National Grid has confirmed that contributions from Western Power Distribution, the acquisition of which National Grid completed on 14 June 2021, will now be featured in the company’s results for the first time, according to its Pre-Close Update announcement ahead of its 2021/2022 half-year results.
UK Gas Transmission, including National Grid’s legacy UK gas metering business, is now held as a discontinued operation. The company said the proposed sale of a majority stake would be completed within the next 12 months, and as such, it would not be included in the underlying earnings of the continuing business.
US sale to PPL
National Grid revealed that US regulated operations would continue to include a contribution from Rhode Island, with closure of the sale to PPL Corporation still expected by the end of the company’s financial year. It expects Rhode Island’s first half earnings weighting to be in line with the prior year.
In UK Electricity Transmission, depreciation is now expected to increase by around £50m ($68.5m) in the full year, the group said. And net finance costs are expected to be weighted more towards the second half of 2022 as a result of non-treasury interest benefits in the first half.
Overall, National Grid said it continued to perform in line with expectations, although first half underlying earnings per share is expected to see a marginally greater weighting this year versus prior years.