SSE PLC (LSE:SSE) said it expects underlying earnings per share to fall 28% to 30p in the first half of the year due to its renewables performance being below expectations.
The FTSE 100-listed power generations company, which has a 4GW portfolio of onshore wind, offshore wind and hydro power, said it still expects full-year adjusted EPS of more than 150p, which would still be a decline of almost 10%.
Renewables output has been around 19% behind plan for the six months to 30 September, attributed mainly to “adverse weather conditions”, representing around a 7% shortfall relative to the full year's planned output.
The wider global market has been more stable compared to last year’s sky-high energy prices, with this year’s lower power price environment expected to continue for the remainder of this financial year.
Finance director Gregor Alexander said: “Our primary focus remains on delivery of our five-year plan out to 2027, which is the platform for up to £40bn of investment in net zero over the next decade. We have reached key milestones in the construction of our flagship renewables projects while gearing up to accelerate the build-out of critical network infrastructure and offering much-needed flexibility to the system."
Shares in the company rose 0.4% to 1,526.5p in early trade this morning.