SSE (SSE)

[idpickering]

SSE COMPLETES SALE OF 25% STAKE IN TRANSMISSION BUSINESS FOR £1.465BN.

SSE plc ("SSE") has completed the sale of a 25% minority stake in its electricity transmission network business, SSEN Transmission - which operates under its licenced entity, Scottish Hydro Electric Transmission plc - to Ontario Teachers' Pension Plan Board (Ontario Teachers') for total cash proceeds of £1.465bn.

The proceeds will support the significant growth SSE continues to see in SSEN Transmission and further growth opportunities across SSE's other core businesses, while ensuring an attractive balance of capital allocation across the Group.

The sale of a minority stake will allow SSE as the majority shareholder to retain control in relation to operating and managing the business, with Ontario Teachers' to be proportionately represented on SSEN Transmission's Board of Directors.

The successful transaction follows SSE's strategy to extend the partnering approach that has been successful in SSE Renewables to its core electricity transmission and distribution network assets through the sale of minority stakes in both businesses as part of SSE's fully funded Net Zero Acceleration Programme. The sale process for a stake in SSE's electricity distribution business is expected to commence in early 2023.

https://www.investegate.co.uk/sse-plc-- ... 00010908I/

Ian.

[idpickering]

SSEN Transmission response to Ofgem ASTI framework.

SSEN Transmission welcomes Ofgem's approval of the need for the strategic electricity transmission reinforcements required to deliver the UK Government's 50GW offshore wind by 2030 target, set out as part of the regulator's Accelerated Strategic Transmission Investment (ASTI) framework.

Today's decision confirms that all SSEN Transmission projects identified by the Electricity System Operator (the ESO) as required to meet 2030 offshore wind targets will now be taken forward as part of the ASTI framework. These are:

· Two 2GW subsea high-voltage direct current (HVDC) links from Peterhead to England, both of which will be taken forward as joint ventures with National Grid Electricity Transmission (NGET);

· A 2GW subsea HVDC link from Spittal in Caithness, connecting to Peterhead;

· A 1.8GW subsea HVDC link from Arnish on the Western Isles to the Beauly area near Inverness;

· 400kV onshore reinforcements, between Beauly, Blackhillock, New Deer and Peterhead; between Beauly, Loch Buidhe and Spittal; and between Kintore, Tealing and Westfield; and

· Uprating the existing Beauly to Denny line to enable 400kV operation on both circuits.

Ofgem has also confirmed that these reinforcements will be exempt from proposals to introduce competitive ownership of onshore electricity networks, which are currently being considered as part of the UK Government's draft Energy Bill. By confirming existing electricity transmission licensees will remain the delivery body for these reinforcements, Ofgem has provided the much-needed certainty required to support timely and accelerated delivery, including early supply chain engagement.

These investments reinforce the SSE Group's fully funded Net Zero Acceleration Programme (NZAP), which in Great Britain alone, could see SSE's investment exceed £24bn this decade, directly alleviating the UK's energy crisis.

With more material still to be released by Ofgem - particularly the proposed regulatory licence changes to enact the ASTI framework decision which are expected to be consulted on shortly - SSEN will continue to review and assess the detail as it is published to ensure the ASTI framework appropriately balances risk and reward, and is financeable, to enable SSEN Transmission to commit to accelerated delivery for 2030.

https://www.investegate.co.uk/sse-plc-- ... 18188187J/

Ian.

[idpickering]

Scrip Reference Price.

The Board of SSE plc ('the Company') confirms that the Scrip reference price for the fully paid ordinary shares to be issued to shareholders electing to receive the Scrip dividend alternative for the interim dividend for the year ending 31 March 2023, payable on 9 March 2023, will be 1,689 pence per share.

https://www.investegate.co.uk/sse-plc-- ... 52083054N/

Ian (I hold).

[idpickering]

Q3 Trading Statement.

· 2022/23 adjusted earnings per share expectations updated to more than 150 pence.

· Update reflects the strength of the Group's diverse business mix, which continues to create value, alongside the increased certainty from strong operational performance and supportive market conditions.

· SSE remains on course to deliver record investment in excess of £2.5bn this year, backed by its strong balance sheet and credit ratings, with clear visibility of further investment opportunities that support the transition to net zero.

https://www.investegate.co.uk/sse-plc-- ... 00033324N/

Ian.

