Summary
Eversource Energy reported solid financial results for the nine months ended September 30, 2015, with net income attributable to common shareholders of $696.7 million, or $2.19 per diluted share, an increase from $597.9 million, or $1.89 per diluted share, in the same period of 2014. This growth was driven by improved performance across its regulated utility segments, particularly electric distribution, benefiting from rate increases and favorable regulatory settlements. The company's liquidity remained stable, with cash flows from operations supporting significant investments in property, plant, and equipment, totaling $1.2 billion for the nine-month period. Eversource also continued to return value to shareholders through dividends. Key strategic initiatives, such as the Northern Pass transmission project and the PSNH generation asset divestiture, are progressing, with the company actively managing regulatory processes and potential cost adjustments. Investors should note the ongoing FERC ROE complaint proceedings, which could impact future earnings, though the company has established reserves for these matters.
Financial Highlights
46 data points| Revenue | $1.93B |
| Operating Expenses | $1.46B |
| Operating Income | $469.20M |
| Interest Expense | $92.53M |
| Net Income | $237.80M |
| EPS (Basic) | $0.74 |
| EPS (Diluted) | $0.74 |
| Shares Outstanding (Basic) | 317.45M |
| Shares Outstanding (Diluted) | 318.41M |
Key Highlights
- 1Eversource Energy reported a year-over-year increase in net income attributable to common shareholders for both the third quarter ($235.9 million vs. $234.6 million) and the first nine months ($696.7 million vs. $597.9 million) of 2015.
- 2Diluted Earnings Per Share (EPS) also saw an increase, rising to $2.19 for the nine-month period from $1.89 in the prior year, reflecting improved operational performance.
- 3The electric distribution segment was a key driver of growth, with earnings increasing due to rate increases in Connecticut (CL&P) and favorable settlements, such as the one with the Massachusetts Attorney General for NSTAR Electric.
- 4Investments in property, plant, and equipment remained substantial, totaling $1.2 billion for the first nine months of 2015, underscoring the company's commitment to infrastructure improvement and expansion.
- 5The company's transmission segment earnings showed a mixed performance, decreasing slightly in the third quarter but increasing year-over-year for the nine-month period, largely due to the resolution of FERC ROE complaint proceedings.
- 6Liquidity was maintained, with $35.8 million in cash and cash equivalents at the end of the period. Operating cash flows of $1.3 billion supported investments and dividend payments.
- 7Significant regulatory developments are ongoing, including the Northern Pass transmission project's environmental impact statement and the PSNH generation asset divestiture, both of which are progressing through their respective approval processes.