CONNECTICUT LIGHT & POWER CO
For the period ended Sep 30, 2026. Filed Nov 6, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Nov 6, 2026
ES$69.84-2.9%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-08-03.
0001628280-26-051906
ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-11-06.
0001628280-26-071541
ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 197 previous paragraphs and 204 current paragraphs.
104 unchanged; 76 reworded; 17 added; 11 removed; 6 previous and 7 current paragraphs rearranged.
Tables are not compared: 15 previous and 15 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (17)
Current report
•We earned $346.0 million, or $0.92 per share, in the third quarter of 2026, compared with $367.5 million, or $0.99 per share, in the third quarter of 2025. We earned $1.01 billion, or $2.67 per share, in the first nine months of 2026, compared with $1.27 billion, or $3.44 per share, in the first nine months of 2025.
Current report
Our electric distribution segment earnings increased $2.5 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to higher revenues from base distribution rate increases at NSTAR Electric effective January 1, 2026 and at PSNH effective August 1, 2025 and August 1, 2026, higher revenues from CL&P’s capital tracking mechanism and NSTAR Electric’s AMI capital tracking mechanism, and a lower effective tax rate. These benefits were partially offset by the impact of PURA’s July 2026 final decision on CL&P’s storm prudency proceeding that disallowed certain storm costs from recovery that was recorded in the third quarter of 2026, higher depreciation, higher interest expense, the absence in 2026 of a benefit from the impact of the PSNH rate case decision in July 2025, and higher property taxes.
Current report
Our water distribution segment earnings decreased $18.9 million in the third quarter of 2026, as compared to the third quarter of 2025, due to the absence of earnings in the third quarter of 2026 resulting from the June 30, 2026 sale of Aquarion.
Current report
Eversource Parent and Other Companies: Eversource parent and other companies earnings increased by $48.2 million in the third quarter of 2026, as compared to the third quarter of 2025, due primarily to the absence of the aggregate net after-tax charge of $75.0 million recorded in 2025 resulting from an increase to the offshore wind contingent liability, net of tax benefits associated with the tax losses on the sales of its offshore wind investments. Excluding this charge, Eversource parent and other companies earnings decreased by $26.8 million in the third quarter of 2026, as compared to the third quarter of 2025, driven by a higher effective income tax rate resulting from lower benefits from the tax return-to-provision adjustment in the third quarter of 2026, as compared to the recognition of state tax benefits and certain tax credits as a result of the tax return-to-provision adjustment in the third quarter of 2025. Third quarter results were also driven by higher interest expense, partially offset by a benefit resulting from the reduction of a rate base offset established in purchase accounting for the EGMA acquisition.
Current report
As part of the 2020 rate settlement approved by the DPU that enabled the acquisition of EGMA, the DPU required a rate base offset to be recorded, which would be amortized over time and be periodically adjusted in future rate filings for the build-up of deferred tax liabilities. The unamortized rate base offset is reflected as a reduction to Property, Plant and Equipment, Net on Eversource’s balance sheet. As of September 30, 2026, the rate base offset has been reduced by $40.0 million to reflect the build-up of the new deferred tax liabilities. The rate base offset reduction resulted in a reduction to depreciation expense on Eversource’s income statement in the third quarter of 2026. This benefit is presented within Eversource Parent and Other Companies, consistent with past presentation of acquisition-related items.
Current report
In the third quarter of 2025, Eversource received an updated report on the construction status of Revolution Wind, which included revised projections of total construction costs. The revised cost projections reflected known and quantifiable cost increases, including those associated with the impacts of damage to the wind turbine installation vessel, insurance costs, tariff impacts, and costs incurred as a result of the stop-work order for Revolution Wind received on August 22, 2025 from the Bureau of Ocean Energy Management that halted all offshore wind construction activities through September 22, 2025. Based on those developments, Eversource recognized a pre-tax charge of $284 million in the third quarter of 2025 as a result of the aggregate impact of these items to increase the liability for purchase price adjustments associated with the offshore wind projects. Eversource recognized an aggregate, net after-tax charge of $75.0 million, or $0.20 per share, in the third quarter of 2025, which consisted of the pre-tax $284 million increase to the offshore wind contingent liability, offset by $209 million of tax benefits associated with tax losses on the sale of the South Fork Wind and Revolution Wind projects that Eversource expects to realize.
Current report
FERC ROE Complaints:
Current report
The Company has recorded a current regulatory liability for revenues subject to refund of $63.0 million (pre-tax) as of September 30, 2026, which reflects the difference between the billed 10.57 percent base ROE and the new 9.57 percent base ROE for the first complaint period, including interest. The regulatory liability represents the low end of the range, as no amount within the range is considered a better estimate as the Company is continuing to work through the refund calculation methodology. Eversource and the other NETOs are continuing to address the complexities of the refund calculations over the extensive time period as well as the amount and timing of refunds to transmission customers that must be coordinated with the other NETOs and the ISO-NE, which have not yet been finalized.
Current report
The Company’s estimates are based on currently available information. The Company has accrued $63.0 million as of September 30, 2026, representing the low end of the estimated range of probable liabilities. The Company continues to assess its legal position, the complexities associated with the refund calculation methodology, its extensive coordination with the NETOs and ISO-NE for the processing of long-dated refunds, and the timing of these required refunds. While the Company believes it has sound legal arguments challenging the March 2026 FERC decision, the ongoing refund calculation and developments in the refund process are expected to result in recording additional liabilities related to the retroactive refund period prior to the conclusion of the appellate proceeding. If there is no court or FERC action or further delay as a result of coordination with ISO-NE, then the Company will commence its refunds early in 2027 through the ISO-NE resettlement process. The Company expects to record a liability for the retroactive refund period as the refund calculations are finalized. Due to the uncertainties of the calculations described above, the refund amount for the retroactive period is not reasonably estimable as of September 30, 2026. The ultimate amount recognized may exceed the amount accrued by up to approximately $900 million and could have a material impact on the financial condition and results of operations.
Current report
If the FERC issues a final order eliminating the RTO ROE incentive as proposed in the CT RTO Adder Complaint, the estimated annual impact (using 2025 actual data) on Eversource’s after-tax earnings is approximately $12 million. We cannot predict the ultimate outcome of the regulatory or court complaints at this time.
Current report
CL&P RAM Settlement: In connection with CL&P's 2021 Revenue Adjustment Mechanism (RAM) proceeding, PURA disallowed recovery through the Electric System Improvements (ESI) mechanism of certain storm-related capital investments. CL&P appealed PURA's decision to the Connecticut Superior Court and subsequently to the Connecticut Supreme Court. In May 2026, the Connecticut Supreme Court reversed the lower court's judgment and remanded the matter back to PURA.
Current report
On September 21, 2026, CL&P and the Office of Consumer Counsel filed an amended settlement agreement with PURA in order to resolve issues associated with PURA's prior disallowance of certain storm-related capital investments included in CL&P's ESI mechanism. Under the proposed settlement, CL&P would recover approximately $8.2 million, representing 50 percent of the revenue requirement associated with the disputed investments through June 30, 2027, with the remaining 50 percent not recoverable from customers. Recovery of the approved amount would be collected through the ESI mechanism following PURA approval through June 30, 2027. Beginning July 1, 2027, the remaining approved unrecovered balance associated with the underlying investments would be recovered through base distribution rates. On November 4, 2026, PURA issued a proposed final decision that adopted the settlement agreement reached between CL&P and the Office of Consumer Counsel with no material modifications to the settlement’s terms. A final decision from PURA is expected by November 18, 2026.
