Eversource Subsidiary PSNH Posts Strong Q3 Earnings Rebound

TL;DR

**PSNH's Q3 comeback is a green light for Eversource investors, signaling a strong rebound from offshore wind woes.**

AI Summary

PUBLIC SERVICE CO OF NEW HAMPSHIRE (PSNH), a subsidiary of Eversource Energy, reported a significant turnaround in net income for the nine months ended September 30, 2025, reaching $1,276,705 thousand, a substantial increase from $744,772 thousand in the prior year. Operating revenues also saw a healthy rise to $10,177,048 thousand from $8,929,321 thousand. This improvement was despite increased operating expenses, including purchased power, natural gas, and transmission costs rising to $3,208,337 thousand from $2,995,245 thousand. A notable factor was a reduction in losses on offshore wind, which decreased to $284,000 thousand from $464,019 thousand. The company's total assets grew to $61,702,575 thousand as of September 30, 2025, from $59,594,529 thousand at December 31, 2024, driven by an increase in property, plant, and equipment, net, to $43,044,113 thousand. Common shareholders' equity also increased to $16,028,250 thousand from $15,039,387 thousand, reflecting strong financial performance and capital contributions. Cash and cash equivalents surged to $259,340 thousand from $26,656 thousand, indicating improved liquidity.

Why It Matters

This filing reveals a robust financial recovery for PUBLIC SERVICE CO OF NEW HAMPSHIRE (PSNH) and its parent, Eversource Energy, primarily driven by reduced offshore wind losses and increased revenues. For investors, this signals improved profitability and potentially a more stable dividend outlook for Eversource (ES). Employees benefit from a healthier company, while customers might see continued investment in infrastructure, though energy costs remain a key factor. In the competitive utility landscape, PSNH's performance, particularly in managing offshore wind liabilities, could set a precedent for other regional utilities facing similar challenges, potentially influencing future energy project financing and regulatory frameworks.

Risk Assessment

Risk Level: medium — While net income improved significantly, the company still reported $284,000 thousand in losses on offshore wind for the nine months ended September 30, 2025, indicating ongoing exposure to this volatile sector. Additionally, long-term debt increased to $26,854,425 thousand from $25,701,627 thousand, which could pose interest rate risk.

Analyst Insight

Investors should consider increasing their exposure to Eversource Energy (ES) given the strong earnings rebound and reduced offshore wind losses. Monitor future offshore wind developments and interest rate trends, but the current trajectory suggests a positive outlook.

Financial Highlights

debt To Equity

1.67

revenue

$10,177,048 thousand

operating Margin

N/A

total Assets

$61,702,575 thousand

total Debt

$26,850,000 thousand

net Income

$1,276,705 thousand

eps

$3.44

gross Margin

N/A

cash Position

$259,340 thousand

revenue Growth

+14.0%

Revenue Breakdown

Key Numbers

• $1.28B — Net Income (Increased from $744.8M in 2024, a 71.3% rise year-over-year for the nine months ended September 30.)
• $10.18B — Operating Revenues (Increased from $8.93B in 2024, a 14.0% increase year-over-year for the nine months ended September 30.)
• $284M — Offshore Wind Losses (Decreased from $464M in 2024, a 38.8% reduction year-over-year for the nine months ended September 30.)
• $61.70B — Total Assets (Increased from $59.59B at December 31, 2024, a 3.5% growth.)
• $16.03B — Common Shareholders' Equity (Increased from $15.04B at December 31, 2024, a 6.6% growth.)
• $259.34M — Cash and Cash Equivalents (Significantly increased from $26.66M at December 31, 2024, representing a 872.8% increase.)
• $3.44 — Diluted EPS (Increased from $2.08 in 2024, a 65.4% rise year-over-year for the nine months ended September 30.)
• $26.85B — Long-Term Debt (Increased from $25.70B at December 31, 2024, a 4.5% increase.)

Key Players & Entities

• PUBLIC SERVICE CO OF NEW HAMPSHIRE (company) — Registrant and subsidiary of Eversource Energy
• EVERSOURCE ENERGY (company) — Parent company and primary registrant
• $1,276,705 thousand (dollar_amount) — Net Income for the nine months ended September 30, 2025
• $744,772 thousand (dollar_amount) — Net Income for the nine months ended September 30, 2024
• $10,177,048 thousand (dollar_amount) — Operating Revenues for the nine months ended September 30, 2025
• $8,929,321 thousand (dollar_amount) — Operating Revenues for the nine months ended September 30, 2024
• $284,000 thousand (dollar_amount) — Losses on Offshore Wind for the nine months ended September 30, 2025
• $464,019 thousand (dollar_amount) — Losses on Offshore Wind for the nine months ended September 30, 2024
• $61,702,575 thousand (dollar_amount) — Total Assets as of September 30, 2025
• $26,854,425 thousand (dollar_amount) — Long-Term Debt as of September 30, 2025

