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National Grid carries electricity over high-voltage lines and delivers it through local networks to homes and businesses. Its UK networks serve England and Wales; in the northeastern United States, it also distributes natural gas. Distribution provides most revenue, and the US businesses contribute more revenue than the UK businesses.
US customers pay delivery charges through their energy bills. National Grid can also supply the electricity or gas, but those purchase costs largely pass through to customers without profit. Its UK businesses have no retail customers; the National Energy System Operator (NESO) pays the principal revenue of its electricity transmission business.
Regulatory agreements determine nearly all revenue, allowing recovery of approved costs and a return on network investment. Ofgem sets UK price controls, while state commissions and federal regulators set US rates. Earnings depend on which investments and costs regulators approve and on meeting efficiency and service targets. Maintaining and expanding the networks also requires operating cash flow, borrowing and shareholder capital.
The risk section is the longest, dullest part of the filing. This keeps only what can really hurt you: where it hits, how hard, when it plays out.
Every company claims an edge. Each one is checked against hard numbers like margins and returns: which hold, and which line gives way first.
Con Edison and National Grid both collect fees for delivering electricity and gas in New York, so their earnings depend on the same state regulator’s rate plans and the network investment it allows them to earn on. Watch Con Edison’s approved delivery rates and investment allowances for a read on National Grid’s New York business.
Exelon and National Grid primarily earn returns from networks that deliver electricity and gas to customers, rather than from the energy they buy for them. Exelon’s regulated delivery earnings are the closer comparison; National Grid passes much of its US electricity and gas purchase costs through to customers without profit.
Fortis Inc. and National Grid both serve utility customers through regulated businesses across several regions, with network investment and the cost of funding it shaping shareholder returns. Fortis’s utility investment and financing costs offer a comparison for National Grid’s balance between expanding assets that earn regulated returns and paying for that expansion.
American Electric Power and National Grid both earn regulator-approved returns from networks that carry electricity to customers, with investment expanding the assets on which they earn. AEP’s transmission and distribution delivery revenue is the useful comparison, distinct from its electricity sales and generation businesses.
Sempra and National Grid both combine regulated electricity and gas services for customers with energy infrastructure businesses, using capital investment to support future earnings. Sempra’s focus on its California and Texas utilities makes their earnings a useful comparison for National Grid’s regulated network expansion.
Duke Energy and National Grid both collect regulated customer charges that cover utility network costs and provide a return on invested capital. Duke’s Ohio electricity delivery margin is a particularly clear comparison: it earns on transmission and distribution, not on the electricity purchased for retail customers.
Emera Incorporated and National Grid both grow utility earnings by investing in electricity and gas assets, then securing customer rates that cover costs and allow a return. Emera’s approved returns and the amount of invested capital eligible to earn them show the same two levers behind National Grid’s regulated growth.
Ameren and National Grid both charge customers for regulated electricity and gas distribution and operate electricity transmission businesses overseen by FERC, the US federal energy regulator. Ameren Transmission’s results offer a comparison for National Grid’s US transmission business, where annual rate adjustments recover actual costs and an allowed return.
WEC Energy Group and National Grid both earn from regulated electricity and gas services for customers and have substantial investments in long-distance electricity networks. WEC’s approximately 60% stake in transmission company ATC makes that investment worth separating from its retail electricity revenue when comparing it with National Grid.
NiSource and National Grid both rely on regulated electricity and gas services for core earnings, with investment in the infrastructure serving customers supporting growth. NiSource gets substantially all its revenue and earnings from those regulated utilities, making their results a focused comparison for National Grid’s core network businesses.
NextEra Energy is both a regulated-electricity comparison for National Grid and a partner through NextEra Energy Resources on Long Island solar and battery-storage projects. Its FPL utility sells electricity to Florida customers, while news about the shared Long Island projects bears more directly on National Grid.
Centuri Holdings builds and maintains electricity and gas networks for National Grid, so its utility workload offers a view of how network investment is being carried out. Utilities pay Centuri to replace, repair and expand their infrastructure; watch its electricity and gas service workload rather than treating its total revenue as National Grid spending.
Fed Interest Rate Decision
The Fed’s policy rate is the benchmark that influences borrowing costs; higher rates can raise National Grid’s costs to finance its debt-funded network investment, while lower rates can ease them.
Expected4.0%Last release4.0%
If it comes in above expectations
Higher rates could make new borrowing and debt that reprices more expensive, increasing the financing burden on National Grid’s network investment programme.
If it comes in below expectations
Lower rates could make new borrowing and debt that reprices cheaper, easing the financing burden on National Grid’s network investment programme.
Fortis Inc. earningsFTS
Fortis's report will show whether utility investment is adding assets that can earn regulated returns fast enough to offset the cost of funding expansion.
Compare growth in utility assets eligible to earn a regulated return with financing costs. More eligible assets and contained costs would support the case that network expansion can earn a return; weak asset growth alongside rising costs would highlight how funding can squeeze National Grid's expansion economics. Fortis operates under different regulatory rules, so the comparison is about the investment and financing pressures, not identical allowed returns.
Centuri Holdings, Inc. earningsCTRI
Centuri's report will show whether utility demand for electricity and gas network work is holding up, a signal about the contractor activity needed to build and maintain National Grid's networks.
Focus on Centuri's electricity and gas utility-service workload, not its total revenue as a stand-in for National Grid spending. Rising workload would indicate stronger contractor activity in network construction and maintenance; falling workload would point to a softer project-execution environment, while National Grid's own investment and project progress would still need to be checked separately.
National Grid PLC earningsThis company
National Grid's report will show whether its regulated networks can turn investment and allowed returns into earnings growth without financing costs eroding the gain.
Read underlying earnings alongside financing costs, then compare them with network investment. Earnings growth with investment moving ahead would show that regulated returns and cost efficiency are supporting expansion; slower earnings growth alongside higher financing costs would mean the expanding asset base is not yet translating fully into shareholder earnings.
Consolidated Edison, Inc. earningsED
Con Edison's report will show how New York rate approvals and investment allowances are shaping the room utilities have to expand their networks, a read-through for National Grid's New York business.
Look at Con Edison's electricity and gas delivery rates and the network investment regulators allow it to recover. More supportive rates and allowances would point to a New York regulatory climate that gives utilities room to expand networks and recover costs; tighter allowances would signal less room for National Grid's New York business too. The two companies do not have identical rates or approvals.
