SSE: FY results largely in line. Conference call feedback

Research evidence excerpt

SSE: FY results largely in line. Conference call feedback

Deutsche Bank Group

Deutsche Numis Research

Rating Company Date

Buy SSE 28 May 2026

Results

Europe

United Kingdom

Reuters Bloomberg Exchange Ticker Price at 27 May 2026 (GBP) 2,430.00

SSE.L SSE LN LSE SSE

Price Target (GBP) 2,900.00

Utilities

Electricity ADR ISIN 52-week range (GBP) 2,757.501,612.00-

SSEZY US78467K1079

FY results largely in line. Conference call

Valuation & Risks feedback

James Brand, CFA

Results slightly ahead, with guidance unchanged Research Analyst

SSE reported FY 2025/26 results slightly ahead of consensus (3%), although with +44-20-754-74705

this partly reflecting accounting changes announced close to the results. FY

Olly Jeffery

2025/26 EPS was 153.5p, at the top end of the revised guidance range of 149-154p Research Analyst

(DB / Bloomberg consensus estimates c.149.5p). SSE effectively reiterated +44-20-754-70055

guidance for 2026/27 and 2029/30. For 2026/27 guidance is 168-193p, which is the

old multi-year guidance of 175-200p, adjusted for the capital raise. The midpoint of

this range is broadly in line with consensus at 181p (consensus 183p, DB 192p).

2029/30 EPS guidance is unchanged at 225-250p (DB 241p, consensus 238p).

2025/26 net debt was in line at £10.1bn (DB estimate £10.0bn, last year £10.2bn),

and DPS was increased by 7% YoY, within the 5-10% range.

Conference call feedback: demand growth, data centres, delivery, regulation

The main points from the CC: 1) SSE has not incorporated meaningful demand

growth into its targets and this presents potential upside if it comes through; 2)

SSE's distribution area sits in a key region for data centres, with 2GW of connection

requests; 3) It is making good progress on its transmission line rollout, with 5 of 11