National Grid stock gets stronger outlook after record investment

Published on 11/10/2026 at 11:44 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

National Grid stock gained a stronger earnings outlook after record network spending. The utility also raised its interim dividend for shareholders.

Investment, Earnings And Dividend Outlook

National Grid lifted its full-year underlying EPS growth outlook after stronger first-half performance.
Record network investment is expanding the asset base while increasing financing demands.
The interim dividend is scheduled for payment in January 2027, ahead of the next full-year results.

National Grid, GB00BDR05C01, Illustration mit AI erstellt.

National Grid raised its 2026/27 underlying earnings-per-share growth guidance on Thursday, November 5, after reporting stronger first-half results. The company said the higher outlook reflects increased allowed revenue under the new RIIO-T3 price control and continued delivery across its regulated networks. The National Grid half-year release was published through Investegate.

For the six months ended September 30, underlying operating profit rose 13% to 2.591 billion pounds, while underlying EPS increased 22% to 36.5 pence from 29.8 pence. Statutory operating profit advanced 55% to 2.359 billion pounds and statutory profit before tax more than doubled to 1.730 billion pounds from 826 million pounds.

Investment Drives Network Expansion

Capital investment reached a record 6.707 billion pounds, up 33% from 5.052 billion pounds a year earlier. The increase was led by UK electricity transmission projects, including spending intended to expand network capacity and support new connections, with further investment in New York and New England.

National Grid expects full-year 2026/27 capital investment of 13.5 billion pounds. The group maintained its plan to invest at least 70 billion pounds through March 2031, with asset growth targeted at roughly 10% a year and underlying EPS growth of 8%-10% annually from the 2025/26 baseline.

Management said capital delivery is accelerating and that supply-chain and delivery mechanisms are secured for about 80% of the five-year programme. Chief Executive Zoë Yujnovich said the investment is intended to modernise and expand networks in the UK and the US Northeast while supporting reliability, electrification and energy security.

Debt And Earnings Quality Matter

The expansion is increasing balance-sheet pressure. Net debt stood at 48.6 billion pounds at September 30, up 4.4 billion pounds from March. National Grid expects net debt to rise by a further 4 billion pounds during 2026/27, while regulatory gearing is forecast at about 65% for the year.

The statutory profit comparison also benefited from favourable timing effects and exceptional items, including gains linked to the National Grid Partners portfolio and disposals. Underlying results therefore remain the more relevant measure for assessing the operating trend, although the higher debt burden and rising finance costs remain important risks as investment accelerates.

Dividend And Upcoming Dates

The Board approved an interim dividend of 16.97 pence per ordinary share, up from 16.35 pence a year earlier. Payment is expected on January 12, 2027, to shareholders on the register on November 20, 2026. The company continues to target dividend-per-share growth in line with UK CPIH over the five-year framework.

National Grid stock traded at 15.01 euros on Lang & Schwarz at 11:38 CET on Tuesday, November 10, 2026.