FAQ

Risk Factors

• Regulatory Environment Changes [high — regulatory]: Changes in regulations, including environmental standards and rate-setting policies, can significantly impact operating costs and revenue. For example, evolving renewable energy mandates or transmission cost recovery rules could affect PSNH's profitability.
• Commodity Price Volatility [medium — market]: Fluctuations in the prices of natural gas and electricity purchased for resale directly affect operating expenses. The increase in purchased power and natural gas costs to $3,208,337 thousand from $2,995,245 thousand highlights this sensitivity.
• Infrastructure Reliability and Storms [medium — operational]: The company's extensive infrastructure is vulnerable to weather-related events, which can lead to significant repair costs and service disruptions. Maintaining reliability and responding to storms are ongoing operational challenges.
• Interest Rate Risk [medium — financial]: As a utility with substantial debt, PSNH is exposed to interest rate fluctuations. An increase in interest rates could raise the cost of servicing its long-term debt, which stood at $26.85 billion, up from $25.70 billion.
• Offshore Wind Investment Performance [medium — market]: Investments in offshore wind projects, while potentially offering long-term benefits, carry inherent risks and can result in significant losses. The reduction in these losses to $284,000 thousand from $464,019 thousand indicates ongoing management of these exposures.

Industry Context

Public Service Company of New Hampshire operates within the regulated utility sector, characterized by stable demand but significant capital intensity. The industry is increasingly focused on transitioning to cleaner energy sources, investing in grid modernization, and managing the costs associated with these changes. Regulatory approvals are critical for rate adjustments and capital investments, making the regulatory environment a primary driver of performance.

Regulatory Implications

As a regulated utility, PSNH is subject to oversight by state and federal agencies, impacting its rates, operations, and capital expenditures. Changes in environmental regulations, renewable energy mandates, and rate-setting methodologies can significantly affect financial performance and require substantial compliance investments.

What Investors Should Do

1. Monitor regulatory filings and decisions for potential impacts on rates and operating costs.
2. Analyze the company's capital expenditure plans, particularly those related to grid modernization and renewable energy integration.
3. Assess the ongoing management of offshore wind project performance and its impact on earnings.
4. Evaluate the company's debt levels and its ability to manage interest rate risk given its significant long-term debt.

Glossary

Operating Revenues

The total income generated from the company's primary business activities, such as selling electricity and gas. (Indicates the scale of the company's business and its ability to generate sales.)

Net Income

The company's profit after all expenses, taxes, and interest have been deducted from total revenue. (A key measure of profitability and overall financial health.)

Common Shareholders' Equity

The residual interest in the assets of the company after deducting liabilities; represents the book value of the owners' stake. (Shows the company's net worth and the capital invested by shareholders.)

Cash and Cash Equivalents

Highly liquid short-term investments that can be readily converted into cash. (Measures the company's immediate liquidity and ability to meet short-term obligations.)

Property, Plant, and Equipment, Net

The depreciated value of the company's long-term tangible assets used in operations, such as power plants and transmission lines. (Represents the core operational assets of the utility.)

Diluted EPS

Earnings per share calculated by dividing net income by the total number of diluted shares outstanding, including potential shares from options or convertible securities. (A key metric for shareholder value, reflecting profitability on a per-share basis.)

Long-Term Debt

Money borrowed by the company that is due more than one year from the balance sheet date. (Indicates the company's leverage and its long-term financing structure.)

Year-Over-Year Comparison

Public Service Co of New Hampshire has demonstrated a strong financial recovery in the nine months ended September 30, 2025, compared to the prior year. Operating revenues increased by 14.0% to $10.18 billion, while net income saw a substantial surge of 71.3% to $1.28 billion. This improved profitability was partly driven by a 38.8% reduction in losses from offshore wind investments. Total assets grew by 3.5% to $61.70 billion, and common shareholders' equity increased by 6.6% to $16.03 billion, reflecting solid performance and capital growth. Liquidity also significantly improved, with cash and cash equivalents rising by 872.8% to $259.34 million.

Key Financial Figures

• $5.00 — nge on which registered Common Shares, $5.00 par value per share ES New York Stock E
• $10.00 — t Light and Power Company Common Stock, $10.00 par value 6,035,205 shares NSTAR Elect
• $1.00 — s NSTAR Electric Company Common Stock, $1.00 par value 200 shares Public Service Co

