National Grid stock: investment surge lifts earnings outlook

National Grid raised its earnings outlook after record investment in its electricity and gas networks, reinforcing the growth case while increasing the financing demands on the utility. The update came with the company's half-year results for the six months ended September 30, 2026, released on November 5.

According to Yahoo Finance, National Grid increased first-half capital investment by 33% to GBP 6.7 billion. Spending accelerated across transmission networks, led by UK Electricity Transmission projects under the RIIO-T3 price control. Underlying operating profit rose 13% to GBP 2.6 billion, while underlying EPS increased 22% to 37 pence.

Higher returns require heavier funding

The company now expects underlying EPS to increase 15% to 16% in financial 2026/27 from the 2025/26 baseline of 78.0 pence. That is above its previous 13% to 15% range and reflects higher allowed revenue as National Grid increases delivery under the new regulatory framework.

National Grid expects capital investment of GBP 13.5 billion during the current financial year. Its five-year programme calls for at least GBP 70 billion across the UK and the northeastern United States through March 2031. Management also reiterated a target for underlying EPS growth of 8% to 10% annually through 2030/31, alongside asset growth of about 10% a year.

The investment cycle is already affecting the balance sheet. Net debt rose by GBP 4.4 billion to GBP 48.6 billion at the half-year stage, as the group funded network spending and its investment in US power developer Joulent. Statutory pre-tax profit nevertheless more than doubled to GBP 1.73 billion from GBP 826 million, while statutory operating profit increased 55% to GBP 2.36 billion.

Dividend growth remains part of plan

The board raised the interim dividend by 4% to 16.97 pence per share. Payment is expected on January 12, 2027, to shareholders on the register on November 20, 2026. National Grid continues to target dividend growth in line with UK CPIH, linking shareholder distributions to its regulated asset expansion.

National Grid stock traded at 15.25 euros on Lang & Schwarz at 11:44 CET on Friday, November 13, 2026.

National Grid plc at a glance

• Company: National Grid plc
• ISIN: GB00BDR05C01
• WKN: A2DQWX
• Trading symbol: NNGF
• Exchange: Xetra Frankfurt
• Lang & Schwarz quote: 15.25 euros on November 13, 2026 at 11:44 CET

UK infrastructure spending remains a key theme for the FTSE 100, where regulated utilities are balancing network expansion with leverage and funding costs.

For more updates, see More news and analyses on National Grid stock.