Current report
NSTAR Electric Distribution Rates: NSTAR Electric’s performance based regulation (PBR) mechanism allows for an annual adjustment to base distribution rates for inflation, exogenous events and future capital additions based on a historical five-year average of total capital additions. On September 15, 2026, NSTAR Electric submitted its annual PBR Adjustment filing for a $66.6 million increase to base distribution rates and a total base distribution revenue requirement of $1.41 billion for effect on January 1, 2027. The requested base distribution rate increase is comprised of a $39.7 million inflation-based adjustment and a $26.9 million K-bar adjustment for capital additions based on the difference between the historical five-year average of total capital additions and the base capital revenue requirement. A DPU decision is expected by December 31, 2026.
Current report
The variance in state-mandated charges for the three and nine month periods was also due to lower revenues from net metering at NSTAR Electric and lower transition revenues at PSNH reflecting the refund of RGGI over-recoveries to customers, partially offset by higher energy efficiency revenues at NSTAR Electric.
Current report
Water Distribution Revenues: Water distribution revenues decreased $69.2 million and $64.5 million for the three and nine month periods, due to the sale of Aquarion on June 30, 2026. For further information, see the “Business Development and Capital Expenditures - Sale of Aquarion Water Distribution Business” section included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Current report
The variance in Amortization for the three and nine month periods is partially offset by an increase in the stranded cost recovery mechanism at PSNH and the absence in 2026 of a benefit from the impact of the PSNH rate case decision in July 2025. The rate case decision allowed for the recoupment of temporary rates and the allowed recovery of other deferrals resulting in a pre-tax benefit to earnings of $15.6 million, the majority of which was recorded as a reduction to amortization expense on the statement of income in the third quarter of 2025.
Current report
Interest Expense increased for thethree and nine month periods due to the following:
Removed paragraphs (11)
Previous report
•We earned $53.7 million, or $0.14 per share, in the second quarter of 2026, compared with $352.7 million, or $0.96 per share, in the second quarter of 2025. We earned $660.5 million, or $1.75 per share, in the first half of 2026, compared with $903.5 million, or $2.45 per share, in the first half of 2025.
Previous report
•On July 14, 2026, CL&P filed an application with PURA to request an increase in base distribution rates to provide additional revenues of approximately $451 million annually, exclusive of the impact of catastrophic storms and pre‑staging events occurring between January 2018 and March 2025. As part of the rate case, CL&P proposes to implement a performance-based multi-year rate plan that would adjust rates annually over a four-year term from July 1, 2027 through June 30, 2031, with a corresponding stay out provision. The plan includes a revenue-cap formula adjusted for inflation, a supplemental capital adjustment formula to support CL&P’s planned capital infrastructure improvements, an exogenous events recovery mechanism, performance metrics and an earnings sharing mechanism, among other proposals. The proposed revenue requirement includes a regulatory return on equity of 10.25 percent with a 53.86 percent common equity ratio for CL&P’s capital structure. A decision by PURA is expected by June 29, 2027.
Previous report
The June 30, 2026 Cash and Cash Equivalents balance includes approximately $1.7 billion of net proceeds received from the June 30, 2026 sale of Aquarion. The Company expects to utilize the net proceeds to reduce Eversource parent debt.
Previous report
As a result of the Yankee Gas long-term debt issuances on July 15, 2026, $90.0 million of current portion of long-term debt was reclassified to Long-Term Debt on Eversource parent’s balance sheet as of June 30, 2026.
Previous report
The Company’s estimates are based on currently available information; however, it is reasonably possible that the ultimate resolution of this matter may result in a refund in excess of the amount accrued, and such additional losses could have a material impact on the financial condition, results of operations, and cash flows in a future period.
Previous report
CL&P Distribution Rate Case: On July 14, 2026, CL&P filed an application with PURA to request an increase in base distribution rates. The application proposed to amend rates to provide additional revenues of approximately $451 million annually, exclusive of the impact of catastrophic storms and pre‑staging events occurring between January 2018 and March 2025. The total revenue deficiency inclusive of the impact of these storm costs is approximately $727 million. In connection with storm cost recovery proposals, CL&P is requesting (1) the securitization of storm restoration costs incurred for catastrophic weather and pre-staging events between 2018 and 2023 (PURA is currently evaluating this proposal under separate proceedings) and (2) a prudence review of storm restoration costs incurred for catastrophic weather events between January 2024 and March 2025. Amounts deemed prudent through this review would be recovered from customers through a newly proposed storm cost recovery adjustment factor, designed to provide for annual reviews of deferred storm costs, allowing for more consistent and timely cost recovery while mitigating potential rate shock for customers.
Previous report
As part of the rate case, CL&P proposes to implement a performance-based multi-year rate plan that would adjust rates annually over a four-year term from July 1, 2027 through June 30, 2031, with a corresponding stay out provision. The plan includes a revenue-cap formula adjusted for inflation, a supplemental capital adjustment formula to support CL&P’s planned capital infrastructure improvements, an exogenous events recovery mechanism, performance metrics and an earnings sharing mechanism, among other proposals. The proposed revenue requirement includes a regulatory return on equity of 10.25 percent with a 53.86 percent common equity ratio for CL&P’s capital structure. PURA is permitted up to 350 days in all to investigate the proposed rates and issue a final order. A decision by PURA is expected by June 29, 2027.
Previous report
CL&P RAM Filing: On April 22, 2026, PURA issued an interim decision in CL&P’s Rate Adjustment Mechanisms (RAM) filing and approved rates for six RAM components, with rates effective May 1, 2026 through April 30, 2027. The rates include recovery of over- or under-collection balances as of December 31, 2025, actual costs from the prior year, and adjustments to incorporate certain known and measurable cost changes not reflected in prior year costs that CL&P will incur in 2026. As part of the RAM decision, PURA approved incremental funding of $100 million of storm restoration costs through the Competitive Transition Assessment (CTA) rate, for the period May 1, 2026 to April 30, 2027. This incremental funding provides interim recovery for a portion of CL&P’s deferred storm costs.
Previous report
Legislative, Policy and Legal Matters
Previous report
New Hampshire: On April 15, 2026, New Hampshire enacted legislation authorizing electric utilities to recover certain storm‑related costs through securitization, subject to approval by the NHPUC. Under the legislation, eligible storm costs include prudently incurred costs associated with storm preparation, emergency response, and system restoration activities, as well as related financing and transaction costs. Recovery through securitization would occur pursuant to one or more NHPUC finance orders issued following a utility petition and hearing process. If approved, securitized costs would be recovered over a defined period through customer charges designed to provide timely recovery of principal, interest, and associated expenses, generally at interest rates lower than PSNH’s authorized return on equity. This legislation provides a potential alternative to traditional storm cost recovery mechanisms and is intended to mitigate the near‑term cash flow and customer bill impacts of significant storm events. While the legislation does not affect the recovery of storm costs previously incurred, it may influence the manner and timing of recovery of qualifying storm costs incurred in future periods.
Previous report
Interest Expense increased for thethree and six month periods due to the following:
Reworded paragraphs (76)
Previous wording
The following discussion and analysis should be read in conjunction with our unaudited condensed consolidated financial statements and related combined notes included in this combined Quarterly Report on Form 10-Q, the combined Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, as well as the Eversource 2025 combined Annual Report on Form 10-K. References in this combined Quarterly Report on Form 10-Q to "Eversource," the "Company," "we," "us," and "our" refer to Eversource Energy and its consolidated subsidiaries. All per-share amounts are reported on a diluted basis. The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P are herein collectively referred to as the "financial statements."
Current wording
The following discussion and analysis should be read in conjunction with our unaudited condensed consolidated financial statements and related combined notes included in this combined Quarterly Report on Form 10-Q, the combined Quarterly Report on Form 10-Q for the quarters ended March 31, 2026 and June 30, 2026, as well as the Eversource 2025 combined Annual Report on Form 10-K. References in this combined Quarterly Report on Form 10-Q to "Eversource," the "Company," "we," "us," and "our" refer to Eversource Energy and its consolidated subsidiaries. All per-share amounts are reported on a diluted basis. The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P are herein collectively referred to as the "financial statements."
