Stock Markets March 31, 2026

3i Infrastructure Says Portfolio Performance Keeps It on Track for FY26 Return Goal

Company expects 8-10% portfolio return, confirms dividend target and reports pro-forma net cash after TCR sale and new datacenter investment

By Caleb Monroe
3i Infrastructure Says Portfolio Performance Keeps It on Track for FY26 Return Goal

3i Infrastructure PLC reported a performance update covering October 1, 2025 to March 30, 2026, saying the portfolio remains on track to deliver an 8-10% return for the full year. Several assets outperformed expectations while others lagged; the company extended its revolving credit facility and, following the receipt of sale proceeds and a new investment, reported a pro-forma net cash position of about 201 million, and it reaffirmed a FY26 dividend target of 13.45 pence per share, expected to be fully covered despite a DNS:NET write down.

Key Points

  • 3i Infrastructure reports the portfolio remains on course to deliver an 8-10% return for the full year, covering the period Oct 1, 2025 to Mar 30, 2026 - impacts investors in infrastructure-focused funds and listed infrastructure securities.
  • Several assets outperformed: FLAG showed strong demand for subsea connectivity supported by AI workloads, Infinis exceeded EBITDA expectations, and Future Biogas performed well - relevant to telecoms and energy sectors.
  • The company extended its revolving credit facility, exercised a 00 million accordion and extended the base facility to June 2029; pro-forma net cash is about 01 million.

3i Infrastructure PLC provided a mid-year performance update for the period from October 1, 2025 to March 30, 2026, reporting that the portfolio is positioned to achieve the firms full-year return target of 8-10%.

Portfolio movers and performance highlights

The update named a number of portfolio companies driving results. FLAG delivered strong performance during the period, with demand for subsea connectivity described as supported by AI workloads. Infinis reported EBITDA ahead of the expectations set in September 2025. Future Biogas also performed well and is noted as potentially benefiting from higher gas prices.

Joulz completed two bolt-on acquisitions in the period, which increased its EBITDA by approximately 70% and represent a notable step in the businesss strategy to expand into new EU markets. Tampnet performed in line with expectations and is continuing to secure new fibre connection contracts in additional geographies.

Not all holdings met expectations. SRL performed below forecast and the company has initiated a management transition, having recruited a new CEO and CFO, and launched a review of its cost base. Ionisos came in slightly below expectations after delays to two growth projects. ESVAGT was affected by a delay in the delivery of a new build SOV.


Financing and cash position

3i Infrastructure has taken steps to extend its financing flexibility. It exercised a 00 million accordion on its revolving credit facility to bridge proceeds from the sale of TCR, and extended the base 00 million facility by one year to June 2029. Drawings on the combined .2 billion facility stood at 44 million.

Following receipt of the proceeds from the TCR sale and the new investment in Lefdal Mine Datacenter, the company said its pro-forma net cash position is approximately 01 million.


Dividend outlook

The company reaffirmed a FY26 dividend target of 13.45 pence per share and stated it expects this dividend to be fully covered despite a write down related to DNS:NET.

This update outlines where specific portfolio companies are driving returns, where operational or delivery issues have constrained performance, and how financing moves have been used to manage liquidity through the period.

Risks

  • SRL underperformed expectations and is undergoing a management transition with a new CEO and CFO and a cost-base review - operational risk affecting the services or utilities sector.
  • Delays in projects at Ionisos and the late delivery of a new build SOV for ESVAGT have restrained performance - execution and delivery risk in industrial and maritime services.
  • A write down related to DNS:NET is noted; while the dividend is expected to be fully covered, such impairments can affect reported earnings and capital allocation decisions - financial reporting risk for investors.

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