Foresight Environmental Infrastructure Limited GBP · LSE:FGEN
Foresight Environmental Infrastructure Limited GBP — John Laing Environmental Assets Group — FY2016 Earnings Presentation
18 slides from Foresight Environmental Infrastructure Limited GBP's earnings presentation, Jun 17, 2016
Slide 1: Results for the year ended 31 March 2016
John Laing Environmental Assets Group Limited Results for the year ended 31 March 2016 17 June 2016
Slide 2: Overview of JLEN
2 Overview of JLEN • Diversified portfolio of environmental infrastructure projects - long-term, predictable, wholly or partially inflation linked cash flows Investment profile • Invest in operational projects with well-established technologies and demonstrable track record of operational performanc
Slide 3: Highlights
3 Highlights • NAV per ordinary share of 96.7 pence (2015: 101.2pence) – ex-dividend reduction from 98.2 pence to 95.2 pence per share reflecting primarily a reduction in forecast electricity prices • Portfolio value of £264.5m (2015: £197.7m) • Five acquisitions totalling £75.5m, bringing number of
Slide 4: Portfolio overview as at 31 March 2016
4 Portfolio overview as at 31 March 2016 Waste & wastewater management 1) Tay – 33%, PFI for Scottish Water 2) D&G – 80%, PFI for Council 3) ELWA – 80%, PFI for Waste Authority 1 Wind 4 2 4) Carscreugh – 100%, 15MW ROC 5) Hall Farm – 100%, 25MW ROC 6) Bilsthorpe – 100%, 10MW ROC 7) Castle Pill – 100
Slide 5: Portfolio analysis at 31 March 2016
5 Portfolio analysis at 31 March 2016 ¹Based on project revenues from volumes/generation during the year and assumes project cash flow distributions reflect revenue spilt at each project.
Slide 6: Portfolio performance
6 Portfolio performance • Good availability across all asset classes • Renewable energy generation in line with expectations • Waste and wastewater volumes on or above budget – ELWA contract performance maintained, with full operations due to be resumed in late June 2016 • Continued pressure during
Slide 7: Balance sheet
7 Balance sheet Summary – Investment basis 31 March 2016 31 March 2015 (£m) (£m) Portfolio valuation 264.5 197.7 Cash 6.2 8.6 Net debtors/(creditors) 1.0 (0.7) Revolving credit facility (54.8) (43.7) Net assets 216.9 161.9 Number of shares in issue 224,356,435 160,000,000 Net asset value per share 9
Slide 8: Portfolio valuation movements
8 Portfolio valuation movements Year ended 31 March 2016
Slide 9: Portfolio valuation – key assumptions
9 Portfolio valuation – key assumptions • Generation – assumes base case of “P50” level of power output for renewable assets • Electricity prices for the next 2 years fixed prices or short term market forward prices (average £37MWh for winter season and £32MWh for summer) then central case forec
Slide 10: Sensitivity analysis
10 Sensitivity analysis Impact on NAV At 31 March 2016 Discount rate (+/- 0.5%) £(10.3m) £10.9m Energy Yield (P90/P10) £(21.6m) £21.7m Electricity price (-/+ 10%) £(9.6m) £9.5m £(10.9m) £11.5m Inflation rate (-/+ 0.5%) -20p -15p -10p -5p p 5p 10p 15p 20p NAV per share
Slide 11: Group cash flow
11 Group cash flow Year ended 31 March 2016 £m Cash at 31 March 2015 8.6 Net share issue proceeds 63.8 Acquisition of investment assets (75.7) Borrowings under credit facility 11.1 Distributions from projects 18.6 Operating and other costs (4.4) Acquisition costs (0.8) Dividends paid (15.0) Cash at
Slide 12: Funding
12 Funding • £65m revolving credit facility facility increased from £50m to £65m in March 2016 £54.8m drawn at 31 March 2016, partially repaid from proceeds of post year- end equity raise in May 2016 • Project-level gearing across portfolio 43.6% (2015: 47.3%) renewable energy assets 27.1% (20
Slide 13: Conclusion
13 Conclusion • Continue to deliver on promises at IPO • Overall performance demonstrates benefits of a diversified portfolio in managing operational risks • Successful equity fund raise in July 2015 raising £65m, with further £35m raise post year end • Revolving credit facility increased from £50m
Slide 14: Q&A
Q&A JLEN
Slide 15: Appendices
15 JLEN Appendices
Slide 16: Fund Governance and Terms
16 Fund Governance and Terms • Domiciled in Guernsey The Fund • Independent Board of Directors • Chapter 15, premium listing on LSE • John Laing Capital Management Limited Investment • FCA authorised and regulated Adviser • Advisers dedicated to the fund and highly experienced • Monitors and reviews
Slide 17: Investment Policy
17 Investment Policy JLEN’s investment policy is to invest in Environmental Infrastructure projects that have the benefit of long-term, predictable cash flows Sector • Environmental Infrastructure projects that utilise natural or waste resources or support more environmentally-friendly approaches to
Slide 18: Disclaimer
18 Disclaimer This document contains information provided solely as an update on the financial condition, results of operations and business of John Laing Environmental Assets Group Limited ("JLEN"). Nothing in this document or in any accompanying management discussion of this document constitutes,
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