Eversource 2025 Q2 Earnings Strong Performance as Net Income Surges 5.2%

Eversource (ES) reported its fiscal 2025 Q2 earnings on Jul 31st, 2025. Eversource achieved impressive results, surpassing revenue expectations with a 12.0% increase year-over-year. The company reaffirmed its 2025 EPS guidance, projecting between $4.67 and $4.82, in line with previous forecasts. Eversource continues to focus on transmission and distribution sectors, with a strategic shift towards higher investment in Massachusetts. The commitment to growth is evident in their capital expenditure plan of $24.2 billion over the next five years.

Revenue
The total revenue of Eversource increased by 12.0% to $2.84 billion in 2025 Q2, up from $2.53 billion in 2024 Q2.

Earnings/Net Income
Eversource's EPS rose 1.1% to $0.96 in 2025 Q2 from $0.95 in 2024 Q2, marking continued earnings growth. Meanwhile, the company's profitability strengthened with net income of $354.61 million in 2025 Q2, marking 5.2% growth from $337.22 million in 2024 Q2. Remarkably, in 2025 Q2, the company set a new record high for fiscal Q2 net income, the highest in over 20 years. Despite modest EPS growth, Eversource's net income performance indicates solid profitability.

Price Action
The stock price of Eversource has edged up 0.90% during the latest trading day, has edged down 0.47% during the most recent full trading week, and has climbed 3.90% month-to-date.

Post-Earnings Price Action Review
The strategy of buying the S&P 500 (ES) when revenues beat expectations and holding for 30 days resulted in poor performance, with a return of -33.01%. This significantly underperformed the benchmark return of 49.91%. The strategy experienced a maximum drawdown of 0.00% and a Sharpe ratio of -1.23, indicating a high level of risk. Despite Eversource's strong earnings report, the market's response was less favorable, reflecting the volatility and unpredictability associated with post-earnings trading strategies. Investors are advised to consider these factors when developing their investment approach, as the financial landscape can shift rapidly, impacting expected returns.

CEO Commentary
Eversource Energy's CEO highlighted strong performance in the company's transmission and distribution sectors, emphasizing growth drivers such as a strategic shift towards higher distribution investment in Massachusetts. The CEO acknowledged challenges including potential regulatory impacts and tariff adjustments but remained optimistic about the company's progress on key projects, notably the AMI project in Massachusetts and the acquisition of the Mystic Site. The leadership tone was cautiously optimistic, focusing on maintaining a stable regulatory environment and enhancing customer experiences through innovation and affordability initiatives.

Guidance
Eversource Energy reaffirms its fiscal year 2025 earnings guidance, projecting EPS between $4.67 and $4.82. The company anticipates a revenue of approximately $2.84 billion for Q2 2025 and a capital expenditure plan of $24.2 billion over the next five years, with $7 billion earmarked for transmission infrastructure. Eversource expects an 8% growth in its rate base over the next five years, aligning with its long-term EPS growth rate goal of 5% to 7% through 2029.

Additional News
Eversource Energy has been recognized on the JUST 100 list for the sixth consecutive year, ranking as the #1 utility and 7th overall in JUST Capital and CNBC's 2025 rankings of America's Most JUST Companies. This highlights their commitment to fair wages, worker well-being, and community strengthening. Additionally, Eversource Energy declared a quarterly dividend of $0.7525 per share, payable on March 31, 2025, to shareholders of record as of March 4, 2025. The company also received the VETS Indexes 3 Star Employer Award for 2025, acknowledging their excellence in veteran employment initiatives, supporting over 800 veterans from all U.S. military branches.