What's happened
Octopus Energy, Britain's largest energy supplier, reported a £260.1 million pre-tax loss for the year ending April 2025, mainly due to weather impacts and regulatory changes. Despite this, it gained 800,000 UK customers, overtaking British Gas, and announced a major stake sale in Kraken Technologies, valuing it at $8.65 billion, with plans for a potential stock market listing.
What's behind the headline?
The financial results highlight the volatility in the UK energy sector, where weather patterns and regulatory shifts significantly impact profitability. Octopus's growth in customer numbers and overseas expansion demonstrate resilience and strategic positioning. The sale of a stake in Kraken, valued at $8.65 billion, indicates a focus on leveraging technology to diversify revenue streams and prepare for a potential public offering. However, the company's ongoing discussions with Ofgem about financial resilience suggest that regulatory compliance remains a challenge. The move to spin off Kraken could accelerate its global expansion, but it also exposes the company to market risks associated with tech IPOs. Overall, Octopus's strategy of balancing growth, innovation, and regulatory navigation will determine its future stability and market influence.
What the papers say
The Independent reports that Octopus Energy's losses were primarily due to weather and regulatory changes, but it added 800,000 UK customers and increased overseas clients, overtaking British Gas. The company also announced a stake sale in Kraken Technologies, valuing it at $8.65 billion, with plans for a possible IPO. The NY Post highlights the company's strategic investments and the sale of a minority stake, emphasizing its focus on innovation and growth despite weaker profits. Both sources agree on the company's expansion and technological focus, but The Independent provides more detail on regulatory discussions and financial resilience efforts, while the NY Post emphasizes the investment and valuation aspects.
How we got here
Octopus Energy, which became the UK's largest energy supplier earlier this year, reported a pre-tax loss driven by warmer weather reducing gas demand and the end of energy crisis allowance payments. The company also took on costs related to its acquisition of Bulb in 2021. Despite financial challenges, it expanded its customer base and announced a stake sale in Kraken Technologies, a move that could lead to a stock market flotation. The company remains in discussions with regulators about meeting financial resilience targets, and its investment in innovation aims to sustain growth.
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Common question
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Why is Bet365’s CEO’s pay rising despite profits falling?
Bet365's CEO, Denise Coates, received a significant increase in her pay and dividends in 2025, even though the company's profits declined. This raises questions about executive pay in the betting industry and what factors influence these decisions. Below, we explore why her compensation is rising, what it means for shareholders, and whether a sale of Bet365 could be on the horizon.
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Why Did Octopus Energy Report a Huge Loss in 2025?
Octopus Energy, despite being the UK's largest energy supplier, reported significant financial losses in 2025. This raises questions about what caused these losses and how the company is managing its growth. Many wonder how a company can lose money yet still expand rapidly. Below, we explore the reasons behind Octopus Energy's financial results, its customer growth, and what the future might hold for energy companies in a changing market.
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Bet365 Group Ltd is a British online gambling company based in the United Kingdom. It was founded by Denise Coates, who remains the majority shareholder and joint chief executive alongside her brother, John.
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Denise Coates CBE is a British billionaire businesswoman, the founder, majority shareholder and joint Chief Executive of online gambling company Bet365.
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