Summary
This Form 10-Q filing for EVERSOURCE ENERGY (ES) as of August 4, 2017, indicates a stable operational and financial risk profile, with no new material risks identified. The company's regulated utilities effectively manage commodity price risk by passing associated costs to customers. Interest rate risk is managed through a balanced mix of fixed and variable rate debt, while credit risk is mitigated by a diverse customer and supplier base. The company reaffirms the effectiveness of its disclosure controls and procedures.
Financial Highlights
46 data pointsBeta
Financial Statements
Beta
| Revenue | $1.76B |
| Operating Expenses | $1.31B |
| Operating Income | $448.20M |
| Interest Expense | $107.33M |
| Net Income | $232.60M |
| EPS (Basic) | $0.73 |
| EPS (Diluted) | $0.73 |
| Shares Outstanding (Basic) | 317.39M |
| Shares Outstanding (Diluted) | 317.95M |
Key Highlights
- 1Regulated utility operations effectively shield customers from commodity price volatility, with associated costs passed through.
- 2Interest rate risk is actively managed by maintaining a balance of fixed and variable rate debt.
- 3Credit risk is managed through diversification across a broad range of customers and suppliers.
- 4No material changes or new risks were identified in market risk, legal proceedings, or risk factors compared to the 2016 10-K.
- 5Disclosure controls and procedures were evaluated and found to be effective as of June 30, 2017.
- 6The company repurchased 286,463 shares of common stock for an average price of $60.83 during the quarter ended June 30, 2017.
- 7The 'Yankee Companies' have filed subsequent lawsuits against the DOE for approximately $100 million, with a trial expected in 2018.
Frequently Asked Questions
Eversource's regulated companies manage commodity price risk by entering into energy contracts to serve customers. The economic impacts of these contracts are passed on to customers, meaning the regulated entities do not face a loss of future earnings or fair value due to these market-sensitive instruments. The Energy Supply Risk Committee oversees these transactions.
Eversource manages interest rate risk by maintaining a mix of fixed and variable rate long-term debt. Credit risk is managed by serving a diverse group of customers and transacting with various suppliers, which spreads the risk. They also monitor high-volume supply contracts with energy marketing companies.
No, this filing indicates that there have been no additional material legal proceedings or new risk factors identified beyond what was disclosed in the 2016 Form 10-K. However, it notes that the 'Yankee Companies' have filed subsequent lawsuits against the DOE for approximately $100 million related to damages from 2013-2016, with a trial anticipated in 2018.
Yes, during the quarter ended June 30, 2017, Eversource purchased a total of 286,463 shares of its common stock through open market purchases at an average price of $60.83 per share. These transactions were related to shares awarded under incentive plans and dividend reinvestment programs.