SSE boosts capital investment as profits rise above expectation

15/11/2023

NETWORK operator SSE has reported better-than-expected half-year earnings driven by a strong operation performance.

The company reported adjusted earnings per share of 37p, above the 30p forecasters expected.

Subscribe to our daily newsletter

Why? Free to subscribe, no paywall, daily business news digest.

The FTSE100 firm’s pre-tax profit was also in the green, rising a modest 1% to £565.2million from £559.4million

The power generator has also announced a £2.5billion boost to its five-year investment programme. The company now expects £20.5billion of investment to 2027 compared to £18billion previously.

The first six-months of 2023/24 has been significant with the delivery of the world’s largest offshore wind farm, Dogger Bank, and Scotland’s largest offshore wind farm, Seagreen, operating at full capacity.

Once fully complete, it’s estimated that Dogger Bank will be able to power six million UK homes, while it will deliver yearly CO2 savings equivalent to removing 1.5 million cars from the road.

It’s record-breaking 3.6GW capacity has been widely welcomed across the UK and comes shortly after SSE switched on Seagreen.

And the wind farm off the Angus Coast has now begun operating at full capacity.

The £3billion project boasts 114 turbines and can generate enough electricity to power two-thirds of Scotland’s homes.

“Our first half performance reflects both the financial strength of our business and our ability to deliver world-class projects that are at the heart of the clean energy transition,” said SSE Chief Executive Alistair Phillips-Davies.

“There remains strong underlying political consensus on the big drivers of energy security and decarbonisation – accelerating renewables, network investment and flexible power generation – and these are the growth engines powering SSE. 

“That we are investing more than £20bn over the five years to 2027 and could invest more than £40bn over the decade to 2032, speaks to the range and quality of opportunities we have, underpinned by an energy transition that is gathering pace, and our continued commitment to creating value for society and shareholders in a disciplined way.”

The latest stories