Interim results for the period ended 30 June 2025

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Strategic delivery with focus on value creation

• Resilient performance in a challenging market.
• Organic customer growth across all energy supply businesses; Services losses remain a focus.
• £2.5bn of investment programme to 2028 now committed, including Sizewell C announcement.
• Interim dividend increased by 22% to 1.83p, consistent with intention to increase full year dividend per share to 5.5p; £2bn share buyback programme ongoing. 
• £1.6bn EBITDA by end of 2028⁽ⁱ⁾ underpinned; transformation programme supports further upside.

“I'm pleased with the progress we've made in some areas during the first half despite a challenging backdrop, growing our customer numbers in energy supply and completing our system migration in British Gas Residential energy. But there is still much more to do across the Group, including improving our commercial performance in Services & Solutions. That's why we’re accelerating our efforts to make Centrica a leaner, more agile organisation, transforming the way we do business, allowing us to deliver on our full potential.

"Our investment in Sizewell C is a significant step forward. It is good for the UK, bringing investment and highly skilled new jobs to the country, good for the energy transition, bringing enough clean energy to power millions of homes, and good for Centrica, giving us predictable, regulated returns on our investment. We will continue to exercise the same patience and discipline that delivered the Sizewell C transaction as we continue with our capital deployment programme.”

Chris O’Shea | Group Chief Executive

Resilient financial performance

Six months ended 30 June 

• Adjusted EBITDA of £0.9bn (H1 2024: £1.4bn) with first half adjusted operating profit (AOP) of £0.5bn (H1 2024: £1.0bn) comprising of:
  • Retail AOP of £0.3bn (H1 2024: £0.2bn) driven by improved performance in British Gas Services & Solutions and energy supply, which has been impacted by a number of external factors.
  • Optimisation AOP of £0.1bn (H1 2024: £0.3bn) reflecting challenging market conditions for our Gas and Power Trading business.
  • Infrastructure AOP of £0.2bn (H1 2024: £0.5bn) impacted by lower commodity prices in Spirit Energy and Nuclear, and lower seasonal gas price spreads in Centrica Energy Storage+ ("CES+").
• Net finance income of £26m (H1 2024: £20m) due to lower interest costs as a result of lower interest rates and a benefit from repurchasing debt in 2024, partially offset by lower interest income on cash balances.
• Adjusted basic EPS for the first half of 7.0p (H1 2024: 12.8p).
• Statutory operating loss of £69m (H1 2024: £1.7bn profit) includes a net loss on re-measurements of derivative energy contracts and impairments of assets of £618m (2024: £642m gain). Statutory basic EPS for the first half was 5.1p loss (H1 2024: 25.1p profit). 
• Statutory net operating cash flow of £0.3bn (H1 2024: £0.8bn) includes £22m of margin cash and collateral outflow (H1 2024: £0.1bn inflow), closing with total margin cash posted of £0.1bn.
• Modest increase in capital expenditure to £244m (H1 2024: £221m), as we retain our disciplined focus on returns.
• Free cash flow of £0.2bn (H1 2024: £0.8bn) reflects lower EBITDA and dividends from associates.
• Balance sheet remains strong, with closing adjusted net cash of £2.5bn (FY 2024: £2.9bn).
• The IAS 19 pension deficit increased to £315m in the period (FY 2024: £21m deficit), largely reflecting updated assumptions following the triennial pension review, which was agreed in February 2025. The technical provisions deficit and funding plan are unchanged.
• £0.5bn cash returned to shareholders in the first half of 2025; £374m share buyback and £150m dividends. In-line with progressive dividend policy, interim dividend per share increased to 1.83p.

Strategic Highlights 

Delivering our strategic priorities: operational excellence, commercial innovation, investing for value.

• Customer numbers for the period increased by 81k in British Gas Energy residential, including net organic growth of 12k, by 17k in Bord Gáis Energy and by 7k in small business customer sites.
• Increased profitability in British Gas Services & Solutions, with top-line revenue growth of 4% supported by stronger customer retention and continued focus on cost discipline. Commercial performance remains a key focus to reverse customer losses, which were 65k in the first half.
• Customer satisfaction improvements across Retail with higher net promoter score ("NPS"), an improved British Gas Trustpilot score of 4.3 stars and the Uswitch Energy Awards Best Overall Improvement winner for the second consecutive year.
• Delivering attractive returns from our investment programme:
  • £1.3bn capped investment in 3.2GW Sizewell C nuclear power station, with a real allowed return on equity of 10.8%, generating a 12%+ IRR.
  • 1m smart meters under management in our Meter Asset Provider (MAP) with low-risk 9%+ IRR.
  • Accelerating value with agreed sale of 46.25% interest in Cygnus gas field for total value of £215m.
  • Continuing to review the case for life extensions at our operating nuclear power stations.

Outlook

Outlook unchanged from our trading statement in May. For 2025 we currently expect:

• All Retail energy supply and Optimisation businesses to be within their medium-term sustainable adjusted operating profit ranges ("AOP range").
• British Gas Services & Solutions to deliver a further improved financial result compared with 2024, continuing the recovery towards its AOP range by 2026. 
• Despite the impact of weather, British Gas Energy residential supply to be within its AOP range.
• Centrica Energy to be towards the bottom of its AOP range, although this assumes further normalisation of market conditions.
• Centrica Energy Storage+ adjusted operating loss to be at the higher end of £50m-£100m range. 
• Group profitability is expected to be weighted to the first half of the year.
• The usual uncertainties remain for the balance of the year, including weather and commodity prices. Further details on our Spirit Energy and Nuclear hedge positions are provided on pages 16 and 17.