By Oliver Griffin
SSE PLC (SSE.LN) said Wednesday that it expects adjusted operating profit for the first half of fiscal 2019 to fall by half compared with the year earlier period, citing the impact of high gas prices and warm weather.
The energy company, which is based in Scotland, said its adjusted operating profit in the first five months of the financial year, to Aug. 31, was down by around 190 million pounds ($247.4 million) compared with previous estimates.
The company said that due to the price cap put forward by U.K. energy regulator Ofgem--which is expected to be put in place by the end of 2018--it forecasts that the adjusted operating profit for its energy services business will be significantly less than expected at the start of fiscal 2019.
SSE said it expects to still recommend a full-year dividend of 97.5 pence a share for the financial year. It also expects to stick to the five-year dividend plan that it set out in May.
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