Strong ODI Performance
Severn Trent reported that about 90% of their measures are green, indicating strong performance across the basket of ODIs. Specific achievements include being on track for their eighth year hitting the leakage target, finding and fixing more leaks than ever, and recovering quickly after a summer with 1/3 more bursts than usual.
Financial Strength and Gearing Guidance
The company guided to 60% to 65% gearing by the end of the AMP, demonstrating commitment to maintaining financial strength. They have diversified their sources of finance and have managed to raise financing significantly lower than the cost that the regulator allows.
Infrastructure Services Growth
Severn Trent expects to double the EBITDA in Infrastructure Services, driven by growth in Green Power, services, and property, as well as recent acquisitions in water and waste sectors.
Strong Start to AMP8
The company is excited about the opportunities in AMP8, focusing on innovation and efficiency, including AI and modular solutions to improve capital delivery efficiency.
Positive Water Resource Management
Despite concerns about potential drought conditions, Severn Trent reported that their reservoirs are in good shape, having increased by more than 10% over a weekend. They have not imposed a hosepipe ban since 1995.