Severn Trent (LSE:SVT) upgraded its 2028 adjusted basic earnings per share outlook to at least 250p, from 224p, in its preliminary results for the year ended 31 March compared with the year to 31 March 2025.
Group revenue rose 16.6% year‑on‑year to £2,831m and profit before interest and tax increased 45.9% to £861m, delivering adjusted basic EPS of 184.4p (2025: 112.1p) and profit before tax of £524m.
The company invested a record £1.9bn in the year, driving a 13% increase in the regulatory asset base to £15.4bn and guiding FY27 capital investment of £2.2-2.5bn with RAB projected to reach £17.4bn.
“We have invested £1.9 billion … increasing the scale of our investments by over 60% in two years,” said James Jesic, Chief Executive.
Severn Trent earned £73m of performance incentives in FY26 (c.£59m in 2022/23 prices), is targeting at least £50m in FY27 and reaffirmed guidance of over £300m of total incentives to 2030.
Regulated Water and Wastewater produced turnover of £2,629m and PBIT of £850m while Infrastructure Services grew turnover to £230m and EBITDA to £55m.
Adjusted net debt was £10,054m at 31 March, cash and short‑term deposits were £796m, regulated gearing was 63.6%, and the Board proposed a final dividend of 75.62p (total 126.02p, up 3.5%).
Net finance costs rose to £302m as average net debt increased to £9,237m, and management notes around 90% of wholesale energy exposure is hedged to FY29.
