NextEnergy Solar Fund Limited

(“NESF” or the “Company”)

 Unaudited Quarterly Net Asset Value & Operational Update

NextEnergy Solar Fund, a leading specialist investor in solar energy and energy storage, announces its unaudited Q4 Net Asset Value (“NAV”) and operational update for the period ended 31 March 2024.

Key Highlights

Financial:

·     NAV per ordinary share of 104.7p (31 December 2023: 107.7p).

·     Ordinary shareholders’ NAV of £618.6m (31 December 2023: £636.4m).

·     Total gearing (including preference shares) of 46.4% (31 December 2023: 45.7%).

·     Financial debt gearing (excluding preference shares) of 29.3% (31 December 2023: 28.8%).

·     Weighted average cost of capital of 6.4% (31 December 2023: 6.4%).

·     Weighted average cost of debt of 4.5% including preference shares (31 December 2023: 4.4%).

·     Weighted average discount rate across the portfolio of 8.1%1 (31 December 2023: 8.0%).

Dividend:

·     Total dividends declared of 8.35p per ordinary share for the twelve months ended 31 March 2024 (31 March 2023: 7.52p).

·     Dividend cover for the twelve months ended 31 March 2024 was 1.3x (31 March 2023: 1.4x).

·     Announced target dividend of 8.43p per ordinary share for the year ending 31 March 2025.

·     Attractive high dividend yield of c.11%, as at closing share price on 14 May 2024.

·     Forecasted target dividend cover of between 1.1x-1.3x for the year ending 31 March 2025.

·     Total ordinary dividends declared since IPO of £345m or 67.8p per ordinary share.

Portfolio:

·     Maiden 50MW standalone energy storage asset (“Camilla”) achieved commercial operation.

·     Energised two international solar co-investments totalling 260MW alongside NextPower III ESG (“Santarém and Agenor”).

·     Increased portfolio size to 103 operating assets (31 December 2023: 100).

·     Reached 1GW installed capacity milestone with 1,015MW (31 December 2023: 933MW2). 

·     Remaining weighted asset life of 25.9 years (31 December 2023: 26.1 years).