**Summary of UIL Limiteds Annual Financial Report for the Year Ended 30 June 2025**
**Financial Highlights**
**Revenue Earnings per Share** Increased to 11.91p from 10.15p in 2024.
**Dividends per Share** Maintained at 8.00p, consistent with 2024.
**Net Asset Value (NAV) Total Return** Improved to 14.7% from -15.3% in 2024.
**Share Price Total Return** Rose to 22.5% from -24.8% in 2024.
**NAV Discount** Narrowed to 34.2% from 36.9% in 2024.
**Gearing** Reduced to 48.5% from 73.6% in 2024.
**Strategic Initiatives**
1. **Simplification of Group Structure** UIL increased its stake in Zeta Resources Limited to 100%, simplifying the group structure.
2. **Dividend Policy** Quarterly dividends of 2.00p per share were maintained, with three already paid and the fourth declared.
3. **Share Buybacks** UIL bought back 0.5 million ordinary shares at an average price of 111.67p.
4. **Liquidity for Minority Shareholders** A £4.0m facility was established to purchase shares at a 20% discount to NAV, providing liquidity for minority shareholders.
5. **ZDP Redemption** The 2024 ZDP shares were redeemed at a cost of £41.5m, with plans to redeem the remaining ZDP issues in 2026 and 2028.
6. **Privatization Plan** Following the 2028 ZDP redemption, UIL intends to provide an exit opportunity for minority shareholders at a share price close to NAV and take the company private.
**Portfolio Performance**
**Zeta Resources** UIL acquired the remaining shares of Zeta Resources, achieving 100% ownership. Zeta Resources made significant distributions to UIL, including a capital distribution of £20.7m and a dividend of £11.0m.
**Kumarina Resources** The gold mining project in Western Australia showed a 131.0% valuation gain, becoming cash positive and profitable.
**Horizon Gold** Raised funds for feasibility studies and exploration, with UIL remaining optimistic about its potential.
**Allectus Quantum** Continued progress in quantum computing, partnering with Nvidia and Imec.
**Financial Position**
**Net Assets** Increased by £29.1m to £166.6m, driven by successful returns and share issuances.
**Debt Reduction** Gearing decreased significantly due to reduced ZDP shares and increased assets.
**Revenue and Earnings** Revenue income rose to £13.6m, with EPS increasing to 11.91p.
**Governance and Outlook**
**Board Changes** Alison Hill stepped down from the Board, with no replacement planned to minimize costs.
**Outlook** Despite global challenges, UILs eclectic portfolio is expected to perform well, with a focus on high-conviction investments.
**Conclusion**
UIL Limited demonstrated strong financial performance in FY 2025, with significant improvements in NAV, share price returns, and gearing. Strategic initiatives aimed at simplifying the structure, providing liquidity, and eventually privatizing the company are well underway. The portfolios diverse investments, particularly in gold and quantum computing, position UIL for continued growth despite global uncertainties.