Smart Metering Systems income rises as it signs new contracts with energy suppliers

Smart Metering Systems, which installs, owns and manages utility metering assets, expects results for 2016 to be in line with expectations after it installed more domestic meters, gained new contracts and income rose.

Annualised recurring income surged 20% to £41.3m for calendar 2016, while in the gas division, meter recurring rent grew 13% to £31.48m and data recurring income rose 17% to £2.58m.

For the electricity division, meter recurring rent more than doubled to £2.91m and data recurring income gained 26% to £4.33m.

During 2016, the total number of assets under management increased approximately 28% to 1.25m as the company invested in its gas and electricity metering portfolio. This includes 51,000 gas and electricity domestic smart meters which were installed towards the end of last year, in the new domestic smart meter market.

The company signed several contracts to install and own gas and electricity domestic smart meters with eight energy suppliers who currently supply about 2.5m consumers.

Chief executive Alan Foy said that 2016 had been “transformational” as the company model evolved to be a fully integrated service provider, which is evidenced by its delivery of year-on-year double digit growth on all key metrics.

He added: “The domestic smart meter market continues to move apace and we have signed contracts with some of the fastest growing energy suppliers in the UK. "

Shares in Smart Metering Systems were up 1.06% 572p to 0843 GMT.