National Grid H1 Profit Rises; Plans Sale Of Stake In UK Gas Distribution

(RTTNews) - National Grid plc (NG.L, NGG) reported profit before tax of 1.35 billion pounds for the six months ended 30 September compared to 1.17 billion pounds, previous year. Profit to equity shareholders of the parent increased to 1.05 billion pounds from 908 million pounds. Earnings per share was 27.7 pence compared to 23.8 pence.

On a constant currency basis, operating profit was up 13% to 1.85 billion pounds. Operating profit excluding timing increased by 12%, on a constant currency basis.

Adjusted operating profit increased 14 percent to 1.84 billion pounds. Adjusted profit before tax increased 21% to 1.37 billion pounds from prior year. Adjusted earnings per share was 28.2 pence compared to 23.1 pence.

Revenue increased to 6.85 billion pounds from 6.36 billion pounds, previous year. Net revenue for the Group's regulated businesses increased by 70 million pounds.

The Board of National Grid has approved an interim dividend of 15.00 pence per ordinary share, which represents 35% of the total dividend per share in respect of the last financial year 2014/15 in line with the dividend policy announced in March 2013.

National Grid said it remains on track to deliver another year of good overall returns and dividend growth. Capital expenditure is expected to be around 3.7 billion pounds, driving asset growth of between 4% and 5% in the year. The Group currently expects to grow its total regulated and other assets at around 5% p.a. over the next few years.

In the second half of 2015/16, National Grid will begin a process to rebalance its portfolio through the potential sale of a majority stake in its UK Gas Distribution business. Following completion of a sale, the Board expects to return substantially all of the net proceeds to shareholders.