Shares of SSE Plc (LSE:SSE) fell over 2% on Thursday after the energy company projected a decline in first-half earnings per share for the 2025–26 fiscal year.
The UK-based utility forecast H1 2025–26 EPS of 33p to 37p, consistent with typical seasonal averages but placing the midpoint at roughly 23% of Jefferies’ full-year EPS estimate of 156p, which the brokerage described as “a small negative.”
SSE indicated that full-year performance is expected to remain broadly unchanged, though no formal guidance was provided. Adjusted first-half capital expenditure is projected to rise approximately 60% year-on-year to £1.1 billion, reflecting continued acceleration of Networks spending. Total H1 capex is expected to reach around £1.5 billion, while net debt and hybrid capital are forecast at about £11.5 billion, slightly below Jefferies’ FY25/26 projection of £11.8 billion.
In the renewables segment, the company reported strong second-quarter output, offsetting weaker first-quarter performance due to adverse weather. SSE expects total first-half renewable generation of approximately 5.3 TWh, down 2% year-on-year, with second-quarter output flat at 2.8 TWh.
The company also provided updates on its investment program. SSE submitted the final major ASTI consent application and received planning approval for the Netherton Hub in Aberdeenshire. Major consent was also secured for the Berwick Bank offshore wind farm, clearing the way for potential participation in the UK AR7 auction round.
Jefferies maintained its full-year EPS range for 2026/27 at 175p–200p. Analysts described the first-half midpoint as “on the low end,” reflecting modest near-term earnings pressure despite ongoing capital deployment.
SSE’s guidance highlights continued investments in networks and renewables, alongside weather-driven variability in output. The company reiterated that first-half results are in line with seasonal trends, which typically account for 20–30% of annual earnings in the first six months.
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