Eversource Energy

Solid Q2 performance; guidance reaffirmed - Q2 recurring (non-GAAP) EPS: $0.87, in line with expectations; long-term EPS growth target reaffirmed at 5%–7%. - GAAP EPS was lower ($0.14) due to major one-time items: (i) $111.4M after-tax Aquarion carrying value charge from closing the sale and (ii) $164M after-tax offshore wind contingent liability increase. - Challenge: recurring EPS down vs prior year ($0.96) mainly from lower Transmission earnings (FERC base ROE reduction) and Gas Distribution (prior-year benefit), partially offset by higher Electric Distribution revenues.

Strategic portfolio shift: Aquarion sale completed (good + financial flexibility) - Aquarion sale closed June 30, generating net proceeds of ~$1.7B, enabling debt displacement at the parent level. - Management positions Eversource as a “pure play” regulated pipes-and-wires utility focused on core electric & gas across New England. - Forecast/outlook: management said no change to financing plans from the sale; expects no equity issuance for the remainder of 2020. - Opportunity: strengthens balance sheet to fund infrastructure while maintaining flexibility.

Offshore wind / Revolution Wind: uncertainty reduced but not fully gone (surprising risk item) - Project near completion: management stated over 95% complete, “in the final 5-yard line,” with commercial operation expected later this year. - Additional contingent liability recorded in Q2: $164M after-tax due to cost increases tied to two stop-work orders, including vessel remobilization. - Expectation: company expects no further major uncertainty—installation components are said to be straightforward and they’re ramping power output (over 300 MW currently, moving toward 704 MW).