Pennon Group Turns To Profit In FY26, Sees Growth In FY27, Cuts Dividend; Stock Drops

(RTTNews) - Pennon Group Plc (PNN.L), a water and utility company, reported Wednesday a profit in fiscal 2026, compared to prior year's loss, with cost management and significant growth in revenues. Further, the firm trimmed annual dividend, and issed fiscal 2027 outlook, expecting higher underlying EBITDA.

On the London Stock Exchange, Pennon shares were trading at 491.20 pence, down 3.21 percent.

In the full year, profit before tax was 114.4 million pounds, compared to last year's loss of 72.7 million pounds. Basic earnings per share were 19.4 pence, compared to loss of 16.1 pence per share a year ago.

Underlying profit before tax was 135.1 million pounds, compared to loss of 35.1 million pounds last year. Adjusted basic earnings per share were 28.3 pence, compared to loss of 10.3 pence last year.

Underlying EBITDA climbed 55 percent to 519.2 million pounds from 335.6 million pounds last year, as a result of increased revenues and a focus on cost management.

Group revenue was 1.291 billion pounds, higher than prior year's 1.048 billion pounds, reflecting strong growth across the business.

Further, the Board has recommended a final dividend of 20.03 pence per share for the year, resulting in total dividend per share for the year of 29.29 pence, down from 31.57 pence last year.

Looking ahead for fiscal 2027, underlying EBITDA is expected to increase by 5 percent to 10 percent from the prior year, with the anticipated increase in revenue along with the cost increases.