Publication of monthly factsheet

Utilico Emerging Markets Trust PLC

12 January 2026

 

12 January 2026

UTILICO EMERGING MARKETS TRUST PLC

(LEI Number: 2138005TJMCWR2394O39)

Publication of monthly factsheet

The latest monthly factsheet for Utilico Emerging Markets Trust plc ("UEM" or the "Company") will shortly be available through the Company's website at:

https://www.uemtrust.co.uk/investor-relations/factsheet-archive

Monthly commentary

PERFORMANCE

In December, UEM's NAV total return continued its positive trend, up by 0.6% for the month although underperformed the MSCI Emerging Markets total return Index which was up 1.3% in Sterling terms. The MSCI EM Index benefitted during the month from the recovery in technology focused AI driven stocks which has witnessed some retreat in November.

Most markets ended the year on an encouraging upward trend, reacting positively to the widely expected US Federal Reserve's 25bps interest rate cut - the third and final of 2025. Further support for the markets arose as cooler US CPI inflationary data and an uptick in the US unemployment rate increased expectations of additional US rate cuts in 2026; albeit US economic data continues to send mixed signals, with 3Q25 GDP ahead of forecast at 4.3%. The S&P 500 Index and the Nasdaq Index were both muted, down 0.1% and 0.5% respectively.

Within the Asian emerging markets, strength of performance was mixed. The Korean Kospi Index was the outperformer, up by 7.3% during the month, driven by the renewed focus on AI / tech stocks and the Vietnam Ho Chi Minh Index was up by 5.5% continuing its upward trend, with an improvement in foreign buying sentiment. In China, the Shanghai Composite Index was up by 2.1%, helped by indications that deflationary pressures are easing, whilst the Hang Seng Index was down by 0.9%. Elsewhere in the region the Indonesian JCI Index was up by 1.6% and the Indian Nifty Index underperformed, down by 0.3%.

Turning to Latam, the Chilean IPSA Index outperformed, up by 3.5%, with December marking a decisive turning point. Politically, there was a clear shift to the right wing under the election of Jose Antonio Kast, and economically the central bank cut rates after months of pausing, as inflation fell faster than expected. The Brazilian Ibovespa Index was up by 1.3% as market momentum continues ahead of the expected interest rate cuts in 1Q26 and Mexico's Bolsa Index was up 1.1%.

Central Eastern Europe witnessed a strong month, with the Romanian market continuing to re-rate, up by 7.0% as investors gain confidence in the government's plans to reduce the fiscal deficit. Poland's WIG Index was also up 4.8% as market sentiment improved.

PORTFOLIO

There were two changes to the top thirty holdings in December, with Public Power Corp ("PPC") replacing Helios Towers and Motiva Infraestrutura ("Motiva") replacing Kenya Electricity Generating Company.

PPC is Greece's largest integrated power utility. It has 12.5GW of installed power generation capacity across Southeast Europe and is the leading energy supplier in Greece and Romania, servicing around 8.7m customers in total. During the month, PPC's share price increased by 4.5%.

Motiva is a leading Brazilian infrastructure operator, owning twelve toll road concessions totalling c.4,475km and operating five urban mobility concessions, transporting around 3.0m passengers per day.

Significant share price moves during the month were Kinx, up by 16.4%, after the announcement of a major new contract and further buying from US Fund Miri Capital Management, who have increased their stake to 12.42% and also have a material position in Kinx's parent company Gabia. Telelink's share price was up by 16.4%, on the back of strong Q3 results as well as a proposed company buyback program. Orizon's share price was up 9.1% as it announced a major acquisition that will meaningfully increase its collected waste volumes and strengthen Orizon's pipeline for future biomethane projects. ICT's share price was up by 4.5% during the month, as the container port operator signed a 25 years partnership contract with Transnet to develop and operate Durban Container Terminal Pier 2 in South Africa. Other significant performers for the month were two airports, TAV and GAP, up by 7.5% and 6.7% respectively and Manila Water's share price was up by 5.1%.

Share price weakness in the portfolio was again seen with SUNeVision, down by 10.5% as the market waits for an update on the utilisation of new capacity brought online. Anhui Expressway's share price was down by 6.5% due to investors' portfolio reallocation at the end of the year and on the back of the increase in the Japanese interest rate during the month attracting capital. Alupar's share price was also down by 6.2% and Motiva by 5.7% in December.

Portfolio purchases amounted to £7.3m and total realisations were £9.0m.

DEBT

UEM's total debt exposure in Sterling terms went from £16.8m to £16.6m, with the loans outstanding being EUR 7.5m and USD 13.5m.

OTHER

UEM's share price ended the month at 269.00p with the discount to NAV narrowing from 10.8% to 10.2%.

UEM bought back 80,000 shares at an average price of 269.67p in the month taking the total number of shares bought back since its year end to 8.2m shares, equivalent to 4.4% of its share capital as at 31 March 2025.

UEM paid its second quarterly dividend of 2.42p per ordinary share in respect to the year ending 31 March 2026, on 23 December 2025 to shareholders that were on the register on 5 December 2025.

On 4 December 2025, UEM joined the FTSE 250 Index, one of the UK's main stock market indices which consists of the 101st to the 350th largest companies listed on the London Stock Exchange.

UEM's gross income earned in the nine months to 31 December 2025 rose to £25.1m from £20.4m as at 30 November 2025. Due to a change in Brazil to withholding tax rates on dividends paid to non-residential shareholders and certain Brazilian-residential individuals, effective on 1 January 2026, a number of Brazilian listed companies brought forward their ex-dividend dates and have looked to distribute any excess cash. UEM therefore has seen an increase in income from some of its Brazilian investments over the period.

Name of contact and telephone number for enquiries:

ICM Investment Management Limited                                 [phone]

Charles Jillings, Jacqueline Broers, Alastair Moreton

Montfort Communications

Gay Collins, Alex Everett                                                       [phone]

[e-mail]

 

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