Challenger gas supplier Yu Group exceeds expectations amid concerns over price rises
Challenger gas supplier Yu Group exceeded expectations on its cash, earnings and profitability, as it looks to finish the financial year strongly.
The company said it expects earnings before interest, taxes, depreciation, and amortisation (EBITDA) of more than £4.7m, while its cash balance was ahead of expectations.
Its strong showing took place even with an annual payment of the renewable obligation certificates, and comes in wake of a financial restructuring in 2019.
This comes amid concerns over soaring energy prices and a £150bn package proposed by new prime minister Liz Truss.
The company said its results were rooted in a new digital strategy and improved ‘customer value propositions’.
Yu’s board said it is closely monitoring the ability of customers to handle increasing energy prices, “especially as we enter a period where customers traditionally renew contracts and could see a significant price increase due to the exceptionally high global commodity market prices”.
It said the company is working with he government to implement a support package for firms, ahead of further results released a the end of the month.