EVERSOURCE ENERGY 8-K

What Happened
Eversource Energy (NYSE: ES) filed an 8-K (Mar 31, 2026) disclosing it will challenge a March 19, 2026 FERC order that set New England transmission owners’ base ROE at 9.57% and a maximum ROE with incentives at 12.09%. The company says the order used outdated data, could require retroactive refunds, and would materially harm transmission investment; Eversource is pursuing legal and regulatory responses including a motion for stay, rehearing, and possible Section 205 rate filings (a formal request to change rates under the Federal Power Act).

Key Details

• FERC order date: March 19, 2026; base ROE set at 9.57%, max ROE with incentives 12.09%.
• Eversource estimates the ROE change will lower its 2026 after‑tax earnings by about $70 million in the aggregate.
• Revised 2026 non‑GAAP EPS guidance: $4.57 to $4.72 per share (mid‑point $4.65). Guidance assumes a $15 million negative impact if the Aquarion sale closes this year (about 70% of Aquarion earnings occur in H2).
• If refunds are upheld, any required refunds would be coordinated regionally and issued over an 18–24 month period (per the FERC order description).

Why It Matters
This 8‑K affects investors because the lower ROE and potential retroactive refunds could reduce Eversource’s earnings and raise its cost of capital, which may slow or increase the cost of transmission upgrades needed for reliability and clean‑energy integration. The company’s immediate actions (legal challenge, stay motion, possible Section 205 filing) signal active steps to limit financial impact. Investors should watch for outcomes of the legal filings, any final refund determinations, and updated financial guidance tied to the resolution of the FERC order and the Aquarion sale.