Shareholders in Scottish and Southern Energy can expect the 12th successive above-inflation dividend increase following the publication of the company’s full-year results today.
‘SSE’s key financial objective is to deliver above-inflation increases in the dividend every year, and this has again been achieved,’ said Lord Smith of Kelvin, chairman of SSE. ‘SSE is one of just six FTSE 100 companies to have delivered real dividend growth every year since 1999, when the company paid its first dividend.
‘Despite lower-than-expected output of renewable energy and higher-than-forecast wholesale gas prices, SSE also achieved another increase in adjusted profit before tax.
‘This reflects the fact that SSE’s balanced business model, with both economically regulated and market-based businesses, makes the company resilient and able to deliver solid financial results and annual dividend growth even when the business environment is challenging.’
Lord Smith added that SSE expects to deliver dividend growth of at least two per cent more than RPI inflation in 2011–12, based on additions to its asset base through its investment programme.