Previous wording
The only common equity securities that are publicly traded are common shares of Eversource. Our earnings discussion includes financial measures that are not recognized under GAAP (non-GAAP) referencing our 2026 earnings and EPS excluding a charge on the sale of the Aquarion water distribution business, a charge associated with increasing our offshore wind contingent liability, and a charge related to the March 2026 FERC decision in the FERC base ROE complaints. EPS by business is also a non-GAAP financial measure and is calculated by dividing the Net Income Attributable to Common Shareholders of each business by the weighted average diluted Eversource common shares outstanding for the period. The earnings and EPS of each business do not represent a direct legal interest in the assets and liabilities of such business, but rather represent a direct interest in our assets and liabilities as a whole.
Current wording
The only common equity securities that are publicly traded are common shares of Eversource. Our earnings discussion includes financial measures that are not recognized under GAAP (non-GAAP) referencing our earnings and EPS excluding a 2026 charge on the sale of the Aquarion water distribution business, 2026 and 2025 charges associated with increasing our offshore wind contingent liability, and a 2026 charge related to the March 2026 FERC decision in the FERC base ROE complaints. EPS by business is also a non-GAAP financial measure and is calculated by dividing the Net Income Attributable to Common Shareholders of each business by the weighted average diluted Eversource common shares outstanding for the period. The earnings and EPS of each business do not represent a direct legal interest in the assets and liabilities of such business, but rather represent a direct interest in our assets and liabilities as a whole.
Previous wording
We use these non-GAAP financial measures to evaluate and provide details of earnings results by business and to more fully compare and explain our results without including these items. This information is among the primary indicators we use as a basis for evaluating performance and planning and forecasting of future periods. We believe the charge on the sale of the Aquarion water distribution business, the charge associated with increasing our offshore wind contingent liability, and the charge related to the March 2026 FERC decision in the FERC base ROE complaints are not indicative of our ongoing costs and performance. We view these charges as not directly related to the ongoing operations of the business and therefore not indicators of baseline operating performance. Due to the nature and significance of the effect of these items on Net Income Attributable to Common Shareholders and EPS, we believe that the non-GAAP presentation is a more meaningful representation of our financial performance and provides additional and useful information to readers of this report in analyzing historical and future performance of our business. These non-GAAP financial measures should not be considered as alternatives to reported Net Income Attributable to Common Shareholders or EPS determined in accordance with GAAP as indicators of operating performance.
Current wording
We use these non-GAAP financial measures to evaluate and provide details of earnings results by business and to more fully compare and explain our results without including these items. This information is among the primary indicators we use as a basis for evaluating performance and planning and forecasting of future periods. We believe the charge on the sale of the Aquarion water distribution business, the charges associated with increasing our offshore wind contingent liability, and the charge related to the March 2026 FERC decision in the FERC base ROE complaints are not indicative of our ongoing costs and performance. We view these charges as not directly related to the ongoing operations of the business and therefore not indicators of baseline operating performance. Due to the nature and significance of the effect of these items on Net Income Attributable to Common Shareholders and EPS, we believe that the non-GAAP presentation is a more meaningful representation of our financial performance and provides additional and useful information to readers of this report in analyzing historical and future performance of our business. These non-GAAP financial measures should not be considered as alternatives to reported Net Income Attributable to Common Shareholders or EPS determined in accordance with GAAP as indicators of operating performance.
Previous wording
•Our second quarter of 2026 and first half of 2026 results include a non-cash, after-tax charge of $111.4 million, or $0.30 per share, resulting from a loss on the June 30, 2026 sale of Aquarion, which was recorded within the Water Distribution segment. Those results also include an after-tax charge of $164.0 million, or $0.43 per share, resulting from increasing our offshore wind contingent liability for expected future payments under a 2024 sale agreement of our previous offshore wind investments. This charge was recorded within Eversource Parent and Other Companies. Our first half of 2026 results also include an after-tax charge of $43.9 million, or $0.12 per share, for estimated refunds resulting from FERC’s March 19, 2026 order in the NETO ROE complaint proceedings, which was recorded within the Transmission segment. Excluding these charges, our non-GAAP earnings were $329.1 million, or $0.87 per share, in the second quarter of 2026 and $979.8 million, or $2.60 per share, in the first half of 2026.
Current wording
•Our first nine months of 2026 results include a non-cash, after-tax charge of $111.4 million, or $0.30 per share, resulting from a loss on the June 30, 2026 sale of Aquarion, which was recorded within the Water Distribution segment. Those results also include an after-tax charge of $164.0 million, or $0.43 per share, resulting from increasing our offshore wind contingent liability for expected future payments under a 2024 sale agreement of our previous offshore wind investments, which was recorded within Eversource Parent and Other Companies. Our first nine months of 2026 results also include an after-tax charge of $43.9 million, or $0.12 per share, for estimated refunds resulting from FERC’s March 19, 2026 order in the NETO ROE complaint proceedings, which was recorded within the Transmission segment. Excluding these charges, our non-GAAP earnings were $1.33 billion, or $3.52 per share, in the first nine months of 2026.
Previous wording
•We reaffirmed our projection to earn within a 2026 non-GAAP recurring earnings guidance range of between $4.57 per share and $4.72 per share, which includes the impact of the prospective reduction to the transmission ROE resulting from the March 19, 2026 FERC order and the absence of Aquarion earnings in the second half of the year. We also reaffirmed that our cumulative long-term earnings per share growth rate will be within the range of 5 to 7 percent through 2030, using the adjusted 2026 non-GAAP earnings guidance mid-point of $4.65 per share as the base year. We expect annual earnings growth towards the upper half of the long-term guidance by 2028.
Current wording
•We are narrowing our annual guidance for 2026 non-GAAP recurring earnings between $4.62 per share and $4.70 per share. We also reaffirm that our cumulative long-term earnings per share growth rate will be within the range of 5 to 7 percent through 2030, using the narrowed 2026 non-GAAP earnings guidance mid-point of $4.66 per share as the base year. We expect annual earnings growth towards the upper half of the long-term guidance by 2028.
Previous wording
•Cash flows provided by operating activities totaled $2.41 billion in the first half of 2026, compared with $2.10 billion in the first half of 2025. Investments in property, plant and equipment totaled $2.02 billion in the first half of 2026, compared with $2.05 billion in the first half of 2025.
Current wording
•Cash flows provided by operating activities totaled $3.07 billion in the first nine months of 2026, compared with $3.20 billion in the first nine months of 2025. Investments in property, plant and equipment totaled $3.05 billion in the first nine months of 2026, compared with $3.18 billion in the first nine months of 2025.
Previous wording
•Cash and Cash Equivalents totaled $1.82 billion as of June 30, 2026, compared with $135.4 million as of December 31, 2025. Our available borrowing capacity under our commercial paper programs totaled $2.16 billion as of June 30, 2026.
Current wording
•Cash and Cash Equivalents totaled $525.4 million as of September 30, 2026, compared with $135.4 million as of December 31, 2025. Our available borrowing capacity under our commercial paper programs totaled $2.65 billion as of September 30, 2026.
Previous wording
•In the first half of 2026, we issued $2.40 billion of new long-term debt and we repaid $1.62 billion of long-term debt.
Current wording
•In the first nine months of 2026, we issued $2.68 billion of new long-term debt and we repaid $2.01 billion of long-term debt.
Previous wording
•On July 29, 2026, PURA issued a final decision on CL&P’s request for recovery of deferred storm costs totaling $974.2 million plus carrying costs. PURA approved the vast majority of requested storm costs totaling $869.4 million of catastrophic storms and pre‑staging events occurring between January 1, 2018 and December 31, 2023 and postponed review of $63.3 million of storm costs to a future proceeding. The final decision also authorized the accrual of carrying costs on unrecovered, approved storm costs beginning on the date of the final decision. CL&P is currently evaluating the impact of costs not allowed for recovery in the decision and potential legal courses of action. The impact of the decision will be recorded in the third quarter of 2026.
