REG - Pennon Group PLC - Trading Statement

PennonAnnouncement

31/03/2025 07:15

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RNS Number : 8625C  Pennon Group PLC  31 March 2025

PENNON GROUP PLC

31 March 2025

 

Trading Statement

Pennon Group announces the following trading update for the year ending 31
March 2025 ahead of announcing the full year results on 3 June 2025.

Key highlights

·     Financial performance for the full year 2024/25 remains in line
with management expectations

o  As anticipated,

§ EBITDA broadly flat H1 to H2 2024/25, with lower customer demand and
inflationary cost pressures, offset by our reshaping and restructuring
programme

§ Capital expenditure comparable with the H1 2024/25 run rate, reflects
transitional expenditure and finalisation of K7.

·     Non-underlying costs for our reshaping and transformation
programmes and the finalisation of costs relating to the Brixham water supply
incident of c.£36m.

·     Continuing to deliver against our four priorities:

o  Over £1bn of investment programmes for K8 (2025-2030) underway

o  Strong water resources position at over 90% with industry leading water
quality expected

o  One of only five companies in the industry to reduce storm overflow
releases year on year, with bathing beach releases during the bathing season
down by 21% since 2020

o  Targeted to retain EPA 1  2* status for 2024/25

o  New package of c.£200m customer affordability support unlocked from
2025/26.

·     Following announced acceptance of Ofwat's Final Determination for
South West Water and Sutton and East Surrey Water, well placed for funding
record investment programme having raised c.£1.3bn in 2024/25 via rights
issue, public bonds, private placements and other opportunities.

 For further information, please contact:
 Pennon Group plc                                                +44(0)1392 443 260
 Laura Flowerdew                  Group Chief Financial Officer
 Louise Rowe                      Investor Relations
 Media Enquiries                                                 +44(0)207 251 3801
 James Murgatroyd                 FGS Global
 Harry Worthington

Cautionary statement in respect of forward-looking statements

Certain statements in this announcement are forward-looking statements
relating to the Group's operations, performance and financial position based
on current expectations of, and assumptions and forecasts made by, management.
They are subject to a number of risks, uncertainties and other factors that
could cause actual results, performance, or achievements of the Group to
differ materially from any outcomes or results expressed or implied by such
forward-looking statements.

The Group's principal risks were described in the 2024 Pennon Group Annual
Report which can be viewed online at http://annualreport.pennon-group.co.uk
(http://annualreport.pennon-group.co.uk) . Such forward looking statements
should therefore be construed in light of such risks, uncertainties and other
factors and undue reliance should not be placed on them. They are made only as
of the date of this announcement and no representation, assurance, guarantee,
or warranty is given in relation to them including as to their accuracy,
completeness, or the basis on which they are made.

No obligation is accepted to publicly revise or update these forward-looking
statements or adjust them as a result of new information or for future events
or developments, except to the extent legally required. Nothing in this
Statement should be construed as a profit forecast.

 1  Environmental Performance Assessment (EPA) as measured and reported on an
annual basis by the Environment Agency

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