01—Abstract
Summary
Summary of the 10-K filed February 12, 2026. Cited figures are marked; the original filing is the authoritative source.
PG&E Corporation (PCG) and its utility subsidiary Pacific Gas and Electric Company filed a combined 2025 Form 10-K on February 12, 2026.
PG&E Corporation reported consolidated net income of $2,703 milliona for 2025 ($2,593 million available to common shareholders, $1.18 basic and diluted EPS), compared with $2,512 million in 2024. The Utility's operating revenues were $24.9 billion, and total capital expenditures recorded in 2025 were $13.4 billion, with the Utility forecasting $12.4 billion for 2026 and $16.0 billion for 2030. Key ongoing exposures remain wildfire-related: the company recorded liabilities of $1.325 billion for the 2019 Kincade fire, $2.15 billion for the 2021 Dixie fire and $350 million for the 2022 Mosquito fire, and it recorded $300 million for wildfire-related securities claims, with a proposed $100 million settlement of the consolidated securities actions pending District Court approval.
Regulatory developments were mixed. The CPUC approved a 9.98% ROE effective January 1, 2026, the OEIS approved the 2026–2028 Wildfire Mitigation Plan in February 2026, and the CPUC issued a final decision in the 2023 WMCE proceeding approving $1.9 billionb of cost recovery. The Utility's 2027 GRC requests a revenue requirement of $16.64 billion for 2027, with a decision expected by May 2027.
SB 254 created a Continuation Account providing up to $18 billionc of wildfire liquidity and a 20% disallowance cap on reimbursements. The company does not expect to issue equity through 2030, and its dividend policy targets a payout of approximately 20% of core earnings by 2028.
Liquidity totaled about $4.5 billiond at December 31, 2025, including $3.8 billion of revolver availability. Long-term debt was $57.4 billion at PG&E Corporation on a consolidated basis, and the Utility's credit rating remains below investment grade with one major agency, which requires collateral postings with energy counterparties.
02—Key points
Key Highlights
- Consolidated net income of $2,703 million in 2025 versus $2,512 million in 2024; income available to common shareholders of $2,593 million, or $1.18 diluted EPS (2024: $1.15).
- Total capital expenditures recorded in 2025 of $13.4 billion; the Utility forecasts $12.4 billion in 2026, $13.4 billion in 2027, $15.4 billion in 2028, $16.3 billion in 2029 and $16.0 billion in 2030.
- Wildfire liabilities accrued as of December 31, 2025: $1.325 billion (2019 Kincade fire), $2.15 billion (2021 Dixie fire) and $350 million (2022 Mosquito fire), with recorded insurance and Wildfire Fund recoveries shown separately.
- CPUC final decision in the 2026 Cost of Capital proceeding set the Utility's ROE at 9.98% effective January 1, 2026; the 2027 GRC requests a $16.64 billion revenue requirement for 2027.
- Pending items include a $100 million proposed settlement of the consolidated wildfire securities class actions (preliminary approval hearing February 26, 2026) and a November 2025 application seeking recovery of about $1.59 billion of WEMA costs for the Kincade and Dixie fires.
- Total indebtedness of about $5.7 billion at PG&E Corporation and about $55.3 billion at the Utility as of December 31, 2025; about $4.5 billion of total liquidity at year-end.
- Dividend policy targets consistent increases and a payout of approximately 20% of core earnings by 2028; PG&E Corporation does not expect to undertake any equity issuances through 2030.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 12, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $24.93B$24.42B | +2.1% |
| Operating Income | $4.75B$4.46B | +6.5% |
| Net Income | $2.70B$2.51B | +7.6% |
| EPS (Basic) | $1.18$1.16 | +1.7% |
| EPS (Diluted) | $1.18$1.15 | +2.6% |
| Shares Outstanding (Basic) | 2.20B2.14B | +2.6% |
| Shares Outstanding (Diluted) | 2.20B2.15B | +2.6% |
05—Questions
Frequently Asked Questions
How did PG&E's earnings change in 2025?
Consolidated net income rose to $2,703 million in 2025 from $2,512 million in 2024. Income available to common shareholders was $2,593 million, or $1.18 per diluted share, compared with $2,475 million, or $1.15 per diluted share, in 2024. The Utility's net income was $3,079 million versus $2,712 million. The filing attributes much of the Utility's increase to revenues for extended DCPP operations and interim rate relief, partly offset by lower WMCE and WGSC recognition in 2025.
What is the scale of wildfire exposure disclosed in the filing?
The company has recorded probable losses of $1.325 billion for the 2019 Kincade fire, $2.15 billion for the 2021 Dixie fire and $350 million for the 2022 Mosquito fire, before available insurance and recoveries. Accrued losses exceed available liability insurance for Kincade ($430 million) and Dixie ($521 million). The filing states these estimates do not include all categories of potential damages, and that the Utility could face further claims from future wildfires.
What are the main regulatory events that could affect future results?
The CPUC's 2027 GRC decision is expected by May 2027 and covers a requested revenue requirement of $16.64 billion for 2027. The 2023 WGSC application, 2024 WMCE application and the Kincade and Dixie AB 1054 cost review remain pending. The OEIS approved the 2026–2028 WMP in February 2026, and the CPUC's SB 254 implementation affects Continuation Account funding and fire-risk mitigation capital, of which $2.85 billion will be excluded from equity rate base.
How strong is the company's liquidity and debt position?
At December 31, 2025, PG&E Corporation and the Utility had about $4.5 billion of liquidity, including $3.8 billion of revolving credit availability. Total debt was about $5.7 billion at PG&E Corporation and about $55.3 billion at the Utility. The filing states both entities were in compliance with financial covenants. The Utility's unsecured credit rating remains below investment grade with one major agency, which can require collateral posting by the Utility.
Will PG&E issue new equity or pay higher dividends?
The filing states PG&E Corporation does not expect to undertake any equity issuances through 2030. Its dividend policy calls for consistent increases targeting a payout of approximately 20% of core earnings by 2028. Common dividends declared for 2025 totaled $277 million, and the Board retains discretion over future declarations.
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