Jersey Electricity Registered (A) Fuels Growth Through Decarbonisation

• Edison Investment Research Limited issues outlook on Jersey Electricity (JEL), highlighting decarbonisation as a key driver for growth.
• JEL is focusing on energy security and electrification across Jersey, creating opportunities for accelerated growth.
• The company successfully navigated the volatile wholesale power price environment from 2020 to 2023, protecting its customers from inflationary pressures.
• Protection from volatile prices will decrease from 2025 as older, more favourable hedges expire, leading to a slight reduction in earnings forecasts due to increased exposure to wholesale prices.
• Edison has adjusted its earnings forecasts for FY24 by approximately 12% to reflect increased volatility and higher long-term wholesale power prices.
• Despite these changes, JEL's valuation remains well above its current share price, offering an attractive 4.7% dividend yield and maintaining a strong net cash balance sheet.

The next important date, Quarterly report, at Jersey Electricity Registered (A) is on 15.05.2024.