What are the key drivers behind the improved third-quarter financial performance?

Sempra's strong third-quarter results were driven by disciplined execution across its businesses and progress on its value creation initiatives. Specific factors include a significant increase in GAAP earnings, robust performance from Sempra Texas Utilities, and the ongoing benefits from capital recycling programs. The company also saw strong demand and infrastructure investment opportunities in Texas.

What is the status of the sale of an equity stake in Sempra Infrastructure Partners?

The sale of a 45% equity interest in Sempra Infrastructure Partners to affiliates of KKR is on track and expected to close in the next two weeks. This transaction is part of Sempra's strategy to simplify its business model, strengthen its financial position, and support growth in its Texas and California utilities.

How will the proposed regulatory decision in California affect Sempra?

A proposed decision from the California Public Utilities Commission denied Sempra California's request to correct the 2024 General Rate Case capital attrition mechanism. If this decision stands and is not mitigated, Sempra California expects its 2027 earnings to be at the low end of its segment guidance range. The company is pursuing other regulatory avenues to address this.

What is the outlook for capital expenditures, particularly in Texas?

Sempra's utilities are investing heavily in infrastructure modernization and expansion. Notably, Oncor in Texas is projecting an approximate 20% increase in its base capital plan for 2027-2031 compared to its previous plan. This increase is driven by strong economic growth and rising electric demand across the ERCOT market.

SRE/SREA 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed November 5, 2026. Cited figures are marked; the original filing is the authoritative source.

Sempra reported strong third-quarter and year-to-date results for 2026, demonstrating disciplined execution and progress on its value creation initiatives.

The company's GAAP earnings for the third quarter were $877 million^a ($1.34 per diluted share), a significant increase from $77 million ($0.12 per diluted share) in the prior year. On an adjusted basis, third-quarter earnings were $917 million ($1.40 per diluted share), up from $728 million ($1.11 per diluted share) in Q3 2025. The company is updating its full-year 2026 GAAP EPS guidance to a range of $7.41 to $8.41 and guiding towards the high end of its adjusted EPS guidance range of $4.80 to $5.30.

Key strategic moves include the expected completion of the sale of an equity stake in Sempra Infrastructure Partners, which is anticipated to strengthen the company's financial position and support growth in its Texas and California utilities. Sempra also announced an expected 20%^b increase to Oncor's base capital plan for 2027-2031, reflecting strong demand and investment opportunities in Texas. Despite a proposed regulatory decision in California that could impact 2027 earnings, Sempra remains focused on enhancing energy resilience and meeting increasing customer demand across its service territories.

02—Key points

Key Highlights

Sempra reported a substantial increase in Q3 2026 GAAP earnings to $877 million ($1.34/share) from $77 million ($0.12/share) in Q3 2025.
Adjusted earnings for Q3 2026 were $917 million ($1.40/share), up from $728 million ($1.11/share) in the prior year.
The company is updating its full-year 2026 GAAP EPS guidance to $7.41 - $8.41 and expects to be at the high end of its adjusted EPS guidance range of $4.80 - $5.30.
The sale of a 45% equity stake in Sempra Infrastructure Partners is on track for closing within two weeks, aimed at strengthening the financial position.
Oncor's base capital plan for 2027-2031 is projected to increase by approximately 20% due to continued load growth and infrastructure needs in Texas.
Sempra's California utilities are focused on safety, reliability, and affordability, navigating wildfire resilience and modernization efforts.
A proposed California Public Utilities Commission decision could impact Sempra California's 2027 earnings if not mitigated.

03—Questions

Frequently Asked Questions

What are the key drivers behind the improved third-quarter financial performance?
Sempra's strong third-quarter results were driven by disciplined execution across its businesses and progress on its value creation initiatives. Specific factors include a significant increase in GAAP earnings, robust performance from Sempra Texas Utilities, and the ongoing benefits from capital recycling programs. The company also saw strong demand and infrastructure investment opportunities in Texas.
What is the status of the sale of an equity stake in Sempra Infrastructure Partners?
The sale of a 45% equity interest in Sempra Infrastructure Partners to affiliates of KKR is on track and expected to close in the next two weeks. This transaction is part of Sempra's strategy to simplify its business model, strengthen its financial position, and support growth in its Texas and California utilities.
How will the proposed regulatory decision in California affect Sempra?
A proposed decision from the California Public Utilities Commission denied Sempra California's request to correct the 2024 General Rate Case capital attrition mechanism. If this decision stands and is not mitigated, Sempra California expects its 2027 earnings to be at the low end of its segment guidance range. The company is pursuing other regulatory avenues to address this.
What is the outlook for capital expenditures, particularly in Texas?
Sempra's utilities are investing heavily in infrastructure modernization and expansion. Notably, Oncor in Texas is projecting an approximate 20% increase in its base capital plan for 2027-2031 compared to its previous plan. This increase is driven by strong economic growth and rising electric demand across the ERCOT market.

04—Continue

← View all 8-K filings