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National Grid warns of £400m Covid-19 shock

While the group increased its final dividend for the year to 31 March, it will be squeezed by bad debts in the US this year
June 18, 2020

Income investors will be pleased to hear that National Grid (NG.) increased its final dividend for the year to 31 March, sticking to its policy of growing the annual payout by at least retail price index inflation. This was despite underlying operating profit coming in flat at £3.45bn, falling short of analyst consensus of £3.58bn (as compiled by FactSet). Earnings were weighed down by an additional £117m provision for customer bad debts in the US, reflecting the impact of Covid-19.

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