The DRAX Group Board proposes to pay a final dividend in respect of 2020 of £41 million, equivalent to 10.3 pence per share, making the full year 2020 dividend £68 million (17.1 pence per share) (2019: £63 million, 15.6 pence per share). This represents a 7.5% increase on 2019 and is consistent with their policy to pay a dividend which is sustainable and expected to grow as the strategy delivers stable earnings, strong cash flows and opportunities for growth.
Other financial highlights include:
Adjusted EBITDA from continuing and discontinued operations up £2 million to £412 million (2019: £410 million)
- Includes estimated impact of Covid-19 of £60 million, principally SME customers
- Strong performance in Pellet Production and Generation
Strong cash generation and balance sheet
- 1.9 x net debt to Adjusted EBITDA, with £682 million of cash and committed facilities at 31 December 2020
- New carbon-linked RCF, Eurobond and infrastructure facilities with maturities to 2030 and reduced cost of debt