SSE reaffirms guidance as adverse weather drives renewables output
Energy supplier SSE reaffirmed full-year guidance this morning as variable weather ramped up renewable energy output.
The London-listed firm expects adjusted earnings per share of between 154p to 163p and also maintained its operating profit targets.
Output from SSE renewables was up by just over a quarter year-on-year over the first nine months, reflecting the impact of adverse weather and capacity additions.
Total gas-fired generation also increased from 10,797 GWh to 12,459 GWh.
“We are pleased to report good operational performance during the quarter and, more recently, we were able to provide a swift and effective response to Storm Eowyn, with our teams expertly managing widespread network disruption,” Barry O’Regan, chief financial officer, said.
“As we look to the opportunities presented by decarbonisation our focus remains on capital discipline, strategic delivery and the efficient operation of our value-creating assets.”
SSE shares have held broadly level over the last 12 months, down just over four per cent. The stock also stayed level on Wednesday.
John Moore, senior investment manager at RBC Brewin Dolphin, said: “SSE has delivered another solid quarter in operational terms, but the share price has fallen nearly one-fifth from its peak in September 2024.
“That is a reflection of a general reduction in energy generation pricing and, in turn, assumptions on the returns that can be made on wind assets.
He added: “Nevertheless, the company remains in a strong position in a changing short-term market environment. While near-term headwinds may persist for the next six to nine months, SSE has a long runway of growth given its alignment with energy policy and the broader need for investment in renewables, energy transmission, and storage.”