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

According to Jinzi Finance APP, National Grid (NGG.US) has released its half-year report for the period ending September 30, 2026, and has raised its profit expectations. In the first half of this fiscal year, the company's investment scale increased significantly, intensifying the advancement of a multi-billion pound plan to upgrade and renovate the UK’s power grid.

In a statement, the company said it now expects earnings per share to grow by 15% to 16%, up from its previous forecast of 13% to 15%. Total investment in the 2026/27 fiscal year is expected to reach £13.5 billion (approximately $18.2 billion), £500 million higher than previously anticipated.

Benefiting from the continuous delivery of large-scale UK transmission projects and investment in US grid upgrades, statutory operating profit in the first half jumped 55% year-on-year to £2.36 billion, with capital investment reaching £6.7 billion, setting a new historic high. Underlying operating profit grew by 13% to £2.6 billion, and underlying earnings per share increased by 22% to 37 pence, mainly due to increased UK electricity transmission revenues under the new RIIO-T3 price control framework.

National Grid operates most of the UK’s transmission network and is making significant investments in expanding and modernizing the grid to support the transition to renewable energy and the growing demand for electricity. The grid operator has launched a five-year, £70 billion investment plan covering upgrades to infrastructure in both the UK and the US.

Earlier this year, the company’s UK transmission business entered a new regulatory cycle that allowed for increased investment—regulators permitted the company to collect more revenue to fund related spending and earn returns.

The company plans to allocate around £31 billion to the UK transmission business, aimed at constructing new supporting infrastructure, connecting renewable energy generation projects, enhancing grid carrying capacity, and eliminating transmission bottlenecks.

Chief Executive Officer Zoë Yujinovich stated that capital investment is accelerating, major projects are progressing smoothly, and this has strengthened the group’s confidence in the five-year framework.

Meanwhile, its venture capital division reported investment gains of £253 million in the first half of the year. Its portfolio includes Uniphore, which develops artificial intelligence (AI) software for enterprises, and ERock, which provides on-site power supply to data centers and other large energy users. Among these, a £142 million gain from Uniphore was listed as a special item and was not included in basic earnings.