Current wording
•On July 29, 2026, PURA issued a final decision on CL&P’s request for recovery of deferred storm costs totaling $974.2 million plus carrying costs. PURA approved the vast majority of requested storm costs totaling $869.4 million of catastrophic storms and pre‑staging events occurring between January 1, 2018 and December 31, 2023 and postponed review of $63.3 million of storm costs to a future proceeding. The final decision also authorized the accrual of carrying costs on the unrecovered, approved storm costs beginning on the date of the final decision. The final decision resulted in a pre-tax charge to earnings of $40.8 million in the third quarter of 2026. On October 15, 2026, CL&P filed an appeal in Connecticut Superior Court challenging certain aspects of PURA's final decision, including PURA's denial of recovery of carrying costs on deferred storm costs incurred prior to the date of the final decision and certain disallowed storm restoration costs. The appeal remains pending.
Previous wording
(2) In the second quarter of 2026, we recorded a pre-tax charge of $194 million ($164 million after-tax) associated with increasing our offshore wind contingent liability for expected future payments under the terms of the 2024 sale agreement with GIP for the Revolution Wind project. For further information, see the “Offshore Wind Contingent Liability” section below included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Current wording
(2) In the second quarter of 2026, we recorded a pre-tax charge of $194 million ($164.0 million after-tax) associated with increasing our offshore wind contingent liability for expected future payments under the terms of the 2024 sale agreement with Global Infrastructure Partners (GIP) for the Revolution Wind project. In the third quarter of 2025, we recorded a pre-tax charge of $284 million associated with increasing the offshore wind contingent liability, offset by expected tax benefits from the offshore wind sale of $209 million ($75.0 million after-tax). For further information, see the “Offshore Wind Contingent Liability” section below included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Previous wording
(3) In the first half of 2026, we recorded a pre-tax charge of $60.4 million ($43.9 million after-tax) as a result of the March 19, 2026 FERC decision in the FERC base ROE complaints. The charge reflects a liability recorded for refunds associated with the fifteen-month first complaint period (October 1, 2011 – December 31, 2012), including interest accrued from the refund period through March 31, 2026. For further information, see the “FERC Regulatory Matters” section included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Current wording
(3) In the first quarter of 2026, we recorded a pre-tax charge of $60.4 million ($43.9 million after-tax) as a result of the March 19, 2026 FERC decision in the FERC base ROE complaints. The charge reflects a liability recorded for refunds associated with the fifteen-month first complaint period (October 1, 2011 – December 31, 2012), including interest accrued from the refund period through March 31, 2026. For further information, see the “FERC Regulatory Matters” section included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Previous wording
The impact of higher shares outstanding resulted in $0.04 earnings per share dilution in the first half of 2026, as compared to the first half of 2025.
Current wording
The impact of higher shares outstanding resulted in $0.01 and $0.05 earnings per share dilution in the third quarter and first nine months of 2026, as compared to the third quarter and first nine months of 2025, respectively.
Previous wording
Our electric distribution segment earnings increased $8.9 million and $23.1 million in the second quarter and the first half of 2026, respectively, as compared to the second quarter and the first half of 2025, due primarily to higher revenues from base distribution rate increases at NSTAR Electric effective January 1, 2026 and at PSNH effective August 1, 2025, and higher revenues from CL&P’s capital tracking mechanism due to increased electric system improvements and NSTAR Electric’s Advanced Metering Infrastructure (AMI) capital tracking mechanism. These benefits were partially offset by higher interest expense, higher depreciation and higher property taxes.
Current wording
Our electric distribution segment earnings decreased $20.7 million in the third quarter of 2026, as compared to the third quarter of 2025, due primarily to the impact of PURA’s July 2026 final decision on CL&P’s storm prudency proceeding that disallowed certain storm costs from recovery, higher depreciation, the absence in 2026 of a benefit from the impact of the PSNH rate case decision in July 2025, higher interest expense, and higher property taxes. These earnings decreases were partially offset by higher revenues from base distribution rate increases at NSTAR Electric effective January 1, 2026 and at PSNH effective August 1, 2025 and August 1, 2026, higher revenues from CL&P’s capital tracking mechanism due to increased electric system improvements and NSTAR Electric’s Advanced Metering Infrastructure (AMI) capital tracking mechanism, and a lower effective tax rate.
Previous wording
Our electric transmission segment earnings decreased $24.3 million in the second quarter of 2026, as compared to the second quarter of 2025, due primarily to the prospective impact from the March 19, 2026 FERC decision in the FERC base ROE complaints that lowered the allowed ROE from 10.57 percent to 9.57 percent, as well as higher interest expense, partially offset by continued investment in our transmission infrastructure.
Current wording
Our electric transmission segment earnings decreased $3.5 million in the third quarter of 2026, as compared to the third quarter of 2025, due primarily to the prospective impact from the March 19, 2026 FERC decision in the FERC base ROE complaints that lowered the allowed ROE from 10.57 percent to 9.57 percent, as well as higher interest expense, partially offset by continued investment in our transmission infrastructure.
Previous wording
Our electric transmission segment earnings decreased $43.4 million in the first half of 2026, as compared to the first half of 2025, due primarily to the first quarter 2026 after-tax charge of $43.9 million resulting from the March 19, 2026 FERC decision in the FERC base ROE complaints in which the Company recorded a liability for refunds for the fifteen-month first complaint period, including interest. Excluding this charge, our electric transmission segment earnings increased $0.5 million in the first half of 2026, as compared to the first half of 2025, due primarily to a higher transmission rate base as a result of our continued investment in our transmission infrastructure and higher non-refundable transmission revenues, partially offset by the impact of the decrease in the allowed ROE from 10.57 percent to 9.57 percent and higher interest expense.
Current wording
Our electric transmission segment earnings decreased $46.9 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to the first quarter 2026 after-tax charge of $43.9 million resulting from the March 19, 2026 FERC decision in the FERC base ROE complaints in which the Company recorded a liability for refunds for the fifteen-month first complaint period, including interest. Excluding this charge, our electric transmission segment earnings decreased $3.0 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to the prospective impact of the decrease in the allowed ROE from 10.57 percent to 9.57 percent and higher interest expense, partially offset by higher transmission rate base as a result of our continued investment in our transmission infrastructure and higher non-refundable transmission revenues.
Previous wording
Our natural gas distribution segment earnings decreased $5.6 million in the second quarter of 2026, as compared to the second quarter of 2025, due primarily to the absence of a benefit in 2025 from previously expensed costs allowed for recovery, higher depreciation and higher property taxes, partially offset by higher revenues from the base distribution rate increase effective November 1, 2025 at Yankee Gas and from capital tracking mechanisms due to continued investments in natural gas infrastructure.
Current wording
Our natural gas distribution segment losses increased $26.6 million in the third quarter of 2026, as compared to the third quarter of 2025, due primarily to lower revenues at EGMA and NSTAR Gas driven by a change in the seasonal rate design that shifted the recovery of quarterly revenues, higher depreciation, higher interest expense, and higher operations and maintenance expense, partially offset by higher revenues from capital tracking mechanisms due to continued investments in natural gas infrastructure and the base distribution rate increase effective November 1, 2025 at Yankee Gas.
Previous wording
Our natural gas distribution segment earnings increased $71.4 million in the first half of 2026, as compared to the first half of 2025, due primarily to higher revenues from base distribution rate increases effective November 1, 2025 at Yankee Gas, NSTAR Gas and EGMA, and from capital tracking mechanisms due to continued investments in natural gas infrastructure. Those earnings increases were partially offset by higher operations and maintenance expense, higher depreciation, the absence of a benefit in 2025 from previously expensed costs allowed for recovery, higher property taxes, a higher effective income tax rate, and higher interest expense.
