The Renewables Infrastructure Group (TRIG) Capital Markets Seminar summary

Strategic direction and market context

• Focus on long-term success and addressing share price discount to NAV amid high interest rates.

• Renewables remain central as electricity demand in the UK is projected to rise 50% by 2035 and 135% by 2050, driven by electrification trends.

• Portfolio diversification and energy transition themes position the business for resilient income and growth.

• Corporate off-takers are increasingly driving decarbonisation, with 79% of European companies having net zero targets.

Financial guidance and capital allocation

• Over £1 billion in dividends paid since IPO, with a 25% dividend increase and 1.2x average cash cover.

• Current dividend yield is 10%, with a base case 11% annualized total return and self-funded growth via a 1 GW development pipeline.

• Shifted capital allocation from new investments to increased share buybacks as share price discount widened, tripling the buyback programme.

• Disciplined balance sheet management: £300m debt repaid last year, £500m more expected by end 2026.

• On track for £300m in financings/disposals and further debt repayment, aiming to grow distributable cash flow into 2026.

Portfolio strategy and growth levers

• Portfolio of 80+ projects across six power markets, 2.7 GW capacity, generating 6 TWh annually.

• All recent asset sales have been in wind, sold at a 10% premium, with proceeds reinvested in solar and battery development.

• Targeting 10-15% of the portfolio in batteries, with ongoing efforts to add solar assets.

• Dividend cover hurdle lowered due to higher returns from development/construction investments, supporting greater income and capital growth.

• Active portfolio rotation to realize value and enhance capital allocation flexibility.