Eversource Energy
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +3.54%.
Did ES Beat Earnings? Q2 2025 Results
Eversource Energy posted a mixed but broadly encouraging second quarter, delivering earnings per share of $0.96 against a consensus estimate of $0.95, a beat of 0.96%, even as revenue of $2.84 billion trailed analyst expectations of $2.93 billion by 3.11%. Despite the top-line shortfall, revenues still climbed 12.0% year over year, underscoring the underlying momentum in the company's regulated utility operations. The single most decisive driver was Electric Transmission, where segment earnings reached $208.00 million, up $19.00 million from a year ago, fueled by sustained infrastructure investment across the grid. Gains in Electric Distribution, Natural Gas, and Water Distribution further reinforced the story, though a widening loss in the Parent segment, tied to higher interest expense following the exit from offshore wind, partially offset those contributions. Management reaffirmed full-year 2025 EPS guidance of $4.67 to $4.82, backed by a $24.20 billion five-year capital plan, and some analysts argue the stock's true earnings power remains underappreciated given the distortion from prior unusual items.
- Continued investment in electric transmission system
- Base distribution rate increases in New Hampshire and Massachusetts electric businesses
- Massachusetts gas rate increases effective November 1, 2024
- Higher water distribution revenues and lower interest expense
- Improved cash flow from operations
“Eversource delivered solid operational and financial results in the second quarter, reflecting the dedication and expertise of our talented workforce. Our employees demonstrated exceptional commitment to our customers, responding quickly to a series of weather events across our service territory. We strengthened our financial foundation by boosting cash flow from operations and enhancing our balance sheet. Importantly, we continued to prioritize customer affordability while progressing constructive regulatory outcomes that support our long-term investment strategy.”
Eversource Energy CEO, on the earnings call
Forward Guidance & Outlook
Eversource reaffirms its 2025 EPS guidance range of $4.67 to $4.82 per share and its long-term compound annual EPS growth rate of 5% to 7% from a 2024 base of $4.57 per share through 2029. The company projects $24.2 billion in capital expenditures for core businesses from 2025 to 2029, with potential for an incremental $1.5 billion to $2 billion in additional investments. Rate base is expected to grow from $26.4 billion in 2023 to $41.9 billion by 2029. The company continues to strengthen its balance sheet, targeting improved FFO-to-debt ratios, and plans to fund investments through a $1.2 billion ATM equity issuance program and $600 million in DRSPP equity through 2029. The pending sale of the Aquarion water business for approximately $1.6 billion is expected to further enhance the balance sheet.
ES YoY Financials
ES Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.