REG - SSE Plc - Notification of Closed Period

SSEAnnouncement

30/03/2023 07:00

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RNS Number : 6934U  SSE PLC  30 March 2023

SSE plc

notification of closed period

30 march 2023

 

á      2022/23 adjusted earnings per share expectations updated to more
than 160 pence

á      SSE remains on course to deliver record investment, in excess of
£2.5bn this year and ahead of earnings, underpinned by its strong balance
sheet and underlying financial position

á      Will provide an update on future plans alongside 2022/23
financial results in May 2023, given strong growth prospects and delivery of
Net Zero Acceleration Programme

 

Financial outlook

SSE is updating its expectations for full-year 2022/23 adjusted earnings per
share to more than 160 pence from the previous guidance of more than 150
pence.

This reflects the strength and stability of SSE's balanced mix of regulated
and market-facing businesses and the continued narrowing of the range of
probable financial outcomes for the period. In particular, continued strong
performance from flexible generation plant to support security of supply has
more than offset the lower than planned renewables output(1) and associated
hedge buy-back costs.

In line with SSE's five-year dividend plan, announced as part of its Net Zero
Acceleration Programme (NZAP) in November 2021, SSE intends to recommend a
full-year dividend of 85.7p per share plus RPI for 2022/23 followed by a
rebase to 60p in 2023/24 to support the Group's significant investment plans.
Thereafter, dividend increases of at least 5% per annum are targeted for
2024/25 and 2025/26.

 

INVESTING FOR GROWTH

SSE remains on course to deliver record investment in 2022/23 as it progresses
its NZAP, with capital expenditure (including acquisitions) still expected to
be in excess of £2.5bn. SSE will provide an update on its future plans on 24
May 2023, alongside the 2022/23 Full-year Results presentation.

The Group's balance sheet continues to strengthen with adjusted net debt and
hybrid capital(2) expected to be below £9bn at 31 March 2023. At 23 March
2023, c.8% of available liquidity had been utilised on cash collateral for
forward commodity contracts.

 

Finance Director Gregor Alexander said:

 

"As we progress our ambitious Net Zero Acceleration Programme, we are
investing more than we make in profits into the infrastructure society needs
for a more secure, affordable and clean energy system. Our balanced business
model has performed well in a volatile year, helping to ensure security of
supply.

" At the same time, we are progressing multiple projects and adding to our
pipeline as we deliver on our net zero focused electricity infrastructure
strategy. This strong performance leaves us well positioned to continue our
significant investment programme and we will update the market with more
detail in May."

 

 

Notes

SSE notes publication of the UK Government's 'Powering Up Britain' policy
package today and will issue a separate response in due course.

SSE's Full-year Results presentation and Q&A session, to be held on 24 May
2023, will be conducted virtually.

(1) The shortfall in output from renewable sources has increased from around
10% below plan for the nine months to 31 December 2022, to around 13% below
plan as at 23 March 2023.

(2) Following the minority interest disposal in SSEN Transmission during the
period, adjusted net debt and hybrid capital excludes the 25% share of debt
and cash in that subsidiary which is attributable to the non-controlling
interest holder in line with the Alternative Performance Measures policy.

 

 Enquiries
 Investors  SSE Investor Relations  ir@sse.com (mailto:ir@sse.com)        Sally Fairbairn, Michael Livingston  +44 (0)345 0760 530
 Media      SSE Media               media@sse.com (mailto:media@sse.com)  Sam Peacock,                         +44 (0)345 0760 530

                                                                          Glenn Barber
            MHP                                                           Oliver Hughes                        +44 (0)7885 224 532
                                                                          Simon Hockridge                      +44 (0)7709 496 125

 

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