Current wording
Our natural gas distribution segment earnings increased $44.7 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to higher revenues from base distribution rate increases effective November 1, 2025 at Yankee Gas, NSTAR Gas and EGMA, and from capital tracking mechanisms due to continued investments in natural gas infrastructure. Those earnings increases were partially offset by higher depreciation, higher operations and maintenance expense, the absence of a benefit in 2025 from previously expensed costs allowed for recovery, higher property taxes, higher interest expense, and a higher effective income tax rate.
Previous wording
Our water distribution segment earnings decreased $114.2 million and $111.4 million in the second quarter and the first half of 2026, respectively, as compared to the second quarter and the first half of 2025, due primarily to the $111.4 million after-tax charge on the sale of Aquarion. Excluding this charge, our water distribution segment earnings decreased $2.8 million in the second quarter of 2026, as compared to the second quarter of 2025, due primarily to higher operations and maintenance expense and higher depreciation, partially offset by higher revenues. Excluding this charge, water distribution segment earnings remained flat in the first half of 2026, as compared to the first half of 2025. For further information on the sale, see the “Business Development and Capital Expenditures - Sale of Aquarion Water Distribution Business” section included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Current wording
Our water distribution segment earnings decreased $130.3 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to the $111.4 million after-tax charge recorded on the June 30, 2026 sale of Aquarion. Excluding this charge, our water distribution segment earnings decreased $18.9 million due to the absence of earnings in the third quarter of 2026. For further information on the sale, see the
Previous wording
Eversource Parent and Other Companies: Eversource parent and other companies losses increased by $163.8 million and $182.7 million in the second quarter and the first half of 2026, respectively, as compared to the second quarter and the first half of 2025, due primarily to the after-tax charge of $164.0 million resulting from an increase to the offshore wind contingent liability. Excluding this charge, Eversource parent and other companies losses decreased by $0.2 million in the second quarter of 2026, as compared to the second quarter of 2025, and increased by $18.7 million in the first half of 2026, as compared to the first half of 2025. Results in both periods were driven by higher interest expense and a higher effective income tax rate.
Current wording
Eversource parent and other companies losses increased by $134.6 million in the first nine months of 2026, as compared to the first nine months of 2025, due primarily to the after-tax charge of $164.0 million recorded in the second quarter of 2026 resulting from an increase to the offshore wind contingent liability, as compared to the $75.0 million after-tax offshore wind charge recorded in the third quarter of 2025. Excluding these charges, Eversource parent and other companies losses increased by $45.6 million in the first nine months of 2026, as compared to the first nine months of 2025, driven by a higher effective income tax rate and higher interest expense, partially offset by the benefit resulting from the reduction of the rate base offset established in purchase accounting for the EGMA acquisition.
Previous wording
In the second quarter of 2026, Eversource received revised projections of total construction costs associated with Revolution Wind, which included quantifiable cost increases. As a result, Eversource recognized a pre-tax charge of $194 million in the second quarter of 2026 to increase the liability for purchase price adjustments associated with the Revolution Wind project. Payments made in the first half of 2026 and 2025 of $233.0 million and $68.6 million, respectively, reduced the contingent liability and were reflected within investing activities on the statement of cash flows. Payments made in 2026 related to cost overruns for the Revolution Wind project paid to GIP and payment in 2025 related to a purchase price adjustment payment for the South Fork Wind project paid to GIP.
Current wording
In the second quarter of 2026, Eversource received revised projections of total construction costs associated with Revolution Wind, which included quantifiable cost increases. As a result, Eversource recognized a pre-tax charge of $194 million in the second quarter of 2026 to increase the liability for purchase price adjustments associated with the Revolution Wind project.
Previous wording
Eversource continually evaluates the contingent liability and will reassess the balance as new information becomes available. Based on most recent updates on the construction status of Revolution Wind and other information currently available, Eversource believes that the contingent liability balance as of June 30, 2026 is an adequate estimate to cover this contingent liability for purchase price adjustments. As of June 30, 2026 and December 31, 2025, the contingent liability totaled $409.2 million and $448.2 million, respectively, and is recorded as a current liability on Eversource’s balance sheets, based upon the timing of expected payments to GIP.
Current wording
Eversource continually evaluates the contingent liability based on the latest available information. Based on the most recent updates on the construction status of Revolution Wind and other information currently available, Eversource believes that the contingent liability balance as of September 30, 2026 is an adequate estimate to cover this contingent liability for purchase price adjustments. As of September 30, 2026 and December 31, 2025, the contingent liability totaled $409.2 million and $448.2 million, respectively, and is recorded as a current liability on Eversource’s balance sheets, based upon the timing of expected payments to GIP. Payments made in the first nine months of 2026 and 2025 of $233.0 million and $141.3 million, respectively, reduced the contingent liability and were reflected within investing activities on the statements of cash flows. Payments made in 2026 related to cost overruns for the Revolution Wind project paid to GIP, and payments made in 2025 related to a purchase price adjustment payment related to the South Fork Wind project paid to GIP, cost overruns for the Revolution Wind project paid to GIP, and insurance payments. South Fork Wind has achieved commercial operation, and Eversource made a purchase price adjustment payment related to this project in June 2025. All matters relating to South Fork Wind have been resolved with no material impacts.
Previous wording
Eversource relies on information that it receives from the project owners for the construction-related, delay-related, and insurance-related costs of Revolution Wind. Eversource uses its judgment to adjust, as needed, its expected obligations to GIP while construction of Revolution Wind is completed.
Current wording
Eversource relies on information that it receives from the project owners for the construction-related, delay-related, and insurance-related costs of Revolution Wind. Eversource uses its judgment to adjust, as needed, its expected obligations to GIP. New information or future developments that arise will necessitate a reassessment of the estimated liability to GIP. The Company reviews available projections of total construction costs, including the latest cost estimates and project timeline, to determine if any changes to this liability are warranted. In November 2026, the project owners announced construction is complete for Revolution Wind. Under the terms of the purchase and sale agreement, the obligation to GIP for the post-closing adjustment will be determined based on the project’s completion date as defined under the agreement. The reconciliation process for the post-closing adjustment is expected to occur in 2027.
Previous wording
Contingencies are evaluated using the best information available at the time the financial statements are published, and this assessment involves judgments and assumptions about future events. Factors that could increase the obligation to GIP include construction cost overruns for Revolution Wind as well as the timing and extent of construction delays, which would impact the economics associated with the purchase price adjustment, and the eligibility for federal investment tax credits for Revolution Wind at a value lower than assumed and included in the purchase price. The purchase price of Revolution Wind included the sales value related to a 40 percent level of federal investment tax credits. A change in the expected value or qualification of investment tax credit adders could result in a significant loss in a future period.
Current wording
Contingencies are evaluated using the best information available at the time the financial statements are published, and this assessment involves judgments and assumptions about future events. Factors that could increase the obligation to GIP include construction cost overruns for Revolution Wind as well as the timing and extent of construction delays, which would impact the final project economics including the obligation to maintain GIP’s internal rate of return through the construction period specified in the purchase price adjustment, and the eligibility for federal investment tax credits for Revolution Wind at a value lower than assumed and included in the purchase price. The purchase price of Revolution Wind included the value related to a 40 percent level of federal investment tax credits. A change in the expected value or qualification of investment tax credits could result in a significant loss in a future period.
Previous wording
It is reasonably possible that as additional updated cost estimates become available, and if additional cost overruns materialize or other adverse changes in facts, regulations and circumstances occur, there could be additional losses and increases to the offshore wind contingent liability, which could be material. The Company will continue to monitor developments and evaluate potential exposures related to this contingency and will revise its estimated liability as additional information becomes available.
Current wording
It is reasonably possible that as additional updated cost estimates become available, and if additional cost overruns materialize or other adverse changes in facts, regulations and circumstances occur, there could be additional increases to the offshore wind contingent liability, which could be material. The Company will continue to monitor developments and evaluate potential exposures related to this contingency and will revise its estimated liability as additional information becomes available.
