PG&E (PCG) Q3 2026 earnings summary

Executive summary

• Q3 Core EPS was $0.41 and 9M Core EPS was $1.24; 2026 and 2027 Core EPS guidance was reaffirmed at $1.64–$1.66 and $1.78–$1.82.

• Strategic review is evaluating regulatory, financial, operational and structural alternatives to unlock value and achieve investment-grade strength; a direction is expected by summer 2027.

• Safety and reliability advanced, including a fourth year without a major equipment-associated wildfire and a 74% decline in weather-normalized ignitions since 2017.

• 2027 capital guidance was reduced by $2B to $11.4B amid high financing costs; safety, compliance and wildfire mitigation remain priorities.

Financial highlights

• Q3 operating revenue was $6.188B vs. $6.250B YoY; 9M revenue was $18.971B vs. $18.131B. Q3 operating income was $1.249B vs. $1.209B; 9M was $3.982B vs. $3.525B.

• Q3 net income was $776M vs. $850M YoY and income available to common shareholders was $749M vs. $823M; 9M net income was $2.422B vs. $2.033B.

• Core EPS was $0.41 in Q3 vs. $0.50 YoY and $1.24 for 9M vs. $1.14; Q3 GAAP diluted EPS was $0.34 vs. $0.37.

• Customer capital investment added $0.12 to 9M earnings and O&M savings added $0.04; timing and other items reduced earnings by $0.04, mainly from a prior-year tax-method change catch-up.

• 9M operating cash flow was $6.26B, down 11%; investing cash use was $9.30B and financing cash inflow was $3.17B.

Outlook and guidance

• 2026 Core EPS guidance remains $1.64–$1.66, up 10% at the midpoint YoY; 2027 guidance remains $1.78–$1.82, up 9% at the midpoint.

• Weighted-average rate base forecasts are $75B for 2026 and $81B for 2027; 2027 rate base guidance is unchanged.

• 2026 capital expenditure forecast is $12.4B; 2027 capital guidance is $11.4B, down from $13.4B, and 2028–2030 capital, rate base and earnings growth forecasts were withdrawn pending the strategic review.

• Dividend growth is expected to follow the prior trajectory toward a ~20% Core EPS payout ratio by 2028; annual declarations remain subject to Board discretion.

• The non-fuel O&M plan targets annual reductions of 2%–4%; execution remains on pace to meet savings guidance.