United Utilities has said it expects its profit for the financial year to be "moderately higher" compared to the previous year.
However, the company said it expects revenue to be lower for the year ended 31 March as a result of the accounting impact of the Water Plus joint venture.
United Utilities said it would likely incur costs of around £16m ($20m) as a result of non-household retail market reform and restructuring.
"Service delivery across our wastewater business has again been very good throughout the year, particularly in the areas of private sewers and pollution incidents," the company said in a trading statement.
"Underlying performance across our water system has also improved year-on-year, reflecting our significant investment and focus in this area."
United Utilities provides water and sewage services to around 7 million people and 200,000 businesses across the north west of England.
Its shares opened flat in London on 28 March.
United Utilities will release its 2016/17 full-year results on 25 May.