Wessex Water reports half-year loss of £13.1m down from a £5.9m profit at the previous interim

Wessex Water reported a half-year loss before tax to 30 September 2023 of £13.1m from a £5.9m profit at the previous the previous interim stage reflecting rises in interest loans and costs incurred at subsidiary venture and a £9.4m lift in operating costs.

Revenue was up £20.2m for the period to £287m with water and sewerage income was up £17.5m to £158.2m. Operating profit increased £10.8m year-on-year to £78m.

Finance income was up £5m as a result of higher interest rates on short- and medium-term deposits to take net financial costs to £91.1m.

Meanwhile financial expenses for the period were up 54% to £96.1m driven by a 48% hike in subsidiary undertakings to £86.4m and an £11.6m jump in interest on bank loans and leases as high inflation hit its index-linked bond portfolio. 

Dividends declared for the six months to 30 September 2023 were £37.0m – a reduction from £41.1m for the same period last year