Severn Trent delivers strong annual profit growth, expects EPS to double by 2028

Published 21/05/2025, 08:38
© Reuters.

Investing.com -- Severn Trent (LON:SVT) reported strong full-year results and outlined ambitious earnings growth targets through 2028, underpinned by operational efficiency and rising revenues.

The company’s shares rose more than 2% in London trading. 

For the year ended 31 March, profit before tax surged to £320.1 million from £201.3 million, while net profit rose to £229.4 million, up from £140.2 million.

Earnings per share (EPS) increased to 76.4p from 50.9p.

Group profit before interest and tax (PBIT) rose 15.3% to £590.2 million. Revenue came in at £2.43 billion, compared with £2.34 billion the previous year.

The board proposed a final dividend of 73.03p per share, taking the total dividend for the year to 121.71p, up from 116.84p.

Looking ahead, Severn Trent expects adjusted earnings per share to double by 2028 from a base of 112.1p in 2025. "We expect this adjusted EPS growth to be weighted towards 2025/26 reflecting our bill profile," the company said in the release. 

In its 2025/26 guidance, Severn Trent said it expects to invest between £1.7 billion and £1.9 billion for the year. 

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