Water giant Seven Trent rides out long, hot summer as interim results remain steady

Water companySevern Trent’s shares remained steady this morning as it published solid interim results with small profit gains and more than £300m invested in the first six months.

The figures

The group reported £299.1m profit for the six months to 30 September, up 4.3 per cent from the same period last year. Meanwhile, it saw turnover increase 3.6 per cent to £881.5m.

Net debt increased from £5.1bn to £5.42bn, while cash flow rose 1.8 per cent to £489.2 from £480.3 last year.

Why it’s important

Severn Trent has seen out a hot, dry summer in which it had to increase water production to meet customer demand, which rose 22 per cent over the period.

Chief executive Liv Garfield said the provider was also on track for its biggest year of capital spend in a decade, with more than £300m invested in the first six months on performance improvements.

What Severn Trent said

Chief executive Liv Garfield said: “I’m pleased to be sharing a good set of financial and operational results in what has been a very busy first half of the year.

“The performance culture we have embedded into the organisation continues to deliver strong performance for our customers.

“As we plan and invest for the future, we are on track for our biggest year of capital spend in a decade, with more than £300m invested in the first six months to improve performance for our customers today and for generations to come.

"Building a lasting legacy is a key priority for us and we believe our PR19 [political and regulatory] plans will deliver what our customers have asked for, while maintaining the right balance of affordability and future investment.”