[idpickering]

Interim Dividend Scrip Alternative.

The following amendment has been made to the 'Interim Dividend Scrip Alternative' announcement released on 13 February 2023 at 1636hrs under RNS No 7716P.

The announcement quoted the dividend rate as being 0.29 pence per ordinary share - this should read 29 pence per ordinary share.

All other details remain unchanged.

The full amended text is shown below.

https://www.investegate.co.uk/sse-plc-- ... 07559025P/

Ian (I hold).

[monabri]

Can't get the staff!

[idpickering]

NOTIFICATION OF CLOSED PERIOD

á 2022/23 adjusted earnings per share expectations updated to more than 160 pence

á SSE remains on course to deliver record investment, in excess of £2.5bn this year and ahead of earnings, underpinned by its strong balance sheet and underlying financial position

á Will provide an update on future plans alongside 2022/23 financial results in May 2023, given strong growth prospects and delivery of Net Zero Acceleration Programme

FINANCIAL OUTLOOK

SSE is updating its expectations for full-year 2022/23 adjusted earnings per share to more than 160 pence from the previous guidance of more than 150 pence.

This reflects the strength and stability of SSE's balanced mix of regulated and market-facing businesses and the continued narrowing of the range of probable financial outcomes for the period. In particular, continued strong performance from flexible generation plant to support security of supply has more than offset the lower than planned renewables output1 and associated hedge buy-back costs.

In line with SSE's five-year dividend plan, announced as part of its Net Zero Acceleration Programme (NZAP) in November 2021, SSE intends to recommend a full-year dividend of 85.7p per share plus RPI for 2022/23 followed by a rebase to 60p in 2023/24 to support the Group's significant investment plans. Thereafter, dividend increases of at least 5% per annum are targeted for 2024/25 and 2025/26.

INVESTING FOR GROWTH

SSE remains on course to deliver record investment in 2022/23 as it progresses its NZAP, with capital expenditure (including acquisitions) still expected to be in excess of £2.5bn. SSE will provide an update on its future plans on 24 May 2023, alongside the 2022/23 Full-year Results presentation.

The Group's balance sheet continues to strengthen with adjusted net debt and hybrid capital2 expected to be below £9bn at 31 March 2023. At 23 March 2023, c.8% of available liquidity had been utilised on cash collateral for forward commodity contracts.

Finance Director Gregor Alexander said:

"As we progress our ambitious Net Zero Acceleration Programme, we are investing more than we make in profits into the infrastructure society needs for a more secure, affordable and clean energy system. Our balanced business model has performed well in a volatile year, helping to ensure security of supply.

" At the same time, we are progressing multiple projects and adding to our pipeline as we deliver on our net zero focused electricity infrastructure strategy. This strong performance leaves us well positioned to continue our significant investment programme and we will update the market with more detail in May."

https://www.investegate.co.uk/sse-plc-- ... 00056934U/

Ian (I hold).

[Dod101]

NOTIFICATION OF CLOSED PERIOD

á 2022/23 adjusted earnings per share expectations updated to more than 160 pence

á SSE remains on course to deliver record investment, in excess of £2.5bn this year and ahead of earnings, underpinned by its strong balance sheet and underlying financial position

á Will provide an update on future plans alongside 2022/23 financial results in May 2023, given strong growth prospects and delivery of Net Zero Acceleration Programme

FINANCIAL OUTLOOK

SSE is updating its expectations for full-year 2022/23 adjusted earnings per share to more than 160 pence from the previous guidance of more than 150 pence.

This reflects the strength and stability of SSE's balanced mix of regulated and market-facing businesses and the continued narrowing of the range of probable financial outcomes for the period. In particular, continued strong performance from flexible generation plant to support security of supply has more than offset the lower than planned renewables output1 and associated hedge buy-back costs.

In line with SSE's five-year dividend plan, announced as part of its Net Zero Acceleration Programme (NZAP) in November 2021, SSE intends to recommend a full-year dividend of 85.7p per share plus RPI for 2022/23 followed by a rebase to 60p in 2023/24 to support the Group's significant investment plans. Thereafter, dividend increases of at least 5% per annum are targeted for 2024/25 and 2025/26.

