Sse Share Discussion Threads

[redartbmud] 18/5/2016 08:06

On initial reading of the numbers it looks to me that they are working very hard to achieve the results. They do not have a lot of wriggle room, so the slightest headwind will give them problems in meeting targets going forward.

[skinny] 18/5/2016 07:15

JP Morgan Cazenove Overweight 1,531.00 1,550.00 1,550.00 Reiterates

[skinny] 18/5/2016 07:03

18 May 2016
This report sets out the preliminary results for SSE plc for the year to 31 March 2016. It includes updates on operations and investments in its Wholesale, Networks and Retail (including Enterprise) businesses.

Overview
· SSE has met its main financial objective of an annual increase in the full-year dividend that is at least equal to RPI inflation - recommended full-year dividend up 1.1% to 89.4p;
· Adjusted earnings per share down 3.7% to 119.5p but ahead of target of at least 115p;
· Dividend cover of 1.34 times, which is within the expected range of 1.2 times-1.4 times;
· SSE is targeting a return to growth and adjusted earnings per share of at least 120p in 2016/17; and delivery of a full-year dividend that at least keeps pace with RPI inflation in 2016/17 and in the subsequent years;
· Taking account of the general uncertainties in the operating environment, SSE expects its dividend cover could range from around 1.2 times to around 1.4 times over the three years to 2018/19, based on dividend increases that at least keep pace with RPI inflation;
· Adjusted profit before tax fell by 3.3% to £1,513.5mand reported profit before tax fell by 19.3% to £593.3m;
· All three reportable business segments contributed adjusted operating profit during 2015/16: Wholesale earned £442.5m, down 6.6%; Networks earned £926.6m, down 1.1% and Retail (including Enterprise) earned £455.2m, down 0.4%. Overall, operating profit is as expected when SSE published its Notification of Close Period on 24 March 2016, although the mix of operating profit is slightly different;
· SSE recorded net exceptional charges of £889.8m before tax which was predominately related to impairment of certain Wholesale assets. Against this, SSE also recorded a gain on the disposal of an interest in its Clyde wind farm of £138.6m which was recorded directly in equity.
· Capital and investment expenditure totalled £1.6bn and adjusted net debt and hybrid capital was £8.4bn at 31 March 2016, compared to £7.9bn at 30 September 2015. While underlying cash flows remain strong, the increase in adjusted net debt follows the acquisition of, and resulting investment in, new gas production and infrastructure assets acquired in October 2015, and unfavourable movements in foreign exchange rates;
· SSE's total investment and capital expenditure is expected to be around £1.75bn in 2016/17 and in the range of £5.5-£6bn across the four years to March 2020;
· SSE continues to focus on operational efficiency and has also secured over £1bn from its asset disposal programme. With a small amount still to complete, this programme has already achieved its objectives and will support future operations and investment;
· SSE considers disposal of up to one third of its 50% equity stake in SGN Limited, with any proceeds being used to return or create value for shareholders; and
· SSE continues to engage constructively with policy-makers and regulators. There is now increased clarity on aspects of the external operating environment with the conclusion of the CMA consideration of the RIIO ED1 framework, planned revisions to the UK Capacity Market and the Provisional Decision on Remedies from the CMA investigation into the supply and acquisition of energy.

[wad collector] 17/5/2016 16:08

Do I see another trading out point as the share price approaches 1550? Not xd for another 2 months so might get back in before then.

[brulot] 27/4/2016 18:29

Interesting move today with no obvious reason. Plenty of strength at the moment.

[mach100] 19/4/2016 11:18

I think the fact that SSE has managed to sell off £1bn of assets to reduce and did it ahead of schedule has really pleased the market. But the main driver must the affirmation that the divi is safe which is useful for us proxy bond holders in SSE. I am looking for £17 pounds here.

[garycook] 19/4/2016 11:16

Glad I hold both NG,and SSE then !!!

[bountyhunter] 19/4/2016 10:58

NG. doing very nicely as well - both have high yields in an ongoing low interest rate environment.

[bountyhunter] 19/4/2016 10:57

and breakout from the recent downtrend?

[wad collector] 19/4/2016 09:09

It is a good stock?

[garycook] 19/4/2016 08:54

We are taking off.Can anyone explain ?

[garycook] 18/4/2016 09:44

Good for you gbb over 40% profit well done.

[gbb483] 18/4/2016 08:37

Whilst high yield is good, the odd speculative stock can 'pay dividends'. Hamworthy was such a stock, which was taken private, and today my Energy Assets holding has just brought home the bacon.

[atlantic57] 16/4/2016 20:24

Thank you gate side yes I must take full responsibility for my own investments !

[gateside] 16/4/2016 19:57

And here's mine - most from FTSE100 with majority paying a high yield....

SSE, NG., PNN, RDSB, BP., BLT, RIO, GSK, AZN, ABF, DGE, PZC, AMFW, JMAT, BMS, BRFI, JEMI, JLEN, HSBA, & VOD

Please do your own research.... good luck with your investing.

[atlantic57] 16/4/2016 13:13

Thank you gary

[garycook] 16/4/2016 10:50

Yes,But preferred RUSP with a quarterly dividend,and picked them up for 123,and 129.If I were to consider BBYB,I would need the share price to come back a bit to around 115 or below.Thank you for your help and recommendation.Will keep my eye on them.Also BBYB have a redempion on 01/07/2020 at £1 a share which put me off.

[eeza] 16/4/2016 09:56

@garycook

Have you looked at BBYB (Balfour Beatty 10.75% Pref) yields 9% at 119.00p offer.

[garycook] 16/4/2016 04:50

Sure you can have mine ADM,ALY,BEZ,BKG,BRCI,BP,CLIG,CNKS,CNA,FENR,GSK,GLIF,GVC,HGM,HSD,HSBA,KCOM,LRE,NG,PHNX,PSON,RDSB,RUSP,SSE AND VOD.Good buys at the moment for yield ALY,BEZ,BP,CLIG,CNKS,FENR,GLIF,HSBA,LRE,RUSP.Do your own research,all the rest are highly valued at the moment.

[atlantic57] 15/4/2016 15:08

Gateside/garycook are you happy to share some of the 25 Companies thanks

[gateside] 15/4/2016 10:30

Gary... Totally agree with your investment style. I have portfolio of 21 companies, mostly all with high yields which are reinvested. SSE being my largest holding.

[garycook] 15/4/2016 02:57

Tried Day trading, and lost money.Ever since I have created a High yielding Portfolio of around 25 stocks,and re-invested the dividends I have not looked back,and highly recommend it to anyone looking for income and growth to try it.Better than any pension,if you pick the correct shares.

[wad collector] 14/4/2016 08:57

As you say , trading can leave you either locked out or having to hold for a long time , but at least here the long term hold is a viable option. As long as you don't need your money out again in a hurry.

[garycook] 14/4/2016 02:27

Wad,Correct taking a profit is good,for day trading.But not if you are a long term Dividend investor.But point taken.Did it many times myself and regretted it later.Try trading NG.would never get back in.Good you can trade SSE