Eversource Energy (D/B/A)

Good day, and thank you for standing by. Welcome to the Eversource Energy Q4 and year-end 2024 earnings call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there'll be a question and answer session. To ask a question during the session, you'll need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To answer a question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to turn the conference over to your speaker for today, Rima Heider, Vice President of Investor Relations. Please go ahead.

Good morning, and thank you for joining us today on the fourth quarter and year-end 2024 earnings call for Eversource Energy. During this call, we'll be referencing slides that we posted this morning on our websites. As you can see on slide one, some of the statements made during this investor call may be forward-looking. These statements are based on management's current expectations and are subject to risk and uncertainty, which may cause the actual results to differ materially from forecasts and projections. We undertake no obligation to update or revise any of these statements. Additional information about the various factors that may cause actual results to differ and our explanation of non-GAAP measures and how they reconcile the gap results as contained within our news release, and the slides we posted this morning and in our most recent 10Q and 10K. Speaking today will be Joe Nolan, our Chairman, President, and Chief Executive Officer, and John Marrera, our Executive Vice President and Chief Financial Officer and Treasurer. Also joining us today is Jay Booth, our Vice President and Controller. I will now turn the call over to Joe.

Thank you, Rima, and good morning, everyone. Thank you for joining us today for our year-end earnings call. It is my great pleasure to report on another year of success and growth at Eversource. Our fiscal year 2024 closed with strong results in three main areas of focus. First, providing top-tier electric, gas, and water service to our valued customers. Second, delivering steady and stable financial results with earnings per share up 5.3% year over year, exceeding the midpoint of our revised guidance. And third, strengthening our balance sheet, all reflecting our commitment and dedication to delivering exceptional value to our customers and shareholders. Starting with slide four, let me take you through some of our 2024 accomplishments. Throughout the year, we've faced numerous challenges, but our unwavering focus on customers remains at the forefront of everything we do. Customer trust and satisfaction are paramount to us, and we've implemented several initiatives to enhance their experience and ensure we meet their needs. From hardening infrastructure to withstand severe weather conditions to introducing innovative customer service solutions, we've made significant progress in strengthening our relationship with our customers and key stakeholders. Strengthening our balance sheet was a top priority for us in 2024 and will remain a key focus area for us in 2025. We made progress toward improving our FFO to debt ratio through constructive rate outcomes, successfully issuing one billion of equity through our atm program exiting the offshore wind business and as you recently saw entering into an agreement to sell aquarium water at an attractive multiple of 1.7 times rate base we were thrilled to announce the seal of this truly exceptional business its unique value and strategic importance made it a key asset in our portfolio Under Eversource's ownership, we built on Aquarian's long-standing track record of superior customer service, reliability, and operational success, adding nearly 30,000 customers across six acquisitions. But this isn't just any transaction. It's a milestone that marks an exciting new chapter in our growth journey. We are pleased that the Aquarian organization will find a good home with the Aquarian Water Authority, a newly created authority alongside the RWA. Proceeds from the seal will be used to reduce debt, allowing us to reinvest capital into our regulated utilities, enhancing reliability for customers while further strengthening our company's financial position. This seal also reinforces our commitment to our core electric and natural gas operations. Another one of our proud accomplishments for the sixth year in a row was that Newsweek recognized Eversource as one of America's most responsible companies. This recognition highlights our excellence in environmental, social, and corporate governance areas. Also, Time named Eversource to its annual list of the world's best companies We were distinguished, particularly for our commitments to reduce greenhouse gas emissions, consideration of workforce diversity, and transparent disclosure through the Global Reporting Initiative standards. As shown on slide five, a few of our accomplishments in 2024 targeted at advancing energy diversification are all in Massachusetts. These include implementing AMI, and receiving approval for Electric Sector Modernization Plan, or ESMP, and constructing a geothermal pilot. We also completed the acquisition of the Mystic Site in Everett, Massachusetts. With its strategic location, flexibility, and existing infrastructure, this facility stands out as one of the most promising multi-use interconnection points for large-scale energy resources in New England, representing a unique opportunity to support the region's energy goals, spur economic development, and create jobs. Purchasing this site will allow us to transform it into a premier energy interconnection hub that enhances reliability and energy supply diversity for the entire New England region. Another great example of our successful collaboration in Massachusetts is the Greater Cambridge