Steve Mogford, Chief Executive Officer, said:
"This is a good set of results in a tough economic climate.
"Our stronger focus on operational performance is delivering further service improvements for customers and we have reduced customer complaints by 20 per cent in the first half of this year. We were one of only four water and sewerage companies to meet its regulatory leakage target in 2010/11 and our water supply and demand balance remains robust, with our reservoirs at healthy levels.
"We have improved our efficiency and have moved into the first quartile on relative efficiency for the water service and remain on course to meet our regulatory outperformance targets. Alongside this, we have continued to make high levels of capital investment in our assets to maintain and improve the resilience of our network.
"In line with our dividend policy of targeting growth of two per cent above RPI inflation, we have increased the interim dividend by 6.7 per cent to 10.67 pence per share."
