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United Utilities Group (UU) investor relations material
United Utilities Group H2 24/25 (Q&A) earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Achieved top quartile operational and financial performance, with consistent delivery across key metrics and strong positioning for AMP8.
EPS grew by 49% year-over-year, reflecting robust profitability and operational efficiency.
Maintained a strong balance sheet with 60% gearing and reaffirmed dividend policy, supporting financial flexibility.
Guidance set for at least 100 basis points outperformance over the base allowed return, mainly driven by financing, ODIs, PCDs, and totex contributions.
Delivered 13 consecutive years of 'Green' status for serious pollutions and significant reductions in environmental incidents.
Financial highlights
Revenue increased 10% year-over-year to £2,145m; underlying operating profit up 22% to £634m.
Underlying EPS rose 49% to 49.6p; dividend per share up 4% to 51.85p.
Capital investment reached £1,083m, up 47% from the prior year.
RCV gearing at 60%, with liquidity of £2.8bn extending to 2027.
Underlying profit after tax increased 49% to £338m; underlying net finance expense decreased to £284m.
Outlook and guidance
Revenue expected to rise to £2.5–2.6bn in FY26, with higher depreciation and finance costs due to asset base growth.
At least 100bps outperformance in RoRE targeted for AMP8, mainly from financing, ODIs, PCDs, and totex.
FY26 dividend forecast at 53.66p, in line with CPIH growth policy.
Capital investment for AMP8 projected at approximately £9bn, with 7% CAGR asset base growth.
Guidance incorporates Bank of England CPI forecasts, assuming 2% long-term inflation.
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