INVESTING FOR GROWTH

SSE remains on course to deliver record investment in 2022/23 as it progresses its NZAP, with capital expenditure (including acquisitions) still expected to be in excess of £2.5bn. SSE will provide an update on its future plans on 24 May 2023, alongside the 2022/23 Full-year Results presentation.

The Group's balance sheet continues to strengthen with adjusted net debt and hybrid capital2 expected to be below £9bn at 31 March 2023. At 23 March 2023, c.8% of available liquidity had been utilised on cash collateral for forward commodity contracts.

Finance Director Gregor Alexander said:

"As we progress our ambitious Net Zero Acceleration Programme, we are investing more than we make in profits into the infrastructure society needs for a more secure, affordable and clean energy system. Our balanced business model has performed well in a volatile year, helping to ensure security of supply.

" At the same time, we are progressing multiple projects and adding to our pipeline as we deliver on our net zero focused electricity infrastructure strategy. This strong performance leaves us well positioned to continue our significant investment programme and we will update the market with more detail in May."

https://www.investegate.co.uk/sse-plc-- ... 00056934U/

Ian (I hold).

That is surely about as good as it gets. Very positive all round. Dividend cut (as previously notified) after the current year's final but at least they are using the savings to invest which is surely the right thing to be doing.

Dod

[idpickering]

That is surely about as good as it gets. Very positive all round. Dividend cut (as previously notified) after the current year's final but at least they are using the savings to invest which is surely the right thing to be doing.

Dod

I agree with all the points you've made Dod. Ta for your input. The market seems go like the announcement from SSE, with the stock being up 2.7% as I type. That could have nothing to do with the SP move of course.

Ian.

[Dod101]

I note with satisfaction that SSE closed at over £18 last night, following the very good update yesterday.

Dod

[BullDog]

I note with satisfaction that SSE closed at over £18 last night, following the very good update yesterday.

Dod

Indeed, noted. Anyone wondering about reducing SSE ahead of the dividend reduction next year?

I think I'm right, there's one more dividend to be paid by SSE then about a 1/3rd dividend reduction per share is planned. There might be an opportunity to ratchet up yield by reducing SSE holding and reinvesting elsewhere?

[Dod101]

I note with satisfaction that SSE closed at over £18 last night, following the very good update yesterday.

Dod

Indeed, noted. Anyone wondering about reducing SSE ahead of the dividend reduction next year?

I think I'm right, there's one more dividend to be paid by SSE then about a 1/3rd dividend reduction per share is planned. There might be an opportunity to ratchet up yield by reducing SSE holding and reinvesting elsewhere?

I am not reducing my holding but this is the Company news Board.

As for the dividend, they have just confirmed that the total dividend for this year will be 85.7p plus RPI which is likely to be about plus 10% presumably so a very generous dividend. They have confirmed that for the new financial year, the dividend will be reduced to 60p and then plus 5% for each of the next two years, so quite a big reduction. I will take that in my stride because their trading has been very good and we are always complaining about companies in this country not investing enough. They are to be responding to good investment opportunities in renewables. I welcome that.

It really depends what your aims are though.

Dod

[idpickering]

Indeed, noted. Anyone wondering about reducing SSE ahead of the dividend reduction next year?

I think I'm right, there's one more dividend to be paid by SSE then about a 1/3rd dividend reduction per share is planned. There might be an opportunity to ratchet up yield by reducing SSE holding and reinvesting elsewhere?

I am not reducing my holding but this is the Company news Board.

As for the dividend, they have just confirmed that the total dividend for this year will be 85.7p plus RPI which is likely to be about plus 10% presumably so a very generous dividend. They have confirmed that for the new financial year, the dividend will be reduced to 60p and then plus 5% for each of the next two years, so quite a big reduction. I will take that in my stride because their trading has been very good and we are always complaining about companies in this country not investing enough. They are to be responding to good investment opportunities in renewables. I welcome that.

It really depends what your aims are though.

Dod

I note BullDogs' comment, and without wanting to sound like a Dod goupie, I agree with what he says. I intend just letting my SSE shares be. That might change though. We'll see nearer the time?

Ian.

[BullDog]

I am not reducing my holding but this is the Company news Board.

As for the dividend, they have just confirmed that the total dividend for this year will be 85.7p plus RPI which is likely to be about plus 10% presumably so a very generous dividend. They have confirmed that for the new financial year, the dividend will be reduced to 60p and then plus 5% for each of the next two years, so quite a big reduction. I will take that in my stride because their trading has been very good and we are always complaining about companies in this country not investing enough. They are to be responding to good investment opportunities in renewables. I welcome that.

