27th Mar 2020 08:53
(Alliance News) - SSE PLC said Friday it still intends to recommend a dividend of 80 pence per share for its financial year ending March 31, as the growing spread of Covid-19 makes no material impact on the group's performance for the period.
However, before the impact of Covid-19, the FTSE 100 energy company said it expects adjusted earnings per share to be at the lower end of its expected 83 pence to 88p range, but still representing a rise from 67.1p the year before.
SSE said its adjusted operating profit for the year will show a high single-digit percentage year-on-year drop in SSEN Transmission, SSEN Distribution and investment in SGN, due to lower than expected Distribution Use of System electricity volumes and a greater number of network faults.
However there would be a 25% increase in adjusted operating profit for SSE Renewables, driven by a full year of output from the Beatrice offshore wind farm. Total renewable generation output for the year is set to be close to 11.4 terawatt-hours.
SSE's adjusted operating profit for its 2019 financial year was GBP1.14 billion.
Looking ahead, SSE said it will continue to target a dividend of 80p per share for its 2021 financial year, however the group admitted that it was much too early to forecast the impact of the virus on its businesses.
In addition, SSE said it will delay the publication of its annual results in response to the Financial Conduct Authority's mortatorium. As a result, the group is expected to publish its results in the second half of June.
"In common with everyone else, our over-riding priority is supporting efforts to contain and delay the spread of Covid-19 - helping communities, customers and colleagues through this exceptionally difficult time. Across SSE, people are responding with commitment, professionalism and sheer hard work that the board is proud to be associated with," said Finance Director Gregor Alexander.
Shares in SSE were down 6.6% in London on Friday morning at 1,300.50 pence each.
By Dayo Laniyan; [email protected]
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