Energy Project that recently broke ground in Kendall Square, marking the start of an innovative $1.8 billion energy initiative. This project, which is mostly a transmission investment led by Eversource, includes the construction of the first fully underground electrical substation in the United States. This $35,000 square foot substation will be located over 100 feet underground beneath a newly designed public park. The project is a collaboration between Eversource, Boston Properties, the Cambridge Redevelopment Authority, and the City of Cambridge. It's an exciting development for the community and a significant step towards a more sustainable and resilient energy future. In southeastern Connecticut, working together with the six New England states, we were pleased to qualify for federal funding for a clean energy hub. The Huntsbrook offshore wind hub will support New England's clean energy transition while improving grid reliability across the region. With all this innovation and investment to meet state energy goals, customer affordability is always top of mind for us. We are working alongside policymakers to develop and implement strategies to mitigate customer electricals. By leveraging advancements in technology, enhancing energy efficiency programs, and advocating for fair regulations, these partnerships aim to reduce the financial burden on consumers while ensuring a reliable and diverse energy supply. And by enabling more supply to come into New England, our customers will benefit from lower rates over time. Turning to our financial performance on slide six, we have continued to grow our earnings in dividend over the last three years on an average of 6%. We ended 2024 with over 5% growth, and we have recently increased our first quarter 2025 dividend by 5.2% on an annualized basis. John will discuss in greater detail our new five-year capital investment plan in a few minutes. This new plan increases our investment over the next five years by nearly 10%, with the majority of that increase aimed at transmission investments to address aging infrastructure needs. We have tremendous growth opportunities ahead of us, both in replacing this aging infrastructure to make our system more resilient, as well as building new substations and other infrastructure needs under the ESMP to address increasing load demand. Moving to our operational results on slide seven, we've not only achieved our financial goals, but also have made good strides in reliability to enhance our operational performance for customers. Our electric reliability metrics, once again, achieved top decile performance among industry peers. More importantly, our safety metrics for the year exceeded not only the industry average, but also improved over the last years by 6%. These results reflect the Eversource brand to provide reliable and extraordinary service to our customers. For example, in Connecticut, 12 years ago, the average time between interruptions was 12 months. Now it's nearly two years. This success is a testament to the investments Eversource has made in the past, along with the hard work and dedication of our entire team. And I couldn't be prouder of what we've accomplished together. Investing in our infrastructure to improve reliability has been a decade-long process and has paid huge dividends for our customers. When there is a degradation in our investment levels, we know that reliability will likely be adversely impacted. With a stable regulatory environment, we can maintain and even increase infrastructure investments. Turning to slide eight, as we look ahead to 2025, we remain committed to maintaining our momentum and continuing to prioritize our strong focus on customers in every decision we make. Additionally, we are also laser focused on enhancing our ability to finance utility operations by achieving earnings growth during this period. John will cover our 2025 guidance, and he will discuss how we build upon this year to gain momentum in raising our earnings growth rate within the 5% to 7% range over the long term. We will continue to engage with our regulators across our footprint to drive regulatory relationships that are mutually productive for customers, policymakers, and our investors, which starts with the ability to achieve top performance in reasonable rates for our customers. In particular, we've undertaken extensive efforts to improve our regulatory paradigm in Connecticut, seeking to identify areas for education, collaboration, and consensus, while seeking transparency in the regulatory environment. In conclusion, let me reaffirm our commitment to driving consistent growth in earnings and dividends, investing in sustainable energy future, maintaining a solid financial position, and continuing our strong customer focus. Our continued effort to expand our diverse energy initiatives has positioned us as a leader in the energy transition landscape. Through strategic planning and key reliability investments, such as the ESMP and the innovative projects such as the geothermal pilot and the underground substation in Cambridge, we are delivering long-term value to our stakeholders and contributing to our stronger and more resilient tomorrow for our customers. I want to extend my sincere thanks to our dedicated team of over 10,000 employees and our union partners for their unwavering support. By fostering a culture of excellence and innovation, we will ensure that we remain a trusted and reliable partner for the 4 million-plus customers we serve. Together, we are powering a sustainable and more prosperous future. I will now turn the call over to John to discuss our full-year financial results, financial guidance, and capital investment plan. and also provide an update on regulatory matters. Thank you.