What Happened to Drax Group plc Shares on 13 November 2026?

Drax Group plc (LSE:DRX) shares eased 0.12% to 853p on 13 November 2026. The UK renewable power group was in focus after publishing results for the six months ended 30 June 2026 on 30 July 2026.

The update emphasised energy security, Investment in flexible generation and an increased Dividend outlook.

The group's pellet Business supplies biomass to Drax Power Station, linking its Supply chain with generation.

Key Highlights

Adjusted EBITDA was £279m, profit before tax was £222m and adjusted Basic Earnings Per Share were 29.8p. The Interim Dividend was increased to 12.9p per share, and the group expects a full-year dividend of 32.2p compared with 29.0p for 2025, an increase of around 11%.

Net Debt was £1,025m, or 1.3 times EBITDA, below the group's long-term target of around two times. Chief Executive Will Gardiner said Drax delivered a good performance in the first half.

About Drax Group plc

Drax Group is a UK-based renewable energy group with three main activities: Pellet Production, Generation and Customers. Drax Power Station supplies around 6% of UK power and about 10% of UK renewable electricity.

The group is also investing in flexible generation, battery energy storage and solar and wind assets.

2029 EBITDA Target

The group raised its 2029 adjusted EBITDA target to between £650m and £800m once its battery energy storage developments are fully operational. The increase of £50m to £100m reflects the expected contribution from battery storage.

The target excludes further battery, solar and wind development Options that the group is assessing.

Capacity Under Management

Drax expects its portfolio to reach 6.1GW of capacity under management during 2026, up from 4GW at the end of 2025. This includes 0.9GW of solar and wind and a 2.9GW pipeline of battery storage and solar.

Around 0.5GW of the solar pipeline is supported by a 15 to 20 year contract for difference.

Drax Power Station

The group is assessing options to use 4GW of grid access capacity at the Drax Power Station site. The station also provides non-generation ancillary services, operating for more than 440 hours in June 2026 in that role.

A low-carbon dispatchable contract for difference for the power station was signed in 2025.

FY25 Reference Points

For 2025, adjusted EBITDA was £947m, and net debt to adjusted EBITDA was 0.8 times. Pellet production reached a record 4.2 million tonnes, and the full-year dividend rose 11.5% to 29.0p.

The group also committed around £0.5bn to 710MW of battery storage developments and the Flexitricity acquisition.

Understanding Flexible Generation and BESS

Flexible generation covers Assets that can increase or reduce output quickly to balance the grid, while battery energy storage systems store power when supply is plentiful and release it when Demand is high. These assets can earn Revenue from grid balancing services.

Net debt to EBITDA shows borrowings relative to earnings and is a common measure of Balance Sheet capacity.

Why the Update Matters for the Sector

Power generators are followed for how they balance existing assets with investment in new low-carbon and flexible capacity. Drax's plans illustrate how a generator is broadening its portfolio.

Energy security and grid flexibility remain central topics for the UK power market.

Key Growth Catalysts

Battery storage, solar and wind development and flexible generation give the group several routes to build earnings. The raised 2029 target provides a reference for the investment programme.

Factors to Monitor

Power prices, regulation and construction timelines can influence results, and the second half of the year includes weighted production. Currency movements also affect reported figures.

What Investors Should Watch Next

Investors may wish to follow progress on battery storage commissioning, the full-year results, dividend announcements and updates on the Drax Power Station site.

Conclusion

Drax Group plc (LSE:DRX) eased 0.12% to 853p on 13 November 2026. Drax reported a good first half, an increased dividend outlook and a raised 2029 EBITDA target tied to battery storage. Full-year results are the next detailed update.