National Grid full year results 2026 – the big picture for shareholders
National Grid has put out a strong set of full year numbers and paired them with a very big promise: at least £70 billion of capital investment over the next five years. For a company that already sits at the centre of the UK and US power networks, that is a serious step up.
The short version is this: trading was good, investment was even stronger, the dividend went up again, and management is telling investors to expect faster earnings growth next year. The catch, as ever with a giant utility, is that more growth also means more borrowing, more regulatory risk and more pressure to execute properly.
National Grid 2026 results – key numbers investors need to know
| Metric | 2026 | 2025 | Change |
|---|---|---|---|
| Statutory operating profit | £5,431 million | £4,934 million | 10% |
| Underlying operating profit | £5,680 million | £5,357 million | 6% |
| Statutory EPS | 65.5p | 60.0p | 9% |
| Underlying EPS | 78.0p | 73.3p | 6% |
| Underlying EPS at constant currency | 78.0p | 72.0p | 8% |
| Dividend per share | 48.49p | 46.72p | 3.8% |
| Capital investment | £11,576 million | £9,847 million | 18% |
| Net debt | £44,160 million | £41,371 million | 7% |
Why the £70 billion investment plan matters so much
This is the real story. National Grid says it will invest at least £70 billion between 2026/27 and 2030/31, which management calls the largest investment programme in its history.
That money is going into the pipes and wires of the energy system – mainly electricity transmission, electricity distribution, and US network upgrades. In plain English, National Grid is spending heavily because power demand is rising, renewable generation needs connecting, and old infrastructure still needs replacing.
For investors, this matters because regulated utilities usually grow by adding to their asset base. More assets, if approved by regulators, can mean more allowed returns and higher earnings over time. National Grid is targeting asset growth of around 10% a year and underlying EPS growth of 8-10% a year across the five-year plan.
That is ambitious, but it is not pie in the sky. The company says around two-thirds of the investment is already covered by regulatory agreements, and supply chain and delivery mechanisms are secured for around three-quarters of the plan.
National Grid earnings growth – a solid year with stronger guidance ahead
The headline performance is reassuring. Underlying EPS – which is management’s preferred measure and strips out one-offs, timing effects and certain accounting items – came in at 78.0p, up 8% at constant currency. Statutory EPS was 65.5p, up 9%.
That is good progress, especially as the company says results were partly held back by divestments, storm costs, a higher share count and the impact of a recent FERC order in the US. FERC is the Federal Energy Regulatory Commission, the US energy regulator for certain transmission returns.
Even better, National Grid expects underlying EPS to rise by 13-15% in 2026/27 from the 2025/26 baseline of 78.0p. That is a chunky step up for a utility and reflects higher allowed revenue as it moves from the RIIO-T2 to RIIO-T3 framework in UK electricity transmission. RIIO is Ofgem’s price control system that sets how network companies are paid.
Where National Grid made its money – New York and UK transmission did the heavy lifting
The strongest operational momentum came from New York and UK Electricity Transmission. Underlying operating profit at constant currency rose 25% in New York to £1,709 million and 18% in UK Electricity Transmission to £1,682 million.
UK Electricity Distribution was steady rather than spectacular, with underlying operating profit up 3% to £1,238 million. New England slipped 1% at constant currency to £866 million, mainly because of the FERC order and higher costs.
National Grid Ventures went backwards, with underlying operating profit down 14% to £327 million. That was not a surprise given the disposals of National Grid Renewables and Grain LNG, both of which have now been completed.
My read is that the core regulated engines are doing exactly what investors would want. The weaker bits are either known issues or businesses that National Grid is actively exiting.
Dividend, balance sheet and debt – the reassuring bit and the awkward bit
The dividend remains one of the main reasons investors own National Grid, and this update did not disappoint. The board recommended a final dividend of 32.14p, taking the full-year payout to 48.49p, up 3.8% and in line with its policy of growing the dividend with UK CPIH inflation.
Dividend cover on underlying earnings was 1.6x, unchanged from last year. That is decent for an infrastructure-heavy income stock.
Now for the awkward bit. Net debt rose to £44,160 million from £41,371 million. That was expected given the scale of investment, but it is still a number worth respecting.
The company says it remains committed to a strong investment grade credit rating, with FFO/net debt at 13.0% and RCF/net debt at 9.3%. Those credit measures weakened slightly year on year, but they still sit above the thresholds management says are consistent with current ratings.
National Grid risks investors should not ignore
This was a positive update, but it was not flawless. The US regulatory backdrop still matters a lot, and the March 2026 FERC order shows that allowed returns can move against utilities. National Grid says it will challenge that decision through regulatory and legal procedures.
There is also execution risk. Spending at least £70 billion sounds great on a slide deck, but it only creates value if projects are delivered on time, on budget and with regulator support.
Another softer concern is that emissions were not a clean win. Scope 1 and 2 emissions rose 1% to 7,511 ktCO2e, and the company said this was outside the range set out in its Climate Transition Plan. That does not break the investment case, but it is worth noting.
What this National Grid RNS means for retail investors
I think this is a strong results statement. National Grid has done the hard part first – showing solid annual performance – and then used that credibility to set out a large, visible growth plan.
The most attractive part of the story is the combination of qualities. You have inflation-linked dividend ambition, regulated earnings, visible asset growth, and short-term guidance for 13-15% underlying EPS growth next year. That is not common.
The main compromise is obvious: more debt and more dependence on regulators. If you want a low-drama utility with no moving parts, this is not quite that anymore. National Grid is becoming a capital delivery story as much as a dividend story.
Still, based on this RNS alone, the direction looks encouraging. The business is bigger, investment is accelerating, and management has given investors a clearer roadmap for how today’s spending is meant to turn into tomorrow’s earnings and dividends.
