Affinity Water's profits drop to £46M
Affinity Water's annual profit before tax has fallen to £46M from £60M in 2015, the water-only company has revealed in its yearly results for the year ended 31st March 2016.
Operational costs for the year increased by £26.3M to £237.5M, a 12.5% increase, while revenue rose to £303M from £296M in the same period.
Aggregate, asset-related expenditure for the year was lower than the amount for 2015/16. This was due to a slower than anticipated start to its metering programme and delays in technology selections for water quality projects.
The company has spent £103M in enhancing and maintaining infrastructure and assets in 2015/16, with work expected to accelerate in 2016/17. Schemes include a mains cleaning project on Romney Marsh and an upgrade to Denge water treatment works.
Key achievements during the period included installing 30,000 meters under a water saving programme; redesigning its largest river intake pumping system to make significant energy savings; and reducing the number of burst mains by 9%.
However, one drawback for Affinity was its failure to meet a performance commitment related to the speed of response to supply disruption. The company has now said that its approach to reducing unplanned interruptions has now been re-focused on prevention, restoring supplies and fixing the problems that arise quickly.
Affinity Water Chief Executive Simon Cocks said: “I am really proud of the team at Affinity Water and I am delighted that we have made a strong start in the first year of our ambitious five year plan for our customers and communities.
“When I look back at our performance for 2015/16, the first year of our five year Business Plan, I recognise that there is more to do in the coming years to deliver on all our commitments, but this is a reflection of the genuinely stretching targets we have set ourselves.“
- WYG on the acquisition trail Consultant engineer WYG is looking to grow through "selective, small acquisitions" as well as organically. News... Read More >
- Wessex Water's borrowings increase to help fund investment programme Wessex Water's turnover increased from £492.1M to £524.9M and profit after tax increased from £107.9M to £169.3M,... Read More >
- Operational efficiencies saves Affinity Water £12M Affinity Water has announced revenue of £288M on a pre-tax profit of £43M for the year to March 31, 2013. Read More >
- Industry View: Let's not drop the ball after PR19 There must be better alignment between PR19 strategic plans and actual delivery plans if water companies are to get full... Read More >
- Round Table: Water Industry Procurement in AMP6 and beyond Have procurement practices so far in AMP6 reflected the regulatory shift towards whole-life cost and Totex? Participants... Read More >
- Disappointment replaces AMP6 optimism The first year of AMP6 is complete but has the regulatory cycle lived up to expectations of renewed vigour, or has it been... Read More >
- Competition is a driver for innovation Domestic water competition is planned for England before the end of this Parliament, and contractors that innovate to... Read More >
- Blog: Connecting data for efficiency and productivity Steve Hanslow believes that at a time when AMP6 is focussing water companies on total expenditure (TOTEX) driven outcomes,... Read More >
- Supply Network Manager Starting salary: Grade SF £30,767 - £41,226 Job description: Looking for your next career move in water supply? If so, we may have a fantastic... Read more here.
- Repair and maintenance ganger (team leader) Taunton Location: Taunton Starting salary: Dependent on experience and training certificates, plus standby allowance and call out Package: 45... Read more here.
- Repair and maintenance ganger (team leader) Yeovil Location: Yeovil Starting salary: 26,520 - 28,560 salary dependent on experience and training certificates, plus standby allowance and call... Read more here.
- Repair and maintenance ganger (team leader) Cossington Location: Cossington Starting salary: £26,520 - £28,560 salary dependent on experience and training certificates, plus standby allowance... Read more here.