Key Takeaway: Moody's downgraded Southern Water to junk status , citing financial and operational underperformance, compounding the broader issues facing the UK water sector. Southern Water Ltd’s credit rating was downgraded to junk by Moody’s , with a warning of potential further cuts due to its weak performance history and financial challenges. This downgrade impacts the company’s ability to raise the £4 billion in new debt and £650 million in equity required for its capital plans. The UK water industry is facing heightened scrutiny due to concerns over chronic leaks, sewage spills, and high-interest rates. Southern Water, which supplies over two million people in England, could face severe penalties from the regulator Ofwat , which may limit funds for essential upgrades. Following the downgrade, Southern Water’s 2026 bonds dropped 2.7 pence to around 85 pence on the pound. Despite the rating cut, Southern Water assured customers that services would continue unaffected, hig
Key Takeaway: Hume Cement's profit declined modestly in 1QFY2025 due to lower demand, but the company declared a higher dividend of four sen per share in response to improved production efficiency.
Hume Cement Industries Bhd reported a net profit of RM47.42 million for the first quarter ended Sept 30, 2024, a slight decrease from RM48.33 million in the previous year, as reduced demand affected cement sales. Revenue dropped 7.48% year-on-year to RM283.71 million, while earnings per share fell to 6.55 sen from 9.46 sen.
Despite lower demand, Hume Cement offset some of the impact through reduced input and production costs, driven by manufacturing efficiency improvements. The company announced a dividend of four sen per share, double last year’s payout, with payment set for Dec 18.
Hume Cement expects growth in demand as Malaysia’s construction sector expands. The stock closed at RM3.42, up 0.88%, with a year-to-date gain of 52%.
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