LONDON, April 2, 2026, 16:12 BST
SSE raised the lower band of its full-year earnings forecast on Thursday, crediting a jump in renewables output and increased investment in its electricity networks for the improved outlook. The UK utility is now targeting adjusted earnings per share between 147 pence and 152 pence for the year to March 31—narrowing in from its earlier view of 144 pence to 152 pence. Preliminary results land May 28.
The update drops just as Britain’s energy sector hits a tricky patch. Fresh government numbers out Thursday put renewables at 52.5% of the country’s power in 2025—a record. But Cornwall Insight analysts now expect the household energy price cap, which limits standard tariffs each quarter, to jump roughly 18% in July.
SSE found itself in the spotlight after unveiling its £33 billion five-year plan back in November, aiming to ramp up renewables and overhaul the grid to keep pace with rising electricity demand driven by EVs and AI-related data centers. On Thursday, the company reported no instant impact on its operations from recent Middle East events.
The company is projecting renewable output for 2025/26 at around 14.5 terawatt hours—up 10% compared with last year. Capital investment in its networks businesses is set to jump about 60%, while total group spending lands near 3.5 billion pounds. As of March 31, adjusted net debt and hybrid capital stood just above 10 billion pounds.
Nearly all of the additional networks spending is being funneled into transmission. SSE reported that construction is underway on five out of its 11 key projects, and 26 of the 34 major consents needed have been locked in. There’s no change to other operating profit forecasts or to its forward guidance.
This update follows January’s offshore wind auction, which saw major contracts go to SSE and Germany’s RWE. The UK landed a record haul of offshore wind capacity in that round, part of its push to mostly decarbonise the power sector by 2030.
Aarin Chiekrie, equity analyst at Hargreaves Lansdown, noted the new, narrower range keeps SSE in the “top half of previous guidance.” The stock ended up “broadly flat in early trading,” Chiekrie wrote. Keith Bowman, over at Interactive Investor, sounded a more cautious tone, flagging that “the cost of investments is likely to weigh on earnings in the short to medium term.” Hargreaves Lansdown
The raised outlook doesn’t quite bring SSE back to the 160.9 pence in adjusted earnings per share it logged last year. Certain risks persist—renewable generation still hinges on the weather, while regulated grid investments only pay off once the capital is out the door.
Another bump in gas prices would only crank up the heat. Ofgem cleared £28 billion for grid spending in December, yet the timing isn’t great—household bills are already feeling the squeeze. SSE maintains its current business mix has managed to weather recent energy market swings, but the political optics remain tricky as costs pile on.
SSE’s latest trading update shored up its earnings baseline, but the bigger picture—ambitious investment—remains intact. Investors waiting for details on cash flow, debt, and project milestones will have to check back on May 28, when the company is set to report.
