17th Apr 2019 09:16
LONDON (Alliance News) - Telecom Plus PLC, which trades as Utility Warehouse, said Wednesday said it expects to deliver record annual revenue, dividend and profit, although the latter will come in at the lower end of guidance.
Shares in the company were trading down 3.5% at 1,438.00 pence each in morning trade.
For the year ended March 31, the FTSE 250 company expects adjusted pretax profit to be towards the lower end of guidance at around GBP56 million, due to the impact of a warm winter and the Ofgem price cap reducing energy revenue in the last quarter. This is still an increase of 3.1% on last year's GBP54.3 million and a record result for the company.
During the year, the company saw a 4% rise in customer numbers to 635,039, while service numbers rose 8.2% to 2.5 million.
For the year, the company intends to pay a total dividend of 52 pence per share, up 4% from 50p a year ago. This is after proposing a final payout of 27p.
Looking at financial 2020, the company said it is "encouraged" by its profit outlook for the year.
"The combination of accelerating growth in customer numbers and a small increase in our gross margins, mean that we expect adjusted profits before tax of between GBP60 million and GBP65 million for financial 2020, with a commensurate increase of 10% in the total dividend to 57 pence per share in line with our published distribution policy," Telecom Plus said.
The company will issue its final results on June 19.
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