Company: CNLHP
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050033
Chunk: 143

Company: CONNECTICUT LIGHT & POWER CO
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 8
Chunk 143
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 in the nine month period was also unfavorably impacted by higher operations and maintenance expense.

Our water distribution segment earnings decreased $4.8 million and $0.3 million in the third quarter and the first nine months of 2025, respectively, as compared to the third quarter and the first nine months of 2024.  The earnings decrease in the three month period was due primarily to higher operations and maintenance expense and higher depreciation expense. 

Eversource Parent and Other Companies:  Eversource parent and other companies’ losses decreased by $448.3 million and $380.1 million in the third quarter and the first nine months of 2025, respectively, as compared to the third quarter and the first nine months of 2024, due primarily to an after-tax charge of $524.0 million recorded in the third quarter of 2024 resulting from the sale of Eversource parent’s offshore wind investments, as compared to an aggregate net after-tax charge of $75.0 million recorded in the third quarter of 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 these charges, Eversource parent and other companies earnings decreased by $0.7 million and losses increased by $68.9 million in the third quarter and the first nine months of 2025, respectively, due primarily to higher interest expense due to the absence in 2025 of capitalized interest as a result of the sale of our offshore wind projects in the third quarter of 2024 and higher interest costs from short-term debt, partially offset by a lower effective rate resulting from the recognition of state tax benefits and certain tax credits as a result of the 2024 tax return to provision process in the third quarter of 2025.  

Offshore Wind Contingent Liability:  Eversource recorded a contingent liability relating to expected future payments to GIP as part of the September 30, 2024 sale of the South Fork Wind and Revolution Wind projects.  As part of the definitive agreement with GIP, Eversource is responsible for certain post-closing purchase price adjustments.  This obligation included an expected cost overrun sharing obligation, an expected obligation to maintain GIP’s internal rate of return, and an obligation for other future costs.

In the third quarter of 2025, Eversource received an updated report from GIP on the construction status of Revolution Wind, which included revised projections of total construction