Profits at UK water utility Pennon rise after tariff increases
LONDON, June 3
LONDON, June 3 (Reuters) - British water group Pennon reported a 9 percent rise in full-year pre-tax profit to 207.3 million pounds, beating analyst estimates, after tariff increases and new customers helped its South West Water subsidiary.
The utility also said it would pay a full-year dividend of 30.31 pence, in line with expectations, a 6.5 percent rise on the previous year.
"The company continues to deliver robust operational performance and improving standards of customer service, notwithstanding the dry summer of 2013 and then the extreme weather and resultant flooding of last winter," said Pennon Chairman Ken Harvey.
South West Water has been granted enhanced status under the water regulator's business plan review, meaning the regulated tariffs it can charge out to 2020 are now largely clear, giving investors revenue clarity. (Reporting by Karolin Schaps; editing by Kate Holton)