FTSE 100 energy group SSE PLC (LSE:SSE) has reported a shortfall in planned renewable energy output during the first quarter due to unfavourable weather, suggesting future guidance will rely on windier conditions.
Dry and still conditions led to a near 30% miss on targeted first-quarter generation, SSE said in a statement.
Though this was not enough to rethink guided earnings per share of 150p, finance director Gregor Alexander said the firm’s outlook was “subject to normal weather and plant availability” for the rest of the year.
Based on current guidance, SSE would pen a 9% fall on last year’s 166p per-share earnings, which were boosted after higher energy prices aided renewable generators’ profits.
According to SSE, weather has been more favourable so far in the second quarter though, with shortfalls in the three months to June representing a 5% miss on full-year targets.
SSE also updated on the Seagreen and Dogger Bank A North Sea wind projects, explaining these are progressing towards completion, while the Viking onshore farm in Shetland also remains “on track”.
“We are making good progress on the critical national infrastructure projects that underpin our growth plans out to 2027,” Alexander said.
“We continue to develop options that could see us invest up to £40bn over the next decade […] seizing the long-term opportunities presented by net zero”.