Affinity Water has seen its annual profits before tax fall to £46 million from the previous year’s figure of £60 million after it revealed its annual results for the last financial year (2015/16).

The company posted a 12.5% increase on yearly operational costs, with an increase of £26.3 million up to £237.5 million, while in the same period revenue went up from £296 million to £303 million.

The year’s asset-related expenditure was lower than the previous year’s amount because of delays in technology selections for water quality projects and a slower than expected start to its metering programme.

In 2015/16, the company has spent over £100 million on maintaining and enhancing its assets and infrastructure, with work anticipated to speed up in the next year. Among its schemes are an upgrade to Denge water treatment works and a mains cleaning project on Romney Marsh.

The company also posted some significant achievements during the last year, including the installation of 30,000 meters beneath a water saving programme, a redesign of its biggest river intake pumping system that will make major energy savings and a reduction in the number of burst mains by 9%.

However, some bad news for Affinity came in its failure to meet one of its performance commitments relating to the speed of response to supply disruption.

The company has now stated that it has refocused its approach to reducing unplanned interruptions on fixing the problems that come about quickly, restoring supplies and prevention.

Simon Cocks, Affinity Water Chief Executive, said that he was proud of the Affinity Water team for the strong start they have made to its first year of an ambitious five year plan for communities and customers.

He added: ““When I look back at our performance for 2015/16, the first year of our five year Business Plan, I recognise that there is more to do in the coming years to deliver on all our commitments, but this is a reflection of the genuinely stretching targets we have set ourselves.”