SSE shares rise on strong half-year results

Investing.com -- Shares of SSE plc (LON:SSE ) rose on Wednesday after it delivered strong half-year results, reporting adjusted EPS of 49.8p, surpassing its earlier guidance of at least 45p. 

SSE has also reaffirmed its full-year EPS target and is maintaining guidance for adjusted EPS between 175-200p by FY27.  

The energy giant remains on track with its £20 billion clean energy investment program, having spent £1.3 billion in capex so far this fiscal year. 

Net debt stands at £9.8 billion, with the company projecting capital expenditure of around £3 billion in FY25. Despite the high spending, SSE expects its net debt-to-EBITDA ratio to stay at the lower end of the 3.5-4.0x range.  

The company’s Networks division was a key driver of growth, with EBIT rising 50% to £504 million. SSEN Distribution contributed £346.3 million, a 188% surge, as inflation adjustments boosted revenues. 

Meanwhile, the Transmission segment faced a 27% drop in EBIT due to the impact of capital allowances.  

In Renewables, SSE benefited from increased operating capacity and favorable wind conditions in Scotland, which were about 14% stronger than in the previous year. This lifted EBIT by 286% to £335.6 million.  

However, the Thermal Energy segment reported an EBIT loss of £44 million, reflecting limited opportunities for flexible thermal and gas operations in a more stable market environment. 

Seasonal factors also weighed on gas storage. However, the company reiterated its full-year adjusted operating profit forecast of £200 million for these assets.  

Separately, CEO Alistair Phillips-Davies will retire in 2025. He plans to remain in his role until a successor is appointed, ensuring a smooth transition.

“The move to ensure a smooth leadership transition should be well received, whilst we expect that gas prices may be a focus of the call alongside any further details that can be provided on offshore project timings/costs,” said analysts at RBC Capital Markets in a note.

Source: Investing.com

Последние публикации
Asia stocks fall after Trump threatens tariffs, Japan's Nikkei leads losses
26.11.2024 - 07:00
Japan stocks eye strong 2025 amid limited tariff impact- BofA
26.11.2024 - 07:00
Adani Green Energy says no talks on new financial commitment with TotalEnergies
26.11.2024 - 07:00
Tesla would likely be excluded from new California EV tax credits -governor's office says
26.11.2024 - 07:00
Citigroup slashes promotions as it seeks to overhaul bank, FT reports
26.11.2024 - 07:00
Asia stocks fall after Trump threatens tariffs, Japan's Nikkei lead losses
26.11.2024 - 06:00
Japan authorities raid Amazon Japan on alleged antitrust practices - Reuters
26.11.2024 - 06:00
Rivian gets conditional approval for $6.6 bln govt loan to build Georgia factory
26.11.2024 - 06:00
Rivian gets $6.6 billion conditional loan approval to build Georgia EV plant
26.11.2024 - 06:00
Adani Green Energy says no new financial commitment under discussion with TotalEnergies
26.11.2024 - 06:00
Dollar jumps, stocks retreat after Trump vows tariffs
26.11.2024 - 05:00
S&P 500 positioning levels at record highs, pullback risks rise, Citi warns
26.11.2024 - 05:00
Google, Meta urge Australia to delay bill on social media ban for children
26.11.2024 - 04:00
Qualcomm's interest in acquiring Intel has cooled, Bloomberg News reports
26.11.2024 - 04:00
Qualcomm takeover interest for Intel has cooled- Bloomberg
26.11.2024 - 04:00

© Analytic DC. All Rights Reserved.

new
Анализ рынка Как повлият завтра отчет NFP на курс доллара США?