Smart Metering Systems Hikes Dividend As Business At "Record Levels"

LONDON (Alliance News) - Smart Metering Systems PLC said Tuesday its profit and revenue for the ...

Alliance News 18 September, 2018 | 9:18AM
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LONDON (Alliance News) - Smart Metering Systems PLC said Tuesday its profit and revenue for the first half of the year rose as the company grew business "at record levels".

For the six months to June 30, Smart Metering Systems, which installs and operates gas and electricity smart meters, posted pretax profit up 9% to GBP10.1 million from GBP9.3 million a year prior. Meanwhile revenue jumped 27% to GBP46.7 million from GBP36.8 million a year ago.

Earnings before interest, taxes, depreciation and amortisation also increased by 29% to GBP23.4 million.

Chief Executive Officer Alan Foy said: "The first half of 2018 has seen us continue to grow the business at record levels, in addition to which we are delighted to have recently signed a significant smart meter contract on an exclusive basis with a large independent energy supplier."

In the first half, Smart Metering Systems added 500,000 metering assets to its portfolio of assets under management. It now has over 2.5 million of them from 2.0 million at the end of 2017.

"This increase includes an additional 267,000 smart domestic meters, taking our overall smart meter portfolio to 690,000 domestic meters," the company said.

The portfolio currently generates annual recurring rentals of GBP69.3 million.

"This represents an increase of 43% from the same period in 2017, and an increase of 22% since the start of the year, with this recurring revenue being based on long-term index-linked rental contracts," the company said.

Smart Metering Systems proposed a 15% hike to its interim dividend to 2.0 pence.

Looking ahead, the company said it remains confident in its ability to continue to grow for the remainder of 2018 and beyond.

Smart Metering Systems shares were trading up 0.5% at 611.00 pence each.

By Elena Cherubini; elenacherubini@alliancenews.com

Copyright 2018 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Smart Metering Systems PLC 529.50 GBX -1.21 -

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