Sse Share Discussion Threads

[skinny] 17/11/2021 16:48

Thanks Pierre - I was going to listen later - perhaps I won't bother.

[skinny] 17/11/2021 14:53

Has anyone watched the recording? (post 3503).

[jrphoenixw2] 17/11/2021 13:26

Their 'Growth enabling dividend plan' = cutting the div by 1/4+ from 2023/24 to build more wind turbines.

[marktime1231] 17/11/2021 12:42

Yes good Interims but that is not the story today. I hope people tuning in to the briefing have been able to ask the questions which this announcement raises.

Still progressing the dividend only to cut it 25% in two year's time. Eh?

Debt of 4.5 x EBITDA is ok?

An extra £1B pa capex over the next 5 years going on what exactly? Looks like more big wind projects, very little detail on the hydro project, ccs, hydrogen, battery storage ... SSE admit the plan needs to be balanced for when the wind does not blow, so where are the balancing investments?

Who might buy minority stakes in the networks and distribution businesses?

Who is going to invest in networks if SSE doesn't?

How is this better than what Paul Singer had in mind?

[otemple3] 17/11/2021 12:19

They do still supply businesses but these contracts generally pass on price risk (and scale is far smaller than domestic)Suggest you watch a recording of the strategic announcement this morning (if it is released) as the business is quite a different proposition now - lower dividend but targeting capital growthIt looks a sensible move and will attract new investors, but will potentially deter those totally focused on dividends

[pierre oreilly] 17/11/2021 12:10

Thx ot, no I didn't know that. All the better!. Do they supply businesses? If so, maybe the logic still holds with some on fixed contracts?

I suppose since I have so much invested here I should follow more closely but with these big ones I just tend to buy and hold for yonks to take the Divi.

[otemple3] 17/11/2021 10:43

PO, I may be misunderstanding your post but you know they sold the retail business so are not in domestic supply.......

[tresham] 17/11/2021 10:01

SSE shares down because SSE do not want to be broken up. In the long run I think this is better for share holders.

[pierre oreilly] 17/11/2021 09:30

Took advantage of the drop - been waiting for a while, that gets my income up a bit.

I sold a few some weeks ago when wholesale prices menat all suppliers were making a stonking loss, causing the less well financed to go bust. Wholesale electricity prices are coming down now, and in a week or so, another 1GW will come back on line, lowering prices further from what they would otherwise be. Lets hope wind picks up too. When it doesn't blow, prices will be sky high irrespective of all else.

SSe is also a generator, so offsetting much of the supplier losses (their profits rise as prices rise). Although i disagree with green subsidies, sse have lots and will rake in the cash whether the wind blows or not, and they are investing much more in (ridiculous but subsidy lucrative at these penetration levels) wind.

Gov energy policies make sse a great investment, but ensures massive bills for consumers. At least we can use the sse divi to ameliorate our energy bills!.

[partenope] 17/11/2021 08:58

recovering now...phew!

[roguetraderuk] 17/11/2021 08:50

best thing that can happen here is that they reset the dividend a little to ensure its not a cliff edge as it has been to date. paying 81p dividend from 83p eps is asking for trouble. a pity since it appears to tick a lot of boxes.

[nerja] 17/11/2021 08:43

Well small top up for me, it’s not like it’s profits are falling it’s just switching from a utility dividend to a growth renewable one as I see it.

[irenekent] 17/11/2021 08:36

Pity there is no wind. More green-washing.

[bountyhunter] 17/11/2021 08:27

They probably should have announced this going into COP26! Maybe not bad longer term if they become a 100% renewables company, that could well be the intention.

[partenope] 17/11/2021 08:20

down 6.5%.

[bountyhunter] 17/11/2021 08:09

Yes, 60p from 23/24 incrementing by 5% pa to enable acccelerated investment in renewables. Now they definitely need to divest the non 'green' side to be rerated against peers as a 100% green, renewable, low carbon company! Today's news may well only increase the pressure from Elliott to do this imv not decrease it.

[partenope] 17/11/2021 08:04

dividend cut! (from 23/24)

[bountyhunter] 17/11/2021 07:44

Yes a step change there, possibly responding to pressure from Elliott?

[18bt] 17/11/2021 07:37

Like the acceleration of renewables.

[nerja] 17/11/2021 07:34

Half year seem good to me

[jrphoenixw2] 16/11/2021 20:46

From the Telegraph's 'rolling market news' column today, here @ 6.26pm:

SSE 'considers sale' of stake in power network division
SSE is said to be mulling the sale of a stake in its electricity network assets as it tries to fend off pressure from activist investor Elliott Investment Manager.
The energy giant is also considering a move to increase capital expenditures in its renewables business, Bloomberg report.
The plans could be unveiled as part of a strategy update due on Wednesday.

[wad collector] 15/11/2021 14:01

No, you are right . I should stop looking at the share price ; hold and forget !

[paulo435] 11/11/2021 11:03

Wad, impact on the share price here during Cop26 looked minimal ? (Only a few days left of it also). So you didn’t miss out on much I don’t think