REG - Foresight Group Hldg - Full year results for the year ended 31/03/2025

Foresight groupAnnouncement

26/06/2025 07:00

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RNS Number : 4597O  Foresight Group Holdings Limited  26 June 2025

LEI: 213800NNT42FFIZB1T09

26 June 2025

 

FOR THE PURPOSES OF THE MARKET ABUSE REGULATION (EU) 596/2014 WHICH IS PART OF
UK DOMESTIC LAW PURSUANT TO THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS
(SI 2019/310)

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION. FOR IMMEDIATE RELEASE

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, CANADA, NEW ZEALAND, THE REPUBLIC OF SOUTH AFRICA, JAPAN OR ANY MEMBER STATE OF THE EEA OR ANY OTHER JURISDICTION IN WHICH THE PUBLICATION, DISTRIBUTION OR RELEASE OF THIS ANNOUNCEMENT WOULD BE UNLAWFUL

 

 

 

 

 

Full year results for the financial year ended 31 March 2025

(Over £1.1 billion of long duration capital)( 1 ) (raised organically)

 

Foresight Group Holdings Limited ("Foresight", the "Group") is a leading
international investment manager offering institutional and retail investors a
diverse range of private and listed investment solutions in real assets
located in the UK, Europe and Australia, and growth capital for SME businesses
across the UK and Ireland.

 

The Group is pleased to announce its full year results for the financial year
ended 31 March 2025 ("FY25", "the period").

 

Financial and Operational Highlights

 

                                              31 March 2025    31 March 2024    Change
 Year-end AUM (£m)                            13,195           12,144           +9%
 Year-end FUM (£m)                            9,559            8,397            +14%
 Total Revenue (£m)                           154.0            141.3            +9%
 Recurring Revenue (% of Total)               86.6%            86.6%            0 pts
 Core EBITDA pre-SBP (£m)                     62.2             59.3             +5%
 Core EBITDA pre-SBP margin (%)               40.4%            42.0%            -1.6 pts
 Adjusted basic earnings per share (pence)    40.8p            38.6p            +6%
 Dividend per Share (pence)                   24.2p            22.2p            +9%

 

AUM/FUM

 

Assets under Management ("AUM") and Funds under Management ("FUM") increased
by 9% and 14% to £13.2 billion and £9.6 billion respectively (FY24: £12.1
billion AUM and £8.4 billion FUM). On a constant currency basis, AUM
increased to £13.5 billion, with FUM at £9.7 billion.

 

·      Record fundraising of £587 million in higher margin retail
vehicles, up 35% (FY24: £436 million), that drive investment into UK SMEs

 

·      A growing investor and investment pipeline for Foresight Energy
Infrastructure Partners II SCSp ("FEIP II") is supporting the fund's progress
towards achieving at least the €1.25 billion final target, with €485
million commitments approved to date

 

·      The launch of two new institutional regional private equity funds
further consolidates the Group's excellent coverage of the UK and Ireland,
with 15 active funds and £112 million raised in FY25

 

·      Overall, Foresight Capital Management's ("FCM") AUM increased by
£457 million comprising strategic (activity)( 2 ) that increased FCM's AUM by
£744 million and net outflows of £(246) million as listed markets continued
to experience headwinds

 

 

Profitability

Core EBITDA pre-SBP grew by 5%, with strong FY25 fundraising driving a 9%
increase in revenue.

Short term margin compression was the result of adding additional costs across
our investment, asset management and central teams to support current
fundraising activity. We expect to deliver margin expansion over the guidance
period as the business continues its strong growth trajectory.

High quality revenue visibility was also maintained, with recurring revenue
within our target range of 85-90% and long duration capital over 90% of AUM.

 

Capital Allocation

To reflect this year's increase in core EBITDA pre-SBP, and the Group's high
levels of cash generation, the Board is recommending the payment of a 16.8p
final dividend, being a 9% year on year increase in the total dividend to
24.2p (FY24: 22.2p). The final dividend will be paid on 3 October 2025 with an
ex-dividend date of 18 September 2025 and a record date of 19 September 2025.

 

In combination with the share buyback programme, of up to £50 million, which
commenced in April, the Group currently intends to continue to return
substantially all free cash flow to shareholders.

 

 

Current Trading

 

Post period end, AUM and FUM increased to c.£13.4 billion and c.£9.7 billion
respectively 3 , with a strong quarter for tax efficient retail fundraising
more than offsetting listed market net outflows. The Group also launched a new
business relief product that facilitates access to private credit for UK SMEs
and leverages Foresight's experience across over £300 million of private
credit investments.

 

In addition, FEIP II and Foresight's existing business relief product
completed the joint £210 million acquisition of Harmony Energy Income Trust
plc ("HEIT"), with HEIT's battery energy storage systems portfolio highly
complementary to both funds' strategic mandates. This acquisition represents a
significant milestone for FEIP II as the fund's first investment following
successful FY25 fundraising and provides a platform for FEIP II to deliver
further fundraising and deployment in FY26.

 

Our Australian business also recently agreed the sale of one of its major
investments in leading independent power producer Zenith Energy. Under
Foresight's ownership, Zenith has experienced significant growth, from
approximately 252MW of contracted Build Own Operate capacity at the time of
acquisition, to more than 710MW contracted capacity across 15 sites. The sale,
at a valuation materially above the fund's prior holding value for the asset,
adds to the strong investment track record of our Australian team.

Appointment of Chief Executive Officer ("CEO")

 

The Foresight Board is today pleased to announce the appointment of Gary
Fraser as Group CEO with immediate effect, with Bernard Fairman remaining as
Executive Chairman. This appointment follows the pivotal role that Gary has
played in shaping and executing the ongoing delivery of the Group's strategy
during his over 20 years at Foresight. The requisite CFO skillset will remain
on the Board with Gary until a new CFO is appointed.