Previous wording
Cash and Cash Equivalents totaled $1.82 billion as of June 30, 2026, compared with $135.4 million as of December 31, 2025.
Current wording
Cash and Cash Equivalents totaled $525.4 million as of September 30, 2026, compared with $135.4 million as of December 31, 2025.
Previous wording
Amounts outstanding under the commercial paper programs are included in Notes Payable and classified in current liabilities on the Eversource and NSTAR Electric balance sheets, as all borrowings are outstanding for no more than 364 days at one time. As a result of the Yankee Gas long-term debt issuances on July 15, 2026, $62.3 million of commercial paper borrowings under the Eversource parent commercial paper program were reclassified to Long-Term Debt on Eversource parent’s balance sheet as of June 30, 2026. As a result of the EGMA long-term debt issuances on July 15, 2026, $39.0 million of commercial paper borrowings under the Eversource parent commercial paper program were reclassified to Long-Term Debt on Eversource parent’s balance sheet as of June 30, 2026.
Current wording
Amounts outstanding under the commercial paper programs are included in Notes Payable and classified in current liabilities on the Eversource and NSTAR Electric balance sheets, as all borrowings are outstanding for no more than 364 days at one time.
Previous wording
Intercompany Borrowings: Eversource parent uses its available capital resources to provide loans to its subsidiaries to assist in meeting their short-term borrowing needs. Eversource parent records intercompany interest income from its loans to subsidiaries, which is eliminated in consolidation. Intercompany loans from Eversource parent to its subsidiaries are eliminated in consolidation on Eversource's balance sheets. As of June 30, 2026 and December 31, 2025, there were intercompany loans from Eversource parent to PSNH of $2.1 million and $49.3 million, respectively. As of June 30, 2026, there were intercompany loans from Eversource parent to CL&P of $107.0 million. Eversource parent charges interest on these intercompany loans at the same weighted-average interest rate as its commercial paper program. Intercompany loans from Eversource parent are included in Notes Payable to Eversource Parent and classified in current liabilities on the respective subsidiary's balance sheets, as these intercompany borrowings are outstanding for no more than 364 days at one time.
Current wording
Intercompany Borrowings: Eversource parent uses its available capital resources to provide loans to its subsidiaries to assist in meeting their short-term borrowing needs. Eversource parent records intercompany interest income from its loans to subsidiaries, which is eliminated in consolidation. Intercompany loans from Eversource parent to its subsidiaries are eliminated in consolidation on Eversource's balance sheets. As of September 30, 2026 and December 31, 2025, there were intercompany loans from Eversource parent to PSNH of $2.1 million and $49.3 million, respectively. As of September 30, 2026, there were intercompany loans from Eversource parent to CL&P of $293.7 million. Eversource parent charges interest on these intercompany loans at the same weighted-average interest rate as its commercial paper program. Intercompany loans from Eversource parent are included in Notes Payable to Eversource Parent and classified in current liabilities on the respective subsidiary's balance sheets, as these intercompany borrowings are outstanding for no more than 364 days at one time.
Previous wording
Long-Term Debt Issuance Authorizations: On March 3, 2026, PSNH filed a petition with the NHPUC requesting authorization to issue up to $200.0 million in long-term debt through December 31, 2026. PSNH has utilized its long-term debt authorizations in place with the NHPUC. On July 17, 2026, NSTAR Electric filed a petition with the DPU requesting authorization to issue up to $3.2 billion in long-term debt through December 31, 2029.
Current wording
Long-Term Debt Issuance Authorizations: On May 6, 2026, the NHPUC approved PSNH’s request for authorization to issue up to $200.0 million in long-term debt through December 31, 2026. PSNH has utilized its long-term debt authorizations in place with the NHPUC. On July 17, 2026, NSTAR Electric filed a petition with the DPU requesting authorization to issue up to $3.2 billion in long-term debt through December 31, 2029. On September 30, 2026, EGMA filed a petition with the DPU requesting authorization to issue up to $550 million in long-term debt through December 31, 2029. On November 4, 2026, PURA approved CL&P’s request for authorization to issue up to $1.15 billion in long-term debt through December 31, 2027.
Previous wording
Rate Reduction Bonds: PSNH's RRB payments consist of principal and interest and are paid semi-annually. PSNH paid $21.6 million of RRB principal payments and $6.1 million of interest payments in the first half of 2026, and paid $21.6 million of RRB principal payments and $6.9 million of interest payments in the first half of 2025.
Current wording
Rate Reduction Bonds: PSNH's RRB payments consist of principal and interest and are paid semi-annually. PSNH paid $43.2 million of RRB principal payments and $11.9 million of interest payments in the first nine months of 2026, and paid $43.2 million of RRB principal payments and $13.4 million of interest payments in the first nine months of 2025.
Previous wording
Common Share Issuances and Equity Distribution Agreement: On May 30, 2025, Eversource entered into an equity distribution agreement pursuant to which it may offer and sell up to $1.2 billion of its common shares from time to time through an ATM equity offering program. In 2025, we issued 7,130,134 common shares, which resulted in proceeds of $465.4 million, net of issuance costs. In the second quarter of 2026, Eversource issued 289,044 common shares, which resulted in proceeds of $20.2 million, net of issuance costs. Eversource used the net proceeds received for general corporate purposes.
Current wording
Common Share Issuances and Equity Distribution Agreement: On May 30, 2025, Eversource entered into an equity distribution agreement pursuant to which it may offer and sell up to $1.2 billion of its common shares from time to time through an ATM equity offering program. In 2025, Eversource issued 7,130,134 common shares, which resulted in proceeds of $465.4 million, net of issuance costs. In the first nine months of 2026, Eversource issued 289,044 common shares, which resulted in proceeds of $19.9 million, net of issuance costs. Eversource used the net proceeds received for general corporate purposes.
Previous wording
Cash Flows: Cash flows from operating activities primarily result from the transmission and distribution of electricity, and the distribution of natural gas. Cash flows provided by operating activities totaled $2.41 billion in the first half of 2026, compared with $2.10 billion in the first half of 2025. Operating cash flows were favorably impacted by the timing of cash collections on our accounts receivable, an improvement in regulatory recoveries for retail and wholesale transmission costs and natural gas regulatory cost tracking mechanisms driven by the timing of collections, a $59.0 million decrease in cost of removal expenditures, a $56.7 million increase in income tax refunds received in 2026 compared to 2025, and the timing of other working capital items. These favorable impacts were partially offset by a decrease in regulatory recoveries for CL&P’s non-bypassable FMCC and SBC cost tracking mechanisms driven primarily by the timing of collections, the timing of cash payments made on our accounts payable, and a $13.3 million increase in cash payments to vendors for storm costs. The impacts of regulatory collections are included in both Regulatory Recoveries and Amortization on the statements of cash flows. Additionally, under a winter electric bill relief program in Massachusetts, bill credits were provided to electric and natural gas customers in the first quarter of 2026, which resulted in delayed collections that will be recovered later in 2026, and were partially offset by proceeds of $84.1 million received from the Commonwealth of Massachusetts at NSTAR Electric in January 2026 to fund a portion of the bill relief.
Current wording
Cash Flows: Cash flows from operating activities primarily result from the transmission and distribution of electricity, and the distribution of natural gas. Cash flows provided by operating activities totaled $3.07 billion in the first nine months of 2026, compared with $3.20 billion in the first nine months of 2025. Operating cash flows were unfavorably impacted by a decrease in regulatory recoveries for CL&P’s non-bypassable FMCC and SBC cost tracking mechanisms driven primarily by the timing of collections. The decrease in these regulatory recoveries totaled$334.1 million for the CL&P non-bypassable FMCC mechanism and $180.8 million for the CL&P SBC mechanism. Operating cash flows were also unfavorably impacted by a $54.2 million increase in cash payments to vendors for storm costs, the timing of cash payments made on our accounts payable, and the timing of other working capital items. These unfavorable impacts were partially offset by the timing of cash collections on our accounts receivable, an improvement in regulatory recoveries for retail and wholesale transmission costs, energy efficiency costs, and natural gas regulatory cost tracking mechanisms driven by the timing of collections, a $37.0 million decrease in cost of removal expenditures, and a $10.6 million increase in income tax refunds received in 2026 compared to 2025. The impacts of regulatory collections are included in both Regulatory Recoveries and Amortization on the statements of cash flows.
