Eversource Energy (ES)

Financial leverage ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	55,612,200	56,293,300	54,539,700	54,105,200	53,230,900	51,599,400	49,916,200	49,289,200	48,492,100	48,014,100	47,234,600	46,518,200	46,099,600	43,507,300	42,038,700	41,649,000	41,123,900	39,725,400	38,995,900	38,941,000
Total stockholders’ equity	US$ in thousands	14,173,900	15,685,900	15,554,100	15,749,400	15,473,200	15,279,200	15,057,200	14,836,700	14,599,800	14,411,600	14,311,900	14,233,400	14,063,600	13,980,000	13,805,300	13,210,000	12,630,000	12,121,600	11,954,600	11,637,400
Financial leverage ratio		3.92	3.59	3.51	3.44	3.44	3.38	3.32	3.32	3.32	3.33	3.30	3.27	3.28	3.11	3.05	3.15	3.26	3.28	3.26	3.35

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $55,612,200K ÷ $14,173,900K
= 3.92

The financial leverage ratio for Eversource Energy has been gradually increasing over the past eight quarters, indicating a growing level of financial leverage or debt relative to equity. This trend suggests that the company has been relying more on debt to finance its operations and investments.

The ratio ranged from 3.32 to 3.92 during the period, with the highest level recorded in Q4 2023. A financial leverage ratio of 3.92 means that for every dollar of equity, the company has $3.92 of debt. This indicates that Eversource Energy has a relatively high level of debt compared to its equity, which can increase financial risk and impact the company's ability to meet its debt obligations.

Investors and stakeholders should closely monitor Eversource Energy's financial leverage ratio to assess the company's financial health and risk profile. A higher ratio may indicate a higher risk of default, particularly in challenging economic conditions. Eversource Energy may need to carefully manage its debt levels and financial structure to maintain financial stability and sustainability in the long term.