 

Bernard Fairman, Executive Chairman of Foresight Group Holdings Limited,
commented:

 

"The strong financial performance and strategic progress made in FY25 have
enabled the Group to extend its track record of profitable growth.

 

"Global decarbonisation, increasing electricity consumption as technological
advancement transforms economies, national efforts to increase energy security
and the enduring funding gap for SMEs are long-term structural trends which
make Foresight's expertise more relevant than ever.

 

"Valuations in recent private market transactions continue to demonstrate
strong investor appetite for energy infrastructure exposure, supporting our
confidence that as we deliver against our medium-term guidance, our
shareholders will benefit from the narrowing of what we believe to be an
unjustified valuation gap. Our strong pipeline and continued fundraising
across our diversified channels will add scale and enables us to maintain our
guidance to double core EBITDA pre-SBP in the five years to FY29."

 

Annual Report

 

A copy of the FY25 Annual Report has been submitted to the National Storage
Mechanism and will shortly be available at
https://data.fca.org.uk/#/nsm/nationalstoragemechanism
(https://data.fca.org.uk/#/nsm/nationalstoragemechanism) .

 

In accordance with DTR 6.3.5(1A), the unedited full text of the regulated
information required to be made public under DTR 4.1 is contained within the
Annual Report.

 

The Annual Report is also available on the Group's website at FY25 Annual
Report (https://fghl-ar-online-summary.foresightgroup.eu/) where further
information on Foresight can be found.

 

Analyst Presentation

 

Foresight's management team is hosting a virtual analyst presentation followed
by Q&A at 9.00 a.m. BST today, Thursday 26 June 2025. It will be hosted by
Bernard Fairman (Executive Chairman) and Gary Fraser (CEO). Those wishing to
join the webcast should register here
(https://sparklive.lseg.com/FORESIGHTGROUPHOLDINGSLIMITED/events/6f58b600-2ff1-4db2-8b59-08c5b7a59b4d/foresight-group-full-year-results-presentation-year-ended-31-march-2025)
.

 

A recording of the presentation will be made available on the Group's website
shortly after the event.

 

Retail Investor Presentation via Investor Meet Company

 

Foresight is also hosting an investor presentation via Investor Meet Company
on Monday 30 June 2025 at 10:00 BST. The presentation is open to all existing
and potential shareholders and will be hosted by Gary Fraser (CEO). Questions
can be submitted pre-event via the Investor Meet Company dashboard up until
Friday 27 June at 17:00 BST, or at any time during the live presentation.

 

Investors can sign up to Investor Meet Company for free and register to meet
Foresight via:
https://www.investormeetcompany.com/foresight-group-holdings-limited/register-investor
(https://www.investormeetcompany.com/foresight-group-holdings-limited/register-investor)
.

 

Investors who already follow Foresight on the Investor Meet Company platform
will automatically be invited.

 

 

                                                      H-Advisors Maitland

 Foresight Group Investors
 Liz Scorer / Ben McGrory                             Sam Cartwright
 +44 (0) 7966 966956 / +44 (0) 7443 821577            +44 (0) 782 725 4561
 ir@foresightgroup.eu (mailto:ir@foresightgroup.eu)   Foresight@h-advisors.global (mailto:Foresight@h-advisors.global)

 

About Foresight Group Holdings Limited

Founded in 1984, Foresight is a leading investment manager in real assets and
capital for growth, operating across the UK, Europe, and Australia.

With decades of experience, Foresight offers investors access to attractive
investment opportunities at the forefront of change. Foresight actively builds
and grows investment solutions to support the energy transition, decarbonise
industry, enhance nature recovery and realise the economic potential of
ambitious companies.

A constituent of the FTSE 250 index, Foresight's diversified investment
strategies combine financial and operational skillsets to maximise asset value
and provide attractive returns to its investors. Its wide range of private and
public funds is complemented with a variety of investment solutions designed
for the retail market.

Visit https://foresight.group (https://www.foresight.group/) for more
information.

Follow us on LinkedIn for key updates.

 

 

 

 

Disclaimer - Forward-looking statements

 

This announcement, prepared by Foresight Group Holdings Limited (the
"Company"), may contain forward-looking statements about the Company. Such
forward-looking statements can be identified by the use of forward-looking
terminology, including the terms "believes", "projects", "estimates", "plans",
"anticipates", "targets", "aims", "continues", "expects", "intends", "hopes",
"may", "will", "would", "could" or "should" or, in each case, their negative
or other various or comparable terminology. Forward-looking statements involve
known and unknown risks, uncertainties, assumptions and other factors which
are beyond the Company's control and are based on the Company's beliefs and
expectations about future events as of the date the statements are made. If
the assumptions on which the Company bases its forward-looking statements
change, actual results may differ from those expressed in such statements.
There are a number of factors that could cause actual results and developments
to differ materially from those expressed or implied by these forward-looking
statements, including those set out under "Principal Risks" in the Company's
annual report for the financial year ended 31 March 2025. The annual report
can be found on the Company's website (https://www.foresightgroup.eu/).
Forward-looking statements speak only as of the date they are made. Except as
required by applicable law and regulation, the Company undertakes no
obligation to update these forward-looking statements. Nothing in this
announcement should be construed as a profit forecast.

 

 1  Defined as closed ended funds.

 2  Acquisition of the trade and assets of WHEB Asset Management LLP on 5
March 2025 and appointment as sub-investment manager and sub-distributor for
the Liontrust Diversified Real Assets fund on 27 January 2025.

 3  As at 16 June 2025. Unaudited and subject to change.

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