Previous wording
On May 6, 2026, our Board of Trustees approved a common share dividend payment of $0.7875 per share, payable on June 30, 2026 to shareholders of record as of May 18, 2026. In the first half of 2026, we paid cash dividends of $580.3 million and issued non-cash dividends of $11.9 million in the form of treasury shares, totaling dividends of $592.2 million. In the first half of 2025, we paid cash dividends of $540.9 million and issued non-cash dividends of $11.8 million in the form of treasury shares, totaling dividends of $552.7 million.
Current wording
On September 10, 2026, our Board of Trustees approved a common share dividend payment of $0.7875 per share, payable on September 30, 2026 to shareholders of record as of September 21, 2026. In the first nine months of 2026, we paid cash dividends of $871.3 million and issued non-cash dividends of $17.6 million in the form of treasury shares, totaling dividends of $888.9 million. In the first nine months of 2025, we paid cash dividends of $816.4 million and issued non-cash dividends of $17.7 million in the form of treasury shares, totaling dividends of $834.1 million.
Previous wording
In the first half of 2026, CL&P, NSTAR Electric and PSNH paid $176.8 million, $331.0 million, and $127.9 million, respectively, in common stock dividends to Eversource parent.
Current wording
In the first nine months of 2026, CL&P, NSTAR Electric and PSNH paid $290.2 million, $331.0 million, and $166.8 million, respectively, in common stock dividends to Eversource parent.
Previous wording
Investments in Property, Plant and Equipment on the statements of cash flows do not include amounts incurred on capital projects but not yet paid, cost of removal, AFUDC related to equity funds, and the capitalized and deferred portions of pension and PBOP income/expense. In the first half of 2026, investments for Eversource, CL&P, NSTAR Electric, and PSNH were $2.02 billion, $511.5 million, $773.8 million, and $197.4 million, respectively. Capital expenditures were primarily for continuing projects to maintain and improve infrastructure and operations, including enhancing reliability to the transmission and distribution systems.
Current wording
Investments in Property, Plant and Equipment on the statements of cash flows do not include amounts incurred on capital projects but not yet paid, cost of removal, AFUDC related to equity funds, and the capitalized and deferred portions of pension and PBOP income/expense. In the first nine months of 2026, investments for Eversource, CL&P, NSTAR Electric, and PSNH were $3.05 billion, $748.3 million, $1.18 billion, and $298.0 million, respectively. Capital expenditures were primarily for continuing projects to maintain and improve infrastructure and operations, including enhancing reliability to the transmission and distribution systems.
Previous wording
Credit Ratings: On July 6, 2026, Moody’s revised the outlook of both Eversource parent and NSTAR Electric from negative to stable due to the closing of the sale of Aquarion and the approval of storm costs in Connecticut.
Current wording
Credit Ratings: On August 14, 2026, Fitch revised the outlooks from negative to stable for Eversource parent, CL&P, NSTAR Electric and PSNH due to the closing of the sale of Aquarion and greater confidence that Revolution Wind will reach commercial operation by year-end 2026.
Previous wording
Our consolidated capital expenditures, including amounts incurred but not paid, cost of removal, AFUDC, and the capitalized and deferred portions of pension and PBOP income/expense (all of which are non-cash factors), totaled $1.97 billion in the first half of 2026, compared to $2.15 billion in the first half of 2025. These amounts included$101.4 million and $104.4 million in the first half of 2026 and 2025, respectively, at Eversource Service and The Rocky River Realty Company primarily for information technology and facilities upgrades.
Current wording
Our consolidated capital expenditures, including amounts incurred but not paid, cost of removal, AFUDC, and the capitalized and deferred portions of pension and PBOP income/expense (all of which are non-cash factors), totaled $3.14 billion in the first nine months of 2026, compared to $3.34 billion in the first nine months of 2025. These amounts included$141.9 million and $171.8 million in the first nine months of 2026 and 2025, respectively, at Eversource Service and The Rocky River Realty Company primarily for information technology and facilities upgrades.
Previous wording
Electric Transmission Business: Our consolidated electric transmission business capital expenditures decreased by $5.6 million in the first half of 2026, as compared to the first half of 2025. A summary of electric transmission capital expenditures by company is as follows:
Current wording
Electric Transmission Business: Our consolidated electric transmission business capital expenditures decreased by $25.3 million in the first nine months of 2026, as compared to the first nine months of 2025. A summary of electric transmission capital expenditures by company is as follows:
Previous wording
Greater Cambridge Energy Program: The Greater Cambridge Energy Program will construct Eversource’s first underground transmission substation in Cambridge, Massachusetts, along with associated transmission and distribution lines. The project will address the increased electric demand in the region, enhance the resiliency of the transmission system, and ensure a flexible grid to reliably serve customers. The flexibility to transmit and distribute mixed energy sources will support the decarbonization and electrification goals of both the City of Cambridge and the state of Massachusetts. The new 115/13.8-kV, 35,000 square foot substation will be located in an underground vault and includes three distribution power transformers supplying thirty-six distribution circuits. The project also includes five underground duct banks housing eight new 115-kV transmission lines. The Massachusetts Energy Facilities Siting Board approved the project on June 28, 2024. Environmental permits are acquired to support ongoing construction activities. Additional required permits for transmission line trenchless crossings, including a license from the MA DEP, are expected to be approved by the end of 2026. The initial in-service date for the project is June 2029, which includes two 115-kV transmission lines and the transmission portion of the substation. The first distribution circuits and substation distribution will be placed in-service by the end of 2029. The remaining transmission and distribution circuits will be placed in-service throughout 2030 and into 2031. The total estimated project cost is approximately $1.84 billion, with $1.38 billion allocated for transmission and $460 million for distribution. As of June 30, 2026, $265.4 million has been spent on the project, with $208.0 million for transmission and $57.4 million for distribution.
Current wording
Greater Cambridge Energy Program: The Greater Cambridge Energy Program is constructing Eversource’s first underground transmission substation in Cambridge, Massachusetts, along with associated transmission and distribution lines. The project is designed to address the increased electric demand in the region, enhance the resiliency of the transmission system, and ensure a flexible grid to reliably serve customers. The flexibility to transmit and distribute mixed energy sources supports the decarbonization and electrification goals of both the City of Cambridge and the state of Massachusetts. The new 115/13.8-kV, 35,000 square foot substation will be located in an underground vault and includes three distribution power transformers supplying thirty-six distribution circuits. The project also includes five underground duct banks housing eight new 115-kV transmission lines. The Massachusetts Energy Facilities Siting Board approved the project on June 28, 2024. Environmental permits are acquired to support ongoing construction activities. Additional required permits for transmission line trenchless crossings, including a license from the MA DEP, are expected to be approved by the end of 2026. The initial in-service date for the project is June 2029, which includes two 115-kV transmission lines and the transmission portion of the substation. The first distribution circuits and substation distribution will be placed in-service by the end of 2029. The remaining transmission and distribution circuits will be placed in-service throughout 2030 and into 2031. The total estimated project cost is approximately $1.84 billion, with $1.38 billion allocated for transmission and $460 million for distribution. As of September 30, 2026, $300.4 million has been spent on the project, with $234.8 million for transmission and $65.6 million for distribution.