It really depends what your aims are though.

Dod

I note BullDogs' comment, and without wanting to sound like a Dod goupie, I agree with what he says. I intend just letting my SSE shares be. That might change though. We'll see nearer the time?

Ian.

Thanks both. Indeed off topic for this sub forum. Just seems a fairly obvious opportunity to ratchet up dividend pseudo TJH style. No more from me on this thread. Will start a new one elsewhere if it merits further discussion.

[idpickering]

Thanks both. Indeed off topic for this sub forum. Just seems a fairly obvious opportunity to ratchet up dividend pseudo TJH style. No more from me on this thread. Will start a new one elsewhere if it merits further discussion.

You're welcome. Can you provide a link to wherever you put that new post please? I might well do as you've suggested with my SSE shares, we'll see?

Ian.

[BullDog]

Thanks both. Indeed off topic for this sub forum. Just seems a fairly obvious opportunity to ratchet up dividend pseudo TJH style. No more from me on this thread. Will start a new one elsewhere if it merits further discussion.

You're welcome. Can you provide a link to wherever you put that new post please? I might well do as you've suggested with my SSE shares, we'll see?

Ian.

As requested -

viewtopic.php?f=56&t=38692

[tjh290633]

I note BullDogs' comment, and without wanting to sound like a Dod goupie, I agree with what he says. I intend just letting my SSE shares be. That might change though. We'll see nearer the time?

Ian.

Thanks both. Indeed off topic for this sub forum. Just seems a fairly obvious opportunity to ratchet up dividend pseudo TJH style. No more from me on this thread. Will start a new one elsewhere if it merits further discussion.

For the record, I am hanging on to SSE. However I have disposed of non-payer MKS and low yield CPG, withdrawing some cash and reinvesting the surplus to more than cover that from CPG foregone. Details on the HYP Practical board. See
viewtopic.php?p=565263#p565263
TJH

[idpickering]

SSE PLC: PRELIMINARY RESULTS FOR THE YEAR ENDED 31 MARCH 2023.

BUILDING FOR CLEAN, SECURE, AFFORDABLE ENERGY

· Record £2.8bn of capex and investment, greater than profits, in projects across low-carbon electricity infrastructure that will enhance energy security while creating green jobs and supporting local communities.

· Reporting adjusted earnings per share of 166.0p, in line with pre-close guidance, reflecting the performance from a balanced, integrated business model in a year of market volatility.

· Continued focus on Safety, however increased construction activity has contributed to a Total Recordable Injury Rate of 0.19, an increase from 0.17.

· Strategic debt refinancing and increasing cash flow generation provides the group with more financial strength to weather future market uncertainty, seize opportunities and create value.

· Guiding to adjusted EPS of more than 150p for 2023/24, with capital expenditure and investment of more than £2.8bn in 2023/24, exceeding the record investment in 2022/23.

· Contributed over £6bn to UK GDP, supporting nearly 40,000 UK jobs with further €429m contribution to Ireland GDP and over 2,000 Irish jobs supported.

And later;

SSE is fulfilling its commitment to growing the 2022/23 dividend by RPI and is recommending a 96.7p full-year dividend in line with that plan. Also in line with that plan, in 2023/24, the dividend will be rebased to 60p in order to align future dividends with SSE's ambitious growth profile.

https://www.investegate.co.uk/announcement/7540093

Ian (I hold).

[Dod101]

Thanks Ian. No surprises there. Better enjoy this year's Final Dividend !

Dod

[idpickering]

Thanks Ian. No surprises there. Better enjoy this year's Final Dividend !

Dod

You're welcome Dod.

Further to the above, from Dividenddata;

Dividend 67.7p ps, ex div 27 Jul 23, paid on 11 Sep 23.

https://www.dividenddata.co.uk/dividend ... y?epic=SSE

I struggled to find this info in the SSE announcement itself to be honest.

I bought my SSE shares when COVID19 hit us all, and have done well with them since on a capital returns basis, and the current good dividend too of course too. But the lowering of the dividend in the future will stop me buying any more SSE, but I'm happy to continue holding my SSE shares.

Ian.