Centrica increases 2013 interim dividend by 6%

DividendMax Ltd.

Centrica increases 2013 interim dividend by 6%


  • Adjusted earnings up 2% to £767 million; 14.8 pence adjusted basic earnings per share
  • Total adjusted tax charge rises 21% to £690 million; effective tax rate of 47%, up from 43%
  • British Gas Residential operating profit marginally higher than in 2012, with significantly higher environmental and commodity costs offsetting the impact of increased consumption due to prolonged cold weather
  • Full year British Gas Residential operating profit expected to be broadly in line with 2012
  • Challenging market conditions in UK business energy; implementing new systems to help improve service and reduce costs
  • Direct Energy benefiting from enhanced scale downstream, offsetting pressure on margins from rising commodity prices
  • Higher international upstream gas and oil production and profitability; continued good nuclear performance; UK gas-fired generation loss making in weak market conditions


  • Acquisition of Energy Marketing business of Hess Corporation makes Direct Energy the largest B2B gas supplier in the Eastern US
  • Agreement with Cheniere to export LNG from the US; 20 year £10 billion contract, taking our total supply commitment to around £60 billion
  • Announced £650 million Canadian gas asset acquisition, in partnership with Qatar Petroleum International
  • Acquired 25% stake in Bowland shale exploration licence, a potentially important source of gas for the UK
  • Organic investment of over £700 million in the first six months of 2013
  • First gas from York development in Southern North Sea and Rhyl project in East Irish Sea
  • 1,000 apprentices currently in training with British Gas; 200 new apprenticeships announced in June


  • 56,000 British Gas residential energy accounts added, reflecting competitive pricing and innovative products
  • ˜Tariff Check launched, proactively helping British Gas customers to choose the best deal for them
  • Over 500,000 vulnerable and elderly customers received £130 Warm Home Discount last winter
  • Over 1 million smart meters installed in UK homes and businesses
  • Launching ˜Free Electricity Saturdays' in Texas; Bounce Energy acquisition enhances online capabilities


  • All cash interim dividend up 6% to 4.92 pence per share, representing 30% of the prior year’s dividend, in line with established practice
  • Over £240 million of shares bought back to date under £500 million share repurchase programme

Companies mentioned