01—Abstract
Summary
Summary of the 8-K filed October 22, 2026. Cited figures are marked; the original filing is the authoritative source.
PG&E Corporation and Pacific Gas and Electric Company furnished an 8-K on October 22, 2026, reporting third-quarter 2026 results and attaching a press release (Exhibit 99.1) and an earnings slide presentation (Exhibit 99.2).
GAAP income available for common shareholders was $749 milliona, or $0.34 per diluted share, for the third quarter of 2026, compared with $823 million, or $0.37 per share, a year earlier. Non-GAAP core earnings were $928 million, or $0.41 per diluted share, versus $1,142 million, or $0.50 per share, in the third quarter of 2025. For the first nine months of 2026, GAAP EPS was $1.06 and non-GAAP core EPS was $1.24, compared with $0.89 and $1.14 a year earlier.
The company reaffirmed its 2026 non-GAAP core EPS guidance of $1.64 to $1.66b per share and its 2027 guidance of $1.78 to $1.82 per share. It stated it is on track to meet a 2% to 4% non-fuel O&M cost reduction target and is implementing a previously announced $2 billion reduction to its 2027 capital plan. The company said its strategic review is advancing with the goal of becoming a financially strong, investment-grade company, and its CEO noted that California still needs a durable wildfire liability framework.
The filing attributes the year-over-year decline in GAAP earnings mainly to lower CPUC return on equity in effect during 2026, one-time catch-up impacts of a 2025 tax methodology change, and higher Wildfire Fund expense, partly offset by higher customer capital investment and net O&M savings. Non-core items totaled $156 millionc after tax, or $0.07 per share, in the third quarter of 2026.
02—Key points
Key Highlights
- Q3 2026 GAAP EPS was $0.34 per diluted share on income available for common shareholders of $749 million, down from $0.37 ($823 million) in Q3 2025.
- Q3 2026 non-GAAP core EPS was $0.41 per diluted share ($928 million), down from $0.50 ($1,142 million) a year earlier; nine-month non-GAAP core EPS was $1.24 versus $1.14.
- 2026 non-GAAP core EPS guidance of $1.64 to $1.66 and 2027 guidance of $1.78 to $1.82 were both reaffirmed.
- The company is on track to meet a 2% to 4% non-fuel O&M cost reduction target and is implementing a previously announced $2 billion reduction to its 2027 capital plan.
- Non-core items totaled $156 million after tax ($0.07 per share) in Q3 2026, compared with $295 million ($0.13 per share) in Q3 2025.
- The strategic review is ongoing with the stated goal of becoming a financially strong, investment-grade company.
- Q3 2026 total operating revenues were $6,188 million, compared with $6,250 million in Q3 2025, and Wildfire Fund expense rose to $141 million from $86 million.
03—Questions
Frequently Asked Questions
Why did GAAP earnings decline in the third quarter of 2026?
The filing attributes the decrease primarily to lower CPUC return on equity in effect during 2026 compared with 2025, one-time catch-up impacts of the tax methodology change implemented in 2025, and increased Wildfire Fund expense. These were partly offset by increased customer capital investment from earnings on higher rate base and net O&M savings.
Did the company change its earnings guidance?
No. PG&E Corporation reaffirmed its full-year 2026 non-GAAP core EPS guidance of $1.64 to $1.66 per share and its 2027 guidance of $1.78 to $1.82 per share.
What is the difference between GAAP and non-GAAP core earnings?
Non-GAAP core earnings exclude items management does not consider representative of ongoing earnings, such as amortization of the Wildfire Fund contribution, bankruptcy and legal costs, investigation remedies, and strategic repositioning costs. In Q3 2026, these non-core items totaled $156 million after tax, or $0.07 per share. The company notes that non-GAAP measures are not substitutes for GAAP measures and may not be comparable to similarly titled measures used by other companies.
What cost and capital actions is the company taking?
The company says it is on track to meet a 2% to 4% non-fuel operating and maintenance cost reduction target and is implementing a previously announced $2 billion reduction to its 2027 capital plan. It also noted that a 5,000-mile undergrounding plan was filed with California regulators in the quarter.
What is the status of the strategic review?
The filing states the strategic review is advancing with the goal of becoming a financially strong, investment-grade company. The presentation notes that the company withdrew its capital expenditure, rate base, and earnings growth guidance beyond 2027 on September 2, 2026, in connection with the announcement of the review. The filing does not state a conclusion or timing for the review.
04—Continue