Sequoia Economic Infrastructure Income Fund (SEQI) H1 2026 earnings summary

Executive summary

• NAV per share increased 1.2% to 93.67p, with total net assets at £1.44bn and market capitalisation at £1.20bn.

• Annualised NAV total return reached 10.1%, supported by a diversified, defensive portfolio focused on private, senior secured infrastructure loans.

• Dividend yield stands at 8.83%, with dividends paid of 3.44p per share, in line with the annual target.

• Non-performing loans reduced to 0.6% of the portfolio, down from 5.5% a year ago.

• Ongoing share buyback programme repurchased nearly 17 million shares in the period, totaling 213 million since July 2022.

Financial highlights

• Total net assets stable at £1.44bn as of 30 September 2025.

• Earnings per share for the period were 4.40p, with dividend cover at 1.01x.

• Portfolio yield-to-maturity stood at 9.7%, with 61.7% of the portfolio in fixed or hedged rates.

• Pull-to-par upside of 3.1p per share projected by 30 September 2028.

• Ordinary share price at 77.9p, trading at a 15.4% discount to NAV.

Outlook and guidance

• No current plans to increase the dividend, but the board continues to review this in light of rates and income generation.

• Portfolio positioned for falling or stable interest rates, with 60% of assets fixed-rate or hedged.

• Strong pipeline of £350 million in investment opportunities, average gross yield of 9%.

• Potential for modest increase in fund leverage to capture attractive opportunities.