Company overview

Foresight Solar Fund Limited (FSFL) is a listed investment trust focused on utility‑scale solar and battery storage assets.
Total capital deployed: ~£1bn
Managed renewable capacity: 2 GW (operational + development)
Operational portfolio: 994 MW across the UK, Spain, and Australia
Development pipeline: 989 MWp

Generation
Total renewable electricity generated: 1,038 GWh (↑ vs 2024)
UK: +3.4% above budget
Spain: 15% below budget 
Australia: 6.2% below budget

Portfolio composition
59 operational assets
UK: 748 MW (solar + BESS)
Spain: 76 MW (solar)
Australia: 170 MW (solar)
BESS: increasing contribution; Sandridge BESS fully energised in 2025

Operational performance remained robust across the year, with the portfolio generating 1,038 GWh of clean electricity, powering the equivalent of 381,748 UK homes and avoiding 359,880 tonnes of CO₂e. The UK portfolio again outperformed expectations, producing 3.4% above budget, offsetting weaker conditions in Spain and Australia where curtailment and network constraints impacted output.

Revenue and contracted position

Revenue mix: 51% subsidies and 49% electricity sales
Contracted revenue in 2025: 86% (merchant 14%)
Hedging: 87% of 2026 revenue contracted, 75% of 2027 revenue contracted, 63% of 2028 revenue contracted
Average contracted price: £76/MWh for 2026, £71/MWh for 2027 and £74/MWh for 2028

Key financial metrics (as at 31 Dec 2025)

Net Asset Value (NAV): £545.9m (↓ from £634.4m in 2024)
NAV per share: 99.2p (↓ from 112.3p)
Gross Asset Value (GAV): £928.2m
Market capitalisation: £354.4m
Share price: 64.4p, representing a ~40% discount to NAV
EBITDA: £112.2m
Cash flow from operations: £56.7m
Net debt/EBITDA: 2.9x
EV/EBITDA: 6.0x
Total outstanding debt: £382.3m (41.2% of GAV)

Financially, FSFL reported a net asset value of £545.9 million and NAV per share of 99.2p, reflecting declines in long‑term power price forecasts, regulatory changes to UK subsidy indexation, and the previously announced tax review. Nonetheless, the fund delivered EBITDA of £112.2 million, maintained disciplined cost control, and increased the proportion of contracted revenues.

Dividend and shareholder returns

2025 dividend: 8.10p per share
2026 target dividend: 8.10p
Dividend cover 2025: 1.3x
Estimated cover 2026: 1.1x
Dividend yield: 12.6% (based on Dec‑2025 share price)
Total dividends since IPO: £396.6m
Share buybacks in 2025: 14.6m shares, delivering NAV accretion

Shareholder returns remained a priority. FSFL met its 8.10 pence per share dividend target for the year, supported by 1.3x dividend cover, and continued its significant buyback programme, repurchasing 14.6 million shares at a discount to NAV to enhance value. The Company has now returned more than £396 million to shareholders since IPO.

Strategic actions

Reduced investment management fees (annual saving £1m+)
Expanded buyback programme (up to £60m)
Progressed divestment programme (75 MW of operational solar; Australian exit paused)
Continued capital recycling strategy to fund development without issuing new equity
Strengthened RCF (reduced to £100m; extended to 2028; saves £1m over the tenure of the facility)

Strategically, FSFL made further progress in reshaping the portfolio for long‑term growth. The development pipeline now stands at 989 MWp, with continued momentum across UK and European solar and battery storage opportunities. The Board also advanced its divestment programme, prepared additional assets for sale, and reinforced the balance sheet by reducing and extending the revolving credit facility – securing cost savings and increasing financial resilience.

Sustainability highlights (as at 31 December 2025)

100% EU taxonomy alignment
Clean electricity generated: 1,038 GWh
359,880 tCO₂e emissions avoided
381,748 UK homes powered
0.10 tCO₂e/£m invested carbon footprint
94% of consumed energy from renewables
Community contributions: £254k
Biodiversity Net Gain initiatives active across 13 UK sites
Independent reasonable assurance obtained for sustainability KPIs

Sustainability continued to underpin the Company’s activities. FSFL has 100% EU taxonomy alignment, delivered measurable community benefits, and advanced biodiversity enhancement plans across priority UK sites. Independent assurance was also obtained for key sustainability data, strengthening reporting integrity.

Outlook 
Sector fundamentals remain strong:
Demand for energy security and affordability.
Growth of solar + BESS.
Policy support in the UK and Europe.

Core priorities
Reduce the share price discount.
Strengthen dividend cover.
Advance proprietary development pipeline (~1 GW; target up to 3 GW).
Continue strategic asset sales and capital recycling.

Looking ahead, the Board remains focused on addressing the sector‑wide discount to NAV, improving dividend cover, and progressing the capital recycling strategy. With supportive long‑term fundamentals for solar and storage, a growing development pipeline, and a strong operational platform, FSFL enters 2026 well positioned to create value through a balanced income‑and‑growth approach.

Download the full Foresight Solar – Full‑Year Results 2025 (PDF)
Published: 24 March 2026 – 160 pages – Contains full financial statements, KPIs, portfolio tables, sustainability disclosures.