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JEL

Jersey Electricity PLC

Utilities First-pass screen £54m
320/1000 Overall fit
AI beneficiary 35% 20
Operating leverage 25% 32
Valuation 25% 32
Downside protection 15% 60

First-pass take

Regulated island utility with zero AI exposure and negative operating leverage. Operating margin compressed 210bps despite 7.7% revenue growth; heavy capex (£30m annually, £120m Big Upgrade programme) drives free cash flow negative (−£5m). Net cash collapsed 55% YoY to £8.7m; dividend cover deteriorated to 1.7x with 5% payout increase despite declining earnings.

Flags

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