SSE has upgraded its full-year outlook, with the energy firm boosting its profit forecasts to nearly £1bn amid spiralling wholesale gas prices.
The FTSE-100 company has increased its earnings expectations from 83p to at least 90p in its most recent third-quarter update.
Rising wholesale costs have offset underwhelming renewable energy output, as the energy firm runs gas-fired power plants alongside hydroelectric and windfarms, meaning it can compensate for still periods by burning more gas.
Renewables output in the first nine months was 19 per cent below plan, mostly owing to a dry and wind still summer.
While electricity output from its gas-fired power plants was down 14 per cent year-on-year, it continues to provide valuable balancing services in an increasing renewables-led system.
SSE said it remains on track for its full year 2021/22 capex guidance in excess of £2bn pounds and it expected net debt of around £9bn at the end of the business year, which concludes on March 31.
The energy firm’s shares are currently down 0.16 per cent on the FTSE 100 despite the positive update.