National Grid (NGG.US) raises full-year profit guidance, capital investment soars to 6.7 billion, 70 billion upgrade plan enters acceleration phase

National Grid (NGG.US) has released its half-year report for the period ended September 30, 2026, and raised its profit guidance. In the first half of the fiscal year, the company's investment scale climbed sharply as it stepped up a multi-billion-pound plan to upgrade and renovate the UK power grid. The company said in a statement that it now expects earnings per share growth of 15% to 16%, compared with its previous forecast of 13% to 15%. Total investment for the 2026/27 fiscal year is expected to reach GBP13.5 billion (approximately US$18.2 billion), GBP500 million higher than previously expected. Benefiting from the continued rollout of major UK transmission projects and investment in US grid upgrades, statutory operating profit for the first half surged 55% year on year to GBP2.36 billion, while capital investment reached GBP6.7 billion, a record high. Underlying operating profit rose 13% to GBP2.6 billion, and underlying earnings per share rose 22% to 37 pence, mainly driven by higher revenue from its UK electricity transmission business under the new RIIO-T3 price control framework. National Grid operates most of the UK's transmission network and is investing heavily in expanding and modernizing the grid to support the transition to renewable energy and growing electricity demand. The grid operator has launched a five-year, GBP70 billion investment plan covering upgrades to infrastructure in the UK and the US. Earlier this year, the company's UK transmission business entered a new regulatory period, allowing it to increase investmentthe regulator permits it to charge more revenue to fund and earn returns on related spending. The company plans to allocate approximately GBP31 billion to its UK transmission business to build new supporting infrastructure, connect renewable energy generation projects, increase grid capacity, and eliminate transmission bottlenecks. Chief Executive Zoe Yujnovich said capital investment is accelerating, major projects are progressing well, and this has strengthened the group's confidence in the five-year framework. Meanwhile, its venture capital arm recorded a GBP253 million gain on investments in the first half. Its portfolio includes Uniphore, which develops artificial intelligence (AI) software for enterprises, and ERock, which provides on-site power supply for data centers and other large energy users. A GBP142 million gain from Uniphore was classified as an exceptional item and excluded from underlying earnings.