Stock Markets March 5, 2026

Foresight Solar Fund posts 99.2p NAV after tax review and operational adjustments

Quarterly NAV hit by tax review and curtailment forecasts, partly offset by lifecycle investments, higher yields and buybacks

By Maya Rios
Foresight Solar Fund posts 99.2p NAV after tax review and operational adjustments

Foresight Solar Fund reported a net asset value per share of 99.2p as of December 31, 2025, with a NAV total return of -0.9% for the fourth quarter. The result reflects a 5.4% reduction tied to a tax review and a series of other negative adjustments, which were partially offset by gains from asset life extensions, higher energy yield forecasts, lifecycle investments and share buybacks.

Key Points

  • NAV per share of 99.2p as of December 31, 2025, with a NAV total return of -0.9% for Q4.
  • Largest NAV reduction from a tax review (-5.4%); other negative impacts include capture price discounts, subsidy rebasing, Australian curtailment and power price forecast changes.
  • Offsets included asset life extensions and lifecycle investments (+4.7%), higher yield forecasts (+3.8%), time value and project actuals (+1.5%), Sandridge BESS commissioning (+0.4%), and share buybacks (+0.2%).

Foresight Solar Fund Limited reported a net asset value (NAV) per share of 99.2p at the close of business on December 31, 2025, producing a NAV total return of -0.9% for the fourth quarter.

The quarter’s NAV performance was driven by a number of distinct factors. The single largest negative impact was the outcome of a previously disclosed tax review, which reduced NAV by 5.4%.

Additional downward adjustments included:

  • higher capture price discounts forecasted at -1.9%;
  • the effect of subsidy RPI/CPI rebasing at -1.7%;
  • Australian curtailment at -1.4%;
  • and changes to power price forecasts together with other movements at -1.2%.

These negative elements were offset in part by positive contributions recorded in the quarter. Asset life extensions and lifecycle investments collectively added 4.7% to NAV. Stronger-than-expected energy yield forecasts contributed 3.8%, while time value net of project actuals added 1.5%. The commissioning of the Sandridge battery energy storage system (BESS) provided a 0.4% uplift and ongoing share buybacks added 0.2%.

An independent portfolio assessment led to a 2.8% increase in the forecast for UK annual production. In setting operational assumptions going forward, the company now expects most UK sites to operate for the shorter of their planning expiry or 40 years.

On generation outcomes, global output came in 1.3% below the fund’s base case, principally because of curtailment in Spain and Australia. By contrast, the UK portfolio outperformed budgeted expectations, with electricity production 3.4% above budget.

For the year, dividend cover reached 1.3x. The fund has deployed nearly almost £55m of its \u00A0of a \u00A0£60m commitment.

Finally, the report disclosed the overall valuation point for the UK portfolio: \u00A0stood at \u00A0\u00A0\u00A0\u00A0\u00A0\u00A0\u00A0970,000 per MW as of December 31, 2025.

Risks

  • Tax review outcomes that materially reduce NAV, affecting investor returns and valuation - impacts financial and renewable investment sectors.
  • Curtailment in international markets (Spain and Australia) leading to lower global generation relative to base case - impacts power generation and merchant revenue assumptions.
  • Changes to power price forecasts and subsidy indexation (RPI/CPI rebasing) that negatively influence NAV and future cash flows - impacts energy price-sensitive assets and investor valuations.

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