Previous wording
ISO-NE Longer-Term Transmission Planning RFP: On March 31, 2025, ISO-NE issued the 2025 Longer-Term Transmission Planning Request for Proposal (RFP) to address longer-term needs that the New England States Committee on Electricity (NESCOE) identified in a December 13, 2024 request for ISO-NE to issue a longer-term transmission RFP. Following a full evaluation of the transmission tariff and RFP requirements, on July 22, 2026, ISO-NE selected a joint proposal submitted by Eversource (for NSTAR Electric and PSNH) and Central Maine Power as the preliminary preferred solution. This transmission project is designed to increase transmission capacity between Maine and New Hampshire while strengthening the transmission interface between northern and southern New England and accommodating interconnection of at least 1,200 MW of onshore wind. Eversource’s share of the total estimated $2.2 billion project cost is approximately $700 million and the project has an anticipated in-service date in 2032. After stakeholder input due in August 2026, ISO-NE will select the preferred solution for development and NESCOE will then determine whether to allow the process to proceed.
Current wording
ISO-NE Longer-Term Transmission Planning RFP: On March 31, 2025, ISO-NE issued the 2025 Longer-Term Transmission Planning Request for Proposal (RFP) to address longer-term needs that the New England States Committee on Electricity (NESCOE) identified in a December 13, 2024 request for ISO-NE to issue a longer-term transmission RFP. Following a full evaluation of the transmission tariff and RFP requirements, in September 2026, ISO-NE selected a joint proposal submitted by Eversource (for NSTAR Electric and PSNH) and Central Maine Power as the final preferred solution. This transmission project is designed to increase transmission capacity between Maine and New Hampshire while strengthening the transmission interface between northern and southern New England and accommodating interconnection of at least 1,200 MW of onshore wind. Eversource’s share of the total estimated $2.2 billion project cost is approximately $700 million and the project has an anticipated in-service date in 2032.
Previous wording
For the water distribution business, basic business addresses daily operational needs including periodic meter replacement, water main relocation, facility maintenance, and tools. Aging infrastructure relates to reliability and the replacement of water mains, regulators, storage tanks, pumping stations, wellfields, reservoirs, and treatment facilities. Load growth and other reflects growth in our service territory, including improvements of acquisitions, installation of new services, and interconnections of systems.
Current wording
For the previously-owned water distribution business, basic business addressed daily operational needs including periodic meter replacement, water main relocation, facility maintenance, and tools. Aging infrastructure related to reliability and the replacement of water mains, regulators, storage tanks, pumping stations, wellfields, reservoirs, and treatment facilities. Load growth and other reflected growth in our service territory, including improvements of acquisitions, installation of new services, and interconnections of systems.
Showing the first 40 of 76 pairs. Open the source sections for the rest.
Rearranged current paragraphs (7)
Current report — wording carried from elsewhere
“Business Development and Capital Expenditures - Sale of Aquarion Water Distribution Business” section included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Current report — wording carried from elsewhere
Eversource has no post-closing obligations under the purchase and sale agreement with AWA other than a working capital true-up to the purchase price and no continued involvement with the divested subsidiaries. The final purchase price adjustment will be recorded upon resolution of the working capital true-up calculation, which is expected to occur in the fourth quarter.
Current report — wording carried from elsewhere
On March 19, 2026, FERC issued Opinion No. 594 in the NETO ROE proceedings, attempting to resolve all four pending complaints dating back to 2011 and to respond to the D.C. Circuit Court’s April 14, 2017 decision vacating FERC’s prior decision in the first complaint, which found that the FERC had failed to (1) make an explicit, reasoned finding that the then-existing 11.14 percent base ROE was unjust and unreasonable before imposing a replacement ROE, and (2) adequately justify placing the ROE at the midpoint of the upper half of the zone of reasonableness.
Current report — wording carried from elsewhere
On April 20, 2026, the NETOs submitted to FERC a request for rehearing of Opinion No. 594 highlighting several deficiencies within the order. On May 21, 2026, FERC issued an order denying the request for rehearing by operation of law. On September 24, 2026, FERC issued its substantive order on rehearing, Opinion No. 594-A, addressing the merits of arguments raised by the NETOs and sustaining the result determined in Opinion No. 594.
Current report — wording carried from elsewhere
Eversource believes it has sound arguments against the refunds for the retroactive refund period based on the Company’s legal assessment of the Federal Power Act and the legal and regulatory deficiencies underlying the March 19, 2026 FERC decision, as identified in the NETOs’ appeal filed with the D.C. Circuit Court, including that the retroactive application is inconsistent with the statutory limitations under the Federal Power Act. Eversource continues to challenge the March 19, 2026 FERC decision and cannot predict the ultimate outcome of this proceeding or its timing, but Eversource believes that a court decision could be received in the second half of 2027.
Current report — wording carried from elsewhere
PURA did not approve the recovery of carrying costs from the date the deferred storm costs were incurred through the date of the final decision. PURA approved the accrual of carrying costs on the unrecovered, approved storm costs beginning on the date of the final decision through the date of securitization or other recovery authorized in the CL&P distribution rate case proceeding. On October 15, 2026, CL&P filed an appeal in Connecticut Superior Court challenging certain aspects of PURA's final decision, including PURA's denial of recovery of carrying costs on deferred storm costs incurred prior to the date of the final decision and certain disallowed storm restoration costs. The appeal remains pending.
Current report — wording carried from elsewhere
On July 25, 2025, the NHPUC approved a permanent rate increase to base distribution rates of $100.7 million, effective August 1, 2025 at PSNH. On July 21, 2026, the NHPUC approved PSNH’s first annual alternative regulatory framework filing reflecting a calculated $23.6 million in supplemental revenue support to be included in base distribution rates, for effect August 1, 2026.
Rearranged previous paragraphs (6)
Previous report — wording carried elsewhere
•On June 30, 2026, Eversource completed the sale of Aquarion consistent with all regulatory terms and requirements. The total transaction purchase price was approximately $2.4 billion, which included approximately $650 million of long-term debt that was either repaid at closing or transferred to the buyer. The adjusted net equity proceeds of approximately $1.7 billion will be used to reduce Eversource parent debt. As a result of the sale, Eversource recognized a non-cash, non-recurring charge, after-tax charge of $111.4 million in the second quarter of 2026.
Previous report — wording carried elsewhere
New information or future developments that arise as the construction of Revolution Wind progresses will necessitate a reassessment of the estimated liability to GIP. The Company reviews available projections of total construction costs, including the latest cost estimates and project timeline, to determine if any changes to this liability are warranted.
Previous report — wording carried elsewhere
For our offshore wind contingent liability, payments made in the first half of 2026 and 2025 reduced the liability and were reflected within investing activities on the statement of cash flows. Payments made in 2026 related to cost overruns for the Revolution Wind project paid to GIP and payment in 2025 related to a purchase price adjustment payment for the South Fork Wind project paid to GIP.
Previous report — wording carried elsewhere
On July 25, 2025, the NHPUC approved a permanent rate increase to base distribution rates of $100.7 million, effective August 1, 2025 at PSNH.
Previous report — wording carried elsewhere
The variance in energy supply procurement costs is offset in Operating Revenues (tracked energy supply procurement revenues). The increase in other electric distribution costs for the three month period is due primarily to an increase in the LTRCA related to NSTAR Electric’s PPA with Hydro-Québec, for which costs began in the first quarter of 2026, and an increase in transition costs at PSNH. These increases were partially offset by lower net metering costs at NSTAR Electric and lower long-term contractual energy-related costs that are recovered in the non-bypassable component of the FMCC mechanism at CL&P.
Previous report — wording carried elsewhere
The variance in Amortization for the three and six month periods isdue primarily to the deferral adjustments of energy-related and other tracked costs at CL&P (included in the non-bypassable component of the FMCC mechanism and the SBC mechanism), NSTAR Electric and PSNH, which can fluctuate from period to period based on the timing of costs incurred and related rate changes to recover these costs.