New Domestic smart meter contract win and Post-Close Trading Update
New Domestic smart meter contract win
Smart Metering Systems plc (AIM: SMS.L) ("SMS"), the integrated metering services company that connects (installs), owns, operates and maintains UK metering assets, is pleased to announce that it has signed an agreement with Co-operative Energy Limited ("Co-Operative Energy") to provide services as an integrated domestic smart meter installer and Meter Asset Provider.
Under the terms of the agreement, SMS has been appointed as the preferred supplier to fund and install domestic smart meters on behalf of Co-operative Energy in certain defined geographic areas. Co-operative Energy currently has around 326,000 meter points within the areas in which SMS has been appointed as preferred supplier.
This forms part of the UK Government programme, overseen by the Department of Business, Energy and Industrial Strategy (BEIS), requiring domestic energy supply companies to provide all of their customers with a smart meter in homes and small businesses across the UK by 2020.
Post Close Trading Update
The Company's continued investment throughout the year saw the total number of metering and data assets under management increase by approximately 54% to 3.13m by 31 December 2018 (2.03m at 31 December 2017). This figure includes a portfolio of 846,000 domestic smart meters representing a 100% increase year on year (423,000 domestic smart meters at 31 December 2017).
Total annualised recurring revenue increased by 32% to £75.3m as at 31 December 2018. In the Gas division, meter recurring revenue grew by 19% to £42.9m, while data recurring revenue increased 6% to £3.1m. In the Electricity division, meter recurring revenue nearly doubled to £20.3m and data recurring revenue grew 34% to £9.0m.
Based on unaudited management accounts for the period, SMS expects that its results for the year to 31 December 2018 will be in line with current market expectations and these will be published mid-March 2019.
"2018 has seen continued growth and we are delighted with another strong period of trading allowing us to deliver for our customers in the fast-growing domestic smart meter market.
"We are delighted to be working with Co-operative Energy, a sustainable long-term business which is owned by its members and aims to provide 100% green electricity to all of its customers. Co-Operative Energy is, like SMS, committed to leading the smart energy revolution and we look forward to bringing the benefits of smart meters to its customers."Chief Executive Officer
For further information:
Smart Metering Systems plc
Alan Foy, Chief Executive Officer
David Thompson, Chief Financial Officer
Craig McGinn, Company Secretary
Dilip Kejriwal, Investor Relations
0141 249 3850
Cenkos Securities plc
0131 220 6939 / 0207 397 8900
020 7074 1800