(Alliance News) - SSE PLC on Wednesday warned that the coronavirus pandemic will hurt its first half outcome, but the electricity utility continues to perform well and is making a good progressing on divestments.
The FTSE 100-listed company estimates a hit of around GBP120 million to GBP130 million in the six months to September 30 from the virus outbreak. Overall, SSE estimates damage of between GBP150 million and GBP250 million in financial 2021, before mitigation measures.
For the first half, the Perth, Scotland-based company expects adjusted earnings per share in the range 10 pence to 12.5p, down at least 88% from 18.0p recorded a year ago. Energy output for the year to September 21 was 362 gigawatt, 9% below plan and a 3% shortfall on annual output.
The company, however, said its performance for the full-year and year-to-date remains broadly in line with the board's expectations.
SSE hopes to recommend a dividend of 80p plus retail price index inflation for financial 2021. It plans to pay an interim dividend of 24.4p.
Finance Director Gregor Alexander said: "In the face of the coronavirus, which will impact financial results for the half-year, we are continuing to perform well operationally due to the hard work of our teams. At the same time, the underlying strength of our business model and our strategic focus on the transition to a net-zero economy stand us in good stead for the future.
"We are making good progress on both our disposals programme and our significant low-carbon investment opportunities. Seagreen, Dogger Bank and our Shetland investments will create significant value for SSE as well as wider society."
The company is scheduled to release its first-half results on November 18.
Shares in SSE were up 0.8% at 1,225.50p each on Wednesday morning. Year-to-date the stock is down 15%.
By Tapan Panchal; tapanpanchal@alliancenews.com
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