and a €25M buyback at a 19% discount to NAV.

• Positioned to benefit from rising demand driven by AI and data centers, with over 500GWh of PPAs signed in 2023–2024.

Financial highlights

• 2024 revenue: €357.2M; EBITDA: €207.9M; gross cash generation: €148.6M; net cash generation: €140.8M.

• Dividend increased 5% year-over-year to 6.74%, with gross dividend cover at 2x and net cover at 1.9x.

• NAV per share at 31 December 2024 was 110.5c, with a 4.5% total NAV return including dividends.

• Portfolio return at 9.3% of NAV, translating to 11-12% on current market price.

• EBITDA declined from €251.2M in 2023 due to lower power prices and below-budget generation.

Outlook and guidance

• Forecast €780M cash generation over next five years, with average 1.9x dividend cover.

• 2025 dividend target increased by 1% to 6.81c per share, reflecting lower inflation.

• No new acquisitions planned until market conditions improve; focus on capital recycling, selective disposals, and exploring additional listing opportunities.

• Progressive dividend policy supported by strong cash generation and high dividend cover.