In its annual report, the company added that it had delivered £491 million worth of investment, water quality matched that of 2010, its highest recorded level, and written complaints, and leakage, were down.
Group profit before tax for the year to 31 March 2012 was £107 million, down £38.8 million before exceptional items. Consolidated revenue in the year increased by £11.4 million to £1,138.5 million, however costs rose £55.1 million to £844.2 million. The firm said that was mainly due to a £7.9 million increase in Scottish Water total operating costs, a £12.2 million increase in Business Stream operating costs and a £35.6 million increase in depreciation and infrastructure maintenance costs.
For Scottish Water, the profit before tax in the year was down £43.2 million to £74 million, mainly due to the price freeze.
The profit before tax for Business Stream in the year was £32.8 million, an increase, up £9.7 million or 42 per cent from 2010/11. However, operating costs increased year-on-year by £6.1 million or 26 per cent reflecting higher bad debt costs and continuing investment to improve data quality and business transformation projects.