23rd Jan 2014 09:14
LONDON (Alliance News) - Diversified utilities company SSE PLC Thursday said it expects that it will deliver an increase in adjusted profit before tax in the financial year ended March 31, 2014, which is in line with the consensus of analysts' forecasts.
SSE stated in an interim management statement that the consensus is around 1.54 billion pounds, calculated as the average of 18 analysts' forecasts at January 21. This is before charges for coupon payments associated with hybrid capital, which are presented with dividends and reflected within adjusted earnings per share.
SSE also expects that it will report an increase of between 2% and 4% in adjusted earnings per share for the year.
The company projects an increase in the full-year dividend that is expected to be around 3% - the company's target is to deliver annual real dividend increases while maintaining dividend cover over the medium term within a range around 1.5 times.
In Operations, SSE's Total Recordable Injury Rate for the nine months to December 31 2013, was 0.10 per 100,000 hours worked, compared with 0.14 during 2012/13 as a whole. Total output from gas production assets for the period was 300 million therms, compared with 131 million therms, reflecting the contribution of the Sean gas field assets acquired in April 2013.
The total electricity output from renewable electricity generating plants in which the company has an interest increased to 6.1 terrawatt hours, compared with 5.2 terrawatt hours the previous year.
The company said it is now forecasting total capital and investment expenditure of over GBP1.5 billion for 2013/14, stating that its 460 megawatt CCGT Development in Ireland remains on course to be commissioned in the second half of 2014.
SSE said there is greater uncertainty about the shape and extent of its capital and investment programme in the five years from 2015, which is likely to be lower than the GBP1.5 billion to GBP1.7 billion range invested each year since 2010.
The company said it will publish its results for the financial year to March 31 on May 21.
Chief Executive Alistair Phillips-Davies said: "The operating environment is not expected to be any easier in 2014/15 but we have a well-balanced range of businesses and a good range of assets and we are determined to maintain our operational focus and financial discipline for the benefit of customers and investors."
SSE shares were unchanged at 1,317.00 pence Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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