Centrica reduces its 2015 full year dividend by 11%
Resilient financial performance in a challenging environment. Adjusted earnings per share of 17.2p, down 4%.
Adjusted operating cash flow up 2% to £2,253 million.
9% reduction in net debt to £4,747 million.
Post-tax exceptional items of £1,846 million primarily as a result of falling commodity prices.
Group robust in a low commodity price environment (flat real $35/bbl Brent oil, 35p/th UK NBP gas, £35/MWh UK power prices) with sources and uses of cash flow more than balanced over 2016-2018.
Confident in delivery of at least 3-5% per annum adjusted operating cash flow growth from a 2015 baseline adjusted for the low commodity price environment1. 2016 adjusted operating cash flow expected to exceed £2 billion.
Proposed 2015 final dividend of 8.43p, resulting in a full year dividend of 12.0p and dividend cover of 1.4 times. Delivery of progressive future dividend tied to confidence in underlying operating cash flow.
Strategy implementation on track with growth focus on customer-facing activities; adjusted operating profit from energy and services businesses up 19% in 2015. E&P free cash flow positive in 2015.
£750 million per annumby 2020 cost efficiency programme underpinned in our plans; £200 million of savings expected in 2016. 1. The low commodity price environment assumes flat real prices of $35/bbl Brent oil, 35p/th UK NBP gas and £35/MWh UK power.
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