Severn Trent in profits leak
Coventry-based water company Severn Trent has posted a 16 per cent drop in first half profit. But the company says it is approaching the end of a "significant period of change" and is making "good progress in many key areas".
The results, impacted by extra costs for restructuring and infrastructure spending, showed half-year pre-tax profits for the company had fallen from £208.2m to £101.1m. Turnover increased 1.9 per cent to £867.9m.
Tony Wray, the company's chief executive, said: "We have continued to raise standards and drive greater efficiency across the business with good progress in many key areas including further improvements in customer service, sewer flooding and leakage. We are also pleased to report that despite challenging markets, Severn Trent Services has returned to growth, as expected.
"Thanks to the support and hard work of all our people, Severn Trent is approaching the end of a significant period of change, which has increased our confidence in the future of our business and our ability to deliver on planned savings and operational improvements."
Severn Trent supplies water and sewerage services to millions of households in the Midlands and mid-Wales.
