Sempra Q3 FY2021 Earnings Call

· Earnings call transcript and AI-powered summary

Quarter Overview

  • Q3 2021 GAAP loss: $648 million (–$2.03 per share), down from Q3 2020 GAAP earnings of $351 million ($1.21 per share).
  • Q3 2021 adjusted earnings: $545 million ($1.70 per share), up from $432 million ($1.49 per share) in Q3 2020.
  • Management expects full-year 2021 adjusted EPS at the upper end of guidance and reaffirms 2022 guidance.
  • Strong operating performance across utilities and infrastructure segments drove results.

Key Financial Drivers (compared to Q3 2020)

  • + $35 million: increased earnings from Sempra Mexico due to higher ownership of IEnova.
  • + $35 million: higher CPUC base margin at SDG&E and SoCalGas.
  • + $29 million: reduced losses at Parent & Other (lower preferred dividends).
  • + $29 million: no repeat of prior-year energy efficiency refund at SDG&E.

Operational and Strategic Updates

California Utilities

  • SDG&E filed off-cycle cost of capital application for 2022 seeking:
    • Equity ratio increase from 52% to 54%.
    • ROE increase from 10.2% to 10.55%.
    • Cost of debt decline from 4.59% to 3.84%.
    Decision expected in 1H 2022.

Continue Reading

Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.

Upgrade to Professional
Operator: Please standby, we're about to begin. Good day and welcome to the Sempra Third Quarter Earnings Conference Call. Today's call is being recorded. At this time, I would like to turn the call over to Ms. Nelly Molina, please go ahead. Nelly Molina: Good morning, everyone. And welcome to our Third Quarter 2021 Earnings call for Sempra. A live webcast of this teleconference and a slide presentation is available on our website under the Investors Section. We have several members of our management team with us today, including Jeff Martin, Chairman and Chief Executive Officer, Trevor Mihalik, Executive Vice President and Chief Financial Officer, Justin Bird, Chief Executive Officer of Sempra Infrastructure, Faisel Khan Chief Financial Officer of Sempra Infrastructure. Allen Nye, Chief Executive Officer of Oncor, Kevin Sagara, Group President, and Peter Wall, Senior Vice President, Controller and Chief Accounting Officer. Before starting, I would like to remind everyone that we'll be discussing forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected in any forward-looking statements we make today. The factors that could cause our actual results to differ materially are these calls in the Company's most recent 10-K and 10-Q file with the SEC. All of the earnings-per-share amounts in our presentation are shown on a diluted basis and we'll be discussing certain non-GAAP f

Continue Reading

Unlock the full earnings call transcript with speaker labels and formatted dialogue.

Upgrade to Professional