'Blue planet effect' provides momentum for Pennon

Water utility and waste management group Pennon said full year underlying earnings rose 8.3%, driven by its waste recycling unit and greater awareness triggered by the BBC's 'Blue Planet' television series.

Underlying pretax profit at the South West Water owner, rose to £280.2m from £258.8m a year ago. Statutory pre-tax profits fell 1% to £260.3m.

Underlying earnings per share rose 13.6% to 57.8p. The dividend was lifted to 41.06p a share from 38.59p.

Pennon's waste recycling business Viridor received a boost from increased awareness of dumping single-use plastics into the planet's oceans and government policy following track.

Viridor earnings before interest, tax, depreciation and amortisation rose 19% to £179m.

"There was a partial recovery of global recycling markets in 2018/19 following import restrictions by China in the prior year, and we see ongoing value in high quality recyclate," the company said, adding that it would invest £65m in a new plastics recycling facility.

Extreme weather conditions in the UK hit results at the South West Water business, causing a high number of leaks and supply interruptions.