Earnings release
Page 1
RNS Number : 4923SSevern Trent PLC11 February 2026 Severn Trent Plc Trading Update Severn Trent Plc today announces the following trading update for the period to 10 February 2026. We have established strong momentum in the first year of this regulatory period and are on track to meet our environmental and operational targets. Our financial performance is in line with expectations. Thanks to the benefits of insourcing and scaling our programme early, we expect to deliver towards the top end of our capital investment guidance range of £1.7 billion - £1.9 billion, our highest-ever year. We remain on track to deliver at least £40 million of reward from outcome delivery incentives (ODIs)1 and price control deliverable (PCD)2 performance, expecting to achieve all PCD milestones and associated reward this year. We continue to drive further improvements in our year-on-year environmental performance and are confident of earning the highest possible 4-star Environmental Performance Assessment (EPA)3 for a record seventh consecutive year. James Jesic, Chief Executive, Severn Trent Plc, said: "This has been a quarter of delivery in a period of strong growth, and I am proud of the contributions of the whole team. Having taken the reins as CEO, I'm meeting every Severn Trenter face to face, and it's brilliant to see the level of energy and focus the organisation has on delivering for our customers and communities. "With our capital programme well underway, we remain on track to deliver on environmental targets and meet the financial guidance set out at our interim results. We have welcomed the Government's White Paper as a step in the right direction and look forward to further clarity on timing and implementation in the Transition Plan expected later this year." Financial calendar We will announce our full-year results for FY26 on 20 May 2026, and our Annual General Meeting will be held on 9 July 2026. Footnotes 1. ODI: Outcome Delivery Incentive. A framework made up of outcomes, measures, targets and incentives which provides companies with rewards for achieving stretching performance targets and compensates customers if performance is below performance targets. 2. PCD: Price control deliverables ('PCD's) set out Ofwat's expectations for delivery specifically on expenditure programmes, funded through defined expenditure allowances. 3. EPA: The industry standard measure of the environmental performance of water and sewerage companies ('WaSCs'), and 4-star represents the highest rating achievable.
Page 2
Enquiries Investors & Analysts Nicola Whitehouse Severn Trent Plc +44 (0) 748 450 8198 Head of Investor Relations Faye Stringer Severn Trent Plc +44 (0) 758 302 6677 Investor Relations Manager Media Ed Orlebar Cardew Group +44 (0) 773 872 4630 Press Office Severn Trent Plc +44 (0) 247 771 5640 Cautionary statement regarding forward-looking statements This document contains statements that are, or may be deemed to be, 'forward-looking statements' with respect to Severn Trent's financial condition, results of operations and business and certain of Severn Trent's plans and objectives with respect to these items. Forward-looking statements are sometimes, but not always, identified by their use of a date in the future or such words as 'anticipates', 'aims', 'due', 'could', 'may', 'will', 'would', 'should', 'expects', 'believes', 'intends', 'plans', 'projects', 'potential', 'reasonably possible', 'targets', 'goal', 'estimates' or words with a similar meaning, and, in each case, their negative or other variations or comparable terminology. Any forward-looking statements in this document are based on Severn Trent's current expectations and, by their very nature, forward-looking statements are inherently unpredictable, speculative and involve risk and uncertainty because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance and no assurances can be given that the forward-looking statements in this document will be realised. There are a number of factors, many of which are beyond Severn Trent's control, that could cause actual results, performance and developments to differ materially from those expressed or implied by these forward-looking statements. These factors include, but are not limited to: the Principal Risks disclosed in our latest Annual Report and Accounts (which have not been updated since the date of its publication); changes in the economies and markets in which the Group operates; changes in the regulatory and competition frameworks in which the Group operates; the impact of legal or other proceedings against or which affect the Group; and changes in interest and exchange rates. All written or verbal forward-looking statements, made in this document or made subsequently, which are attributable to Severn Trent or any other member of the Group or persons acting on their behalf are expressly qualified in their entirety by the factors referred to above. This document speaks as at the date of publication. Save as required by applicable laws and regulations, Severn Trent does not intend to update any forward-looking statements and does not undertake any obligation to do so. Past performance of securities of Severn Trent Plc cannot be relied upon as a guide to the future performance of securities of Severn Trent Plc. Nothing in this document should be regarded as a profits forecast. Certain information contained herein is based on management estimates and Severn Trent's own internal research. Management estimates have been made in good faith and represent the current beliefs of applicable members of Severn Trent's management. While those management members believe that such estimates and research are reasonable and reliable, they, and their underlying methodology and assumptions, have not been verified by any independent source for accuracy or completeness and are subject to change without notice, and, by their nature, estimates may not be correct or complete. Accordingly, no representation or warranty (express or implied) is given to any recipient of this document that such estimates are correct or complete. This document is not an offer to sell, exchange or transfer any securities of Severn Trent Plc or any of its subsidiaries and is not soliciting an offer to purchase, exchange or transfer such securities in any jurisdiction. Securities may not be offered, sold or transferred in the United States absent registration or an applicable exemption from the registration requirements of the US Securities Act of 1933 (as amended).
Page 3
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authorityto act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this informationmay apply. For further information, please contact rns@lseg.com or visit www.rns.com. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the informationcontained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. Forfurther information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy. END