-- Eversource Energy (ES) earnings climbed across all primary business units in Q1, led by a 35% surge in its natural gas segment, the company said on Wednesday.
The company said that the results were primarily driven by aggressive infrastructure investment and the implementation of significant base rate increases.
The Natural Gas Distribution segment saw the most dramatic growth, with earnings jumping to $295.3 million in the first quarter of 2026, up from $218.4 million in the same period last year.
This 35% increase was attributed to new base distribution rates that went into effect on November 1, 2025, across all of Eversource's gas businesses.
These rate hikes were designed to recover the costs of ongoing investments in the company's natural gas infrastructure, though gains were slightly tempered by higher operations and maintenance costs and rising interest expenses.
The Electric Transmission segment also showed steady improvement, earning $224.3 million, compared with $199.4 million in Q1 2025.
Similarly, the Electric Distribution segment reported earnings of $202.8 million, up from $188.4 million a year ago.
Management credited this rise to base distribution rate increases at its Massachusetts and New Hampshire utilities, which helped offset higher property taxes and depreciation.
Despite the strong revenue performance, Eversource noted that higher interest expenses impacted all three business units, reflecting the broader high-interest-rate environment affecting the utility sector.