Sempra (SRE) Q3 2024 earnings summary

Executive summary

• Q3 2024 adjusted EPS was $0.89 and GAAP EPS was $1.00, with year-to-date adjusted EPS of $3.12 and GAAP EPS of $3.38; both declined year-over-year.

• Full-year 2024 and 2025 adjusted EPS guidance reaffirmed at $4.60–$4.90 and $4.90–$5.25, with a projected long-term EPS growth rate of 6%-8%.

• Major growth drivers include robust capital investment opportunities in Texas and California, especially in high-voltage transmission and LNG infrastructure.

• Pending California GRC decision will retroactively impact 2024 earnings once finalized.

• Disciplined growth strategy focuses on modern energy networks, safety, reliability, and clean energy transition.

Financial highlights

• Q3 2024 GAAP earnings were $638M ($1.00/share), down from $721M ($1.14/share) in Q3 2023; adjusted earnings were $566M ($0.89/share), down from $685M ($1.08/share).

• Nine-month 2024 GAAP earnings were $2.152B ($3.38/share), adjusted earnings $1.987B ($3.12/share), both down year-over-year.

• Q3 2024 revenues were $4.798B, down from $7.560B in Q3 2023; YTD revenues were $9.427B, down from $13.229B.

• Operating cash flow for the first nine months was $3.54B, down from $5.13B in 2023.

• Capital expenditures and investments YTD totaled $6.35B, flat year-over-year.

Outlook and guidance

• Full-year 2024 and 2025 adjusted EPS guidance and long-term EPS growth rate are reaffirmed; 2024 GAAP EPS guidance updated to $4.86–$5.16.

• Management is confident in delivering or exceeding the 6%-8% EPS CAGR, citing a strong backlog of growth opportunities.

• $3B at-the-market equity program established to fund capital expenditures and maintain balance sheet strength.

• Oncor's five-year capital plan expected to increase 40%-50% due to strong load growth and new investment opportunities.

• Updated five-year capital plan and 2026 guidance to be provided in February.