The firm’s smart meter portfolio, which includes meter assets, energy data, grid-scale batteries, and other carbon reduction assets, expanded to approximately 2.3 million (30 June 2023), a substantial increase from the 2.1 million figure at the end of 2022. However, there was a slight contraction in the contracted smart meter order pipeline, reducing to around 1.95 million from 2.17 million at the end of the previous year.

Further growth was registered in the firm’s grid-scale battery storage assets, with a total portfolio increasing to 860 megawatts (MW), a notable surge from 760MW in December. Within this, 140MW is currently operational, falling within the board’s expectations. The company reported a net debt of £96.3m as of 30 June 2023, and it is exploring selective asset recycling to maintain prudent a level of gearing to support future growth.

Tim Mortlock, CEO of SMS, said: “We have delivered another strong operational and financial performance during H1 2023, a testament to the resilient nature of our business model which is underpinned by our index-linked recurring revenues.

“Our existing pipeline of meter and grid-scale battery assets is expected to more than double the Group’s EBITDA in c.4 years compared to FY 2022, with significant additional growth opportunities in existing and developing CaRe (carbon reduction) assets.”

The company is confident in its future financial performance, forecasting full-year 2023 dividends of 33.275 pence per share, marking a 10% increase year-on-year.