- SSE’s adjusted pretax profit increased by 26% to GBP 714.5 million compared to the previous year.
- Adjusted earnings per share rose to 49.8p, up from 37.0p year-over-year.
- Total adjusted operating profit reached GBP 860.2 million.
- Distribution segment’s adjusted operating profit significantly increased to GBP 346.3 million from GBP 120.1 million last year.
- The transmission segment saw a decrease, with adjusted operating profit at GBP 157.5 million, down by 27% year-over-year.
- Renewables segment saw a substantial rise in adjusted operating profit, moving to GBP 335.6 million from GBP 86.8 million.
- An interim dividend of 21.2p per share has been declared.
- Investment, capital, and acquisitions totalled GBP 1.57 billion, marking a 19% increase year-over-year.
- The forecast for 2025 capital expenditure is set at approximately GBP 3 billion.
- Expectations for business operating profits, as set in May 2024, remain largely unchanged.
- Full-year capital expenditure is anticipated to significantly rise to around GBP 3 billion, maintaining a net debt to EBITDA ratio towards the lower end of 3.5x-4.0x.
- The group is on target to achieve adjusted earnings per share of 175p-200p by 2026/27.
- SSE’s Chief Executive, Alistair Phillips-Davies, is set to retire in 2025 but will continue until a successor is appointed.
- Analyst recommendations include 14 buys, 3 holds, and 1 sell.
“`
A look at SSE PLC Smart Scores
Factor | Score | Magnitude |
---|---|---|
Value | 3 | |
Dividend | 4 | |
Growth | 3 | |
Resilience | 2 | |
Momentum | 4 | |
OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
S&P PLC’s long-term outlook, as indicated by Smartkarma Smart Scores, reflects a mixed bag of performance indicators. Despite receiving a solid score in dividends and momentum, the company falls short in terms of value, growth, and resilience. The company’s ability to consistently pay dividends and its positive momentum in the market signal strength. However, challenges lie in areas such as value and resilience, suggesting potential risks ahead. Investors should closely monitor how SSE PLC navigates these factors to gauge its future performance.
Having a moderate overall outlook, SSE PLC operates in the electricity and natural gas sectors in the UK and Ireland, with additional operations in the telecommunications industry. While the company shows promise in dividend payments and market momentum, its performance in terms of value, growth, and resilience is less robust. Investors should carefully assess SSE PLC‘s strategies and market positioning to make informed decisions based on the company’s strengths and weaknesses across various key factors.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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