United Utilities Interims.

[idpickering]

Delivering responsibly in the North West for customers and other stakeholders
 Improving customer service while reducing average household bills by 10% in real terms since 2010
 Sector leading approach to affordability, supporting over 120,000 customers in vulnerable circumstances
 Delivering a £3.9bn AMP6 investment programme, creating long-term value for all our stakeholders
 Long track record of sharing outperformance with additional investment of £350m in AMP6
 Strong ESG credentials across a number of leading indices
Operational transformation

And later;

The interim dividend of 14.20 pence per ordinary share (2018: interim dividend of 13.76 pence per ordinary share, final dividend of 27.52 pence per ordinary share) is expected to be paid on 1 February 2020 to shareholders on the register at the close of business on 20 December 2019. The ex-dividend date for the interim dividend is 19 December 2019.

https://www.unitedutilities.com/globala ... -clean.pdf

[Arborbridge]

I make that a 2.42% pa increase in dividend for 5 years - slightly down on the previous five year period which was 2.91% but keeping up with RPI.

I also note that the yield is remaining moderate, which suggests the market is currently agnostic on the Corbyn risk. Whether we should be is another matter

Arb.

[daveh]

I make that a 2.42% pa increase in dividend for 5 years - slightly down on the previous five year period which was 2.91% but keeping up with RPI.

I also note that the yield is remaining moderate, which suggests the market is currently agnostic on the Corbyn risk. Whether we should be is another matter

Arb.

I have 10% of my HYP in Utilities (UU., Pennon, SSE). I'm not planning on investing more in Utilities until after the election at the earliest (none appear in my HYPTUSS top 10 at the moment anyway). I also have 4.5% in telecomms (BT and Vod.) and they are also on hold until after the election (BT is at 7= in my HYPTUSS). My HYPTUSS #1 is RBS, I'd probably top it up as it has started to reintroduce a decent dividend, but again I think there is some election risk as it remains majority owned by the government and at a minimum they could interfere in its running.

[Arborbridge]

I make that a 2.42% pa increase in dividend for 5 years - slightly down on the previous five year period which was 2.91% but keeping up with RPI.

I also note that the yield is remaining moderate, which suggests the market is currently agnostic on the Corbyn risk. Whether we should be is another matter

Arb.

I have 10% of my HYP in Utilities (UU., Pennon, SSE). I'm not planning on investing more in Utilities until after the election at the earliest (none appear in my HYPTUSS top 10 at the moment anyway). I also have 4.5% in telecomms (BT and Vod.) and they are also on hold until after the election (BT is at 7= in my HYPTUSS). My HYPTUSS #1 is RBS, I'd probably top it up as it has started to reintroduce a decent dividend, but again I think there is some election risk as it remains majority owned by the government and at a minimum they could interfere in its running.

Bit of a nuisance that the election is 12th but cheap dealing at Bell's is 10th!

[kempiejon]

Bit of a nuisance that the election is 12th but cheap dealing at Bell's is 10th!

‘You've got to ask yourself one question. Do I feel lucky? Well, do ya, punk?’

More seriously do you not think the market isn't expecting an outright Labour win and the threat of utility Co. nationalisation has receded, perhaps BT should be the bet. I do know I don't know and wouldn't usually base my investment on thinking I do. Like many of us here the utility super sector is a big enough slice of my HYP so no more for no regardless of political risk. Pennon is my prefered water Co. as they have an inflation beating commitment to raising my income and I've still not let UU of the hook for a consolidation masking a cut 10 years back, I hold both.

[tjh290633]

In https://www.investegate.co.uk/united-ut ... 00049699T/ there is a section, after the details of the dividend payment, which sets out their Dividend policy:

Our dividend policy targets a growth rate of at least RPI inflation each year through to 2020, with further details set out below.

It's too long to reproduce, but for anyone interested the headings are:

Policy period
Policy approval process
Distributable reserves
Financing headroom
Cash flows from subsidiaries
Financial stability
Dividend sustainability
Viability statement
Annual dividend approval process

Worth looking at in my view.

TJH

[kempiejon]

In https://www.investegate.co.uk/united-ut ... 00049699T/ there is a section, after the details of the dividend payment, which sets out their Dividend policy:

Our dividend policy targets a growth rate of at least RPI inflation each year through to 2020, with further details set out below.
...

Worth looking at in my view.

TJH

Thanks for the TJH, I suspect that when I switched to PNN as well as the doubling in secotrs they likely had a better yield and growth record, I had a quick look at both UU and PNN's statements, PNN below. from https://www.pennon-group.co.uk/dividends
The Board has recommended a final dividend of 28.22p per share which was approved by shareholders at the AGM on 25 July 2019. Together with the interim dividend of 12.84p per share paid on 4 April 2019, this gives a total dividend for the year of 41.06p, an increase of 6.4%(1) over 2017/18 and maintaining our long-standing sector-leading dividend policy of RPI +4% year-on-year growth.

The RPI rate used is 2.4% as of March 2019.

[SuperCally]

Thanks Ian. I believe the payment date of 1st Feb (which is a Saturday) shown in the segment from the ‘investigate’ announcement is wrong. Further up the document it says 3rd Feb, which agrees with the Financial Calendar on the UU website.

Regards, Vinny

https://www.unitedutilities.com/corpora ... -calendar/

[SuperCally]

Sorry, not the ‘investigate’ document (although that may have it too?) - UU’s own document, I meant.

[daveh]

Sorry, not the ‘investigate’ document (although that may have it too?) - UU’s own document, I meant.

Looks like its a cut and paste error as last years divi was paid on 1st Feb 19. You wonder how much else of the report they just cut and pasted from last time

[tjh290633]

Sorry, not the ‘investigate’ document (although that may have it too?) - UU’s own document, I meant.

Looks like its a cut and paste error as last years divi was paid on 1st Feb 19. You wonder how much else of the report they just cut and pasted from last time

The RNS post has the correct date.

TJH

[idpickering]

Thanks Ian. I believe the payment date of 1st Feb (which is a Saturday) shown in the segment from the ‘investigate’ announcement is wrong. Further up the document it says 3rd Feb, which agrees with the Financial Calendar on the UU website.

Regards, Vinny

https://www.unitedutilities.com/corpora ... -calendar/

Cheers for that Vinny. Sorry to have mislead anyone out there re that date. In my defence, I only copied and pasted the info. From their own site too! You’d think they’d get that right?

I hold UU., and have done for some time, but I don’t intend topping up any time soon.

Ian.

[PinkDalek]

The RNS post has the correct date.

Indeed it has, as well as the wrong date as has already been pointed out.

The interim dividend is expected to be paid on 3 February 2020 to shareholders ...

The interim dividend of 14.20 pence per ordinary share (2018: interim dividend of 13.76 pence per ordinary share, final dividend of 27.52 pence per ordinary share) is expected to be paid on 1 February 2020 ...

idp clearly picked out the more detailed note from Note 10, quite correctly as it supplied more detail than the Financial Overview section.

Let's see how quick they are to issue a correction.