PG&E (PCG) Q2 2024 earnings summary

Executive summary

• Q2 2024 non-GAAP core EPS was $0.31, up from $0.23 year-over-year; first half non-GAAP core EPS reached $0.69, up from $0.52.

• 2024 non-GAAP core EPS guidance reaffirmed at $1.33–$1.37, at least 10% above 2023; long-term EPS growth of at least 9% annually targeted for 2025–2028.

• No new equity planned for 2024; five-year financing plan and capital allocation strategy remain unchanged.

• Regulatory support is strong, with CPUC approving $2.3B in incremental CapEx and an ROE increase to 10.7%.

• Operational progress includes system reliability improvements, wildfire mitigation, and clean energy initiatives.

Financial highlights

• Q2 2024 operating revenues were $5.99B, up 13% year-over-year; net income available for common shareholders was $520M, up from $406M.

• Q2 2024 non-GAAP core earnings were $674M, up from $494M year-over-year.

• Operating income for Q2 2024 was $1.13B, more than double Q2 2023.

• O&M savings contributed to EPS growth, with $35M in Q2 and $52M year-to-date.

• $62B in customer capital investment planned over five years, focused on distribution and transmission.

Outlook and guidance

• 2024 non-GAAP core EPS guidance reaffirmed at $1.33–$1.37; GAAP EPS guidance updated to $1.11–$1.17.

• At least 9% annual EPS growth targeted for 2025–2028.

• No new equity issuances anticipated in 2024; five-year $62B capital plan supports growth.

• Guidance incorporates assumptions on revenues, expenses, capex, rate base, and regulatory factors.

• Dividend growth and parent debt paydown prioritized, with flexibility in the financing plan.