United Utilities (UU) Share Price Rose 1.71% on Its Latest Update

The United Utilities Group PLC (LON: UU) share price rose 1.71% after releasing its latest trading update. The company has maintained a robust operational performance following its interim results announcement, with its financial outlook for the 2023/24 fiscal year remaining unchanged.

Assisting Customers: To date, during the current Asset Management Plan (AMP) period, approximately 370,000 customers have received help from United Utilities through its affordability assistance program. The company's future plans for the eighth AMP period include offering an unprecedented level of support, aiming to assist one out of every six customers with a total of over £500 million in aid.

Enhancing Service Quality: United Utilities received the top spot among Water and Sewerage Companies (WaSCs) and ranked fifth out of 31 in the utility sector, according to the latest Institute of Customer Service Index survey. This survey compares the performance of more than 280 organizations across various brands and sectors, highlighting United Utilities' commitment to service excellence.

Sustainability Achievements: The company has made notable progress in its sustainability efforts, as evidenced by its improved 2023 Sustainalytics ESG Risk Rating, where it ranked 12th among approximately 700 global utilities. Additionally, it was included in the S&P Global's 2024 Sustainability Yearbook, ranking in the top 10% based on the Corporate Sustainability Assessment (CSA) score among 74 companies in the multi and water utilities sector. 

United Utilities has maintained a CDP Climate A- score and earned a B on its inaugural Water Security Questionnaire, underscoring its dedication to environmental stewardship, transparency, and leadership. It has also been recognized as an early adopter by the Taskforce on Nature-related Financial Disclosures (TNFD) following its recommendations published the previous September.

ODI Performance Impact: The North West experienced significantly higher rainfall in 2023, with some areas seeing up to 50% more rainfall than in 2022 and 33% above the long-term average. Since the beginning of 2023, the region has been hit by 14 named storms, with nine occurring since late September. 

These conditions have negatively affected United Utilities' Outcome Delivery Incentive (ODI) performance for the 2023/24 period by approximately £25 million, though a net ODI outperformance of around £40 million is still anticipated for the year.

United Utilities share price. 

The United Utilities (UU) share price rose 1.71% to trade at 1041.00p from Tuesday’s closing price of 1023.50p.