Filing Documents

• es-20250930.htm (10-Q) — 4420KB
• q3202510q-ex31xeversource.htm (EX-31) — 10KB
• q3202510q-ex311xeversource.htm (EX-31.1) — 10KB
• q3202510q-ex32xeversource.htm (EX-32) — 7KB
• q3202510q-exhibit31xclp.htm (EX-31) — 10KB
• q3202510q-exhibit311xclp.htm (EX-31.1) — 10KB
• q3202510q-exhibit32xclp.htm (EX-32) — 7KB
• q3202510q-exhibit31xnste.htm (EX-31) — 10KB
• q3202510q-exhibit311xnste.htm (EX-31.1) — 10KB
• q3202510q-exhibit32xnste.htm (EX-32) — 7KB
• q3202510q-exhibit31xpsnh.htm (EX-31) — 10KB
• q3202510q-exhibit311xpsnh.htm (EX-31.1) — 10KB
• q3202510q-exhibit32xpsnh.htm (EX-32) — 7KB
• es-20250930_g1.jpg (GRAPHIC) — 11KB
• 0001628280-25-050033.txt ( ) — 20199KB
• es-20250930_def.xml (EX-101.DEF) — 662KB
• es-20250930_lab.xml (EX-101.LAB) — 892KB
• es-20250930_pre.xml (EX-101.PRE) — 914KB
• es-20250930_cal.xml (EX-101.CAL) — 130KB
• es-20250930.xsd (EX-101.SCH) — 96KB
• es-20250930_htm.xml (XML) — 4397KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION ITEM 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) Eversource Energy and Subsidiaries (Unaudited) Condensed Consolidated Balance Sheets 1 Condensed Consolidated Statements of Income /(Loss) 2 Condensed Consolidated Statements of Comprehensive Income/(Loss) 2 Condensed Consolidated Statements of Common Shareholders' Equity 3 Condensed Consolidated Statements of Cash Flows 5 The Connecticut Light and Power Company (Unaudited) Condensed Balance Sheets 6 Condensed Statements of Income 7 Condensed Statements of Comprehensive Income 7 Condensed Statements of Common Stockholder's Equity 8 Condensed Statements of Cash Flows 9 NSTAR Electric Company and Subsidiary (Unaudited) Condensed Consolidated Balance Sheets 10 Condensed Consolidated Statements of Income 11 Condensed Consolidated Statements of Comprehensive Income 11 Condensed Consolidated Statements of Common Stockholder's Equity 12 Condensed Consolidated Statements of Cash Flows 13 Public Service Company of New Hampshire and Subsidiaries (Unaudited) Condensed Consolidated Balance Sheets 14 Condensed Consolidated Statements of Income 15 Condensed Consolidated Statements of Common Stockholder's Equity 16 Condensed Consolidated Statements of Cash Flows 17 Combined Notes to Condensed Financial Statements (Unaudited) 18 ITEM 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations Eversource Energy and Subsidiaries 43 The Connecticut Light and Power Company , NSTAR Electric Company and Subsidiary, and Public Service Company of New Hampshire and Subsidiaries 62 ITEM 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 66 ITEM 4.

Controls and Procedures

Controls and Procedures 67

– OTHER INFORMATION

PART II – OTHER INFORMATION ITEM 1.

Legal Proceedings

Legal Proceedings 67 ITEM 1A.

Risk Factors

Risk Factors 67 ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds 68

Defaults Upon Senior Securities 68

ITEM 3. Defaults Upon Senior Securities 68

Mine Safety Disclosures 68

ITEM 4. Mine Safety Disclosures 68

Other Information 68

ITEM 5. Other Information 68 ITEM 6. Exhibits 69

SIGNATURES

SIGNATURES 70 iii EVERSOURCE ENERGY AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Thousands of Dollars) As of September 30, 2025 As of December 31, 2024 ASSETS Current Assets: Cash and Cash Equivalents $ 259,340 $ 26,656 Receivables, Net (net of allowance for uncollectible accounts of $ 550,917 and $ 556,164 as of September 30, 2025 and December 31, 2024, respectively) 1,656,090 1,651,325 Unbilled Revenues 162,932 242,169 Materials, Supplies, Natural Gas and REC Inventory 528,111 594,568 Regulatory Assets 1,831,224 2,189,660 Current Assets Held for Sale 68,472 56,327 Prepayments and Other Current Assets 352,589 315,368 Total Current Assets 4,858,758 5,076,073 Property, Plant and Equipment, Net 43,044,113 40,986,578 Deferred Debits and Other Assets: Regulatory Assets 4,838,923 4,880,974 Goodwill 3,571,333 3,571,333 Prepaid Pension and PBOP 1,434,847 1,336,633 Marketable Securities 321,043 320,272 Long-Term Assets Held for Sale 2,691,412 2,611,145 Other Long-Term Assets 942,146 811,521 Total Deferred Debits and Other Assets 13,799,704 13,531,878 Total Assets $ 61,702,575 $ 59,594,529 LIABILITIES AND CAPITALIZATION Current Liabilities: Notes Payable $ 1,517,500 $ 2,042,793 Long-Term Debt – Current Portion 1,140,007 1,003,150 Rate Reduction Bonds – Current Portion 43,210 43,210 Accounts Payable 1,483,634 1,736,880 Accrued Interest 308,690 341,558 Regulatory Liabilities 1,064,050 632,282 Current Liabilities Held for Sale 57,403 52,593 Offshore Wind Contingent Liability - Current Portion 507,658 15,000 Other Current Liabilities 676,136 853,491 Total Current Liabilities 6,798,288 6,720,957 Deferred Credits and Other Liabilities: Accumulated Deferred Income Taxes 5,546,906 5,411,206 Regulatory Liabilities 4,114,348 4,032,564 Asset Retirement Obligations 598,209 590,890 Long-Term Liabilities Held for Sale 405,611 398,859 Offshore Wind Contingent Liability - Long-Term Portion — 350,000 Accrued SERP a

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