United Utilities affirms financial guidance in trading update

19th Jul 2024 12:27

(Sharecast News) - United Utilities Group reported sustained strong operational performance in an update on Friday, affirming its financial guidance for the 2024-2025 period remained unchanged.

The FTSE 100 water company expressed confidence in achieving a four-star rating from the Environment Agency's annual environmental performance assessment (EPA) for 2023, with official confirmation expected soon.

Additionally, based on the year's first-half performance, a four-star status was anticipated for the 2024 EPA as well.

The firm said it had fortified its AMP8 capital delivery through partnerships with seven top engineering and infrastructure firms and 18 design-and-build organisations.

It said those alliances complemented two strategic optimisation partnerships announced in May, enhancing the robustness of its investment programme.

Financial performance remained steady, with no significant deviations from the guidance provided in May.

United Utilities said it expected to meet or exceed its net customer outcome delivery

incentive (ODI) reward for 20242025, aiming to match or surpass the highest reward achieved in 2023-2024.

Regarding regulatory updates, United Utilities said Ofwat's draft determination for it was released on 11 July.

The company said it planned to submit its response by 28 August, and would provide further market updates in early September, maintaining a positive outlook on the ongoing discussions leading to the final determination in December.

At 1206 BST, shares in United Utilities Group were down 0.52% at 1,023.19p.

Reporting by Josh White for Sharecast.com.