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Sempra Q3 Earnings Miss Estimates, Revenues Decline Y/Y
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Sempra Energy (SRE - Free Report) reported third-quarter 2024 adjusted earnings per share (EPS) of 89 cents, which missed the Zacks Consensus Estimate of $1.06 by 16%. The figure also declined 17.6% from $1.08 per share reported in the prior-year quarter.
Including one-time items, the company generated GAAP earnings of $1.00 per share compared with $1.14 in the third quarter of 2023.
See the Zacks Earnings Calendar to stay ahead of market-making news.
Total Revenues
Sempra’s total revenues of $2.78 billion declined 16.7% from $3.33 billion in the year-ago quarter. This was due to lower revenue contributions from the Natural gas, Electric and Energy-related business units.
The top line also missed the Zacks Consensus Estimate of $3.83 billion by 27.5%.
Sempra California: Quarterly earnings amounted to $247 million compared with the year-ago quarter’s level of $290 million.
Sempra Texas Utility: Earnings in this segment declined from $305 million in the year-ago quarter to $261 million.
Sempra Infrastructure: The segment recorded earnings of $230 million compared with $223 million in the year-ago quarter.
Parent and Other: The segment reported a loss of $100 million, wider than the prior-year period’s loss of $97 million.
Financial Update
As of Sept. 30, 2024, Sempra’s cash and cash equivalents totaled $560 million compared with $236 million as of Dec. 31, 2023.
Long-term debt and finance leases amounted to $30.96 billion as of Sept. 30, 2024, compared with $27.76 billion as of Dec. 31, 2023.
Cash flow from operating activities decreased from $5.13 billion in the first nine months of 2023 to $3.54 billion in the first nine months of 2024.
Guidance
Sempra reiterated its 2024 earnings projection in the range of $4.60-$4.90 per share. The Zacks Consensus Estimate is pegged at $4.77 per share, higher than the midpoint of the company’s guided range.
SRE still expects 2025 earnings to be in range of $4.90-$5.25 per share. The consensus estimate is pegged at $5.13 per share, higher than the midpoint of the company’s guided range.
It continues to expect a long-term EPS growth rate of 6-8%.
Edison International (EIX - Free Report) reported third-quarter adjusted earnings of $1.51 per share, which surpassed the Zacks Consensus Estimate of $1.39 by 8.6%. The bottom line also increased 9.4% from $1.38 in the year-ago quarter.
EIX's operating revenues totaled $5.20 billion, which beat the consensus estimate of $4.76 billion by 9.4%. The top line also increased 10.6% from the year-ago figure of $4.70 billion.
FirstEnergy (FE - Free Report) reported third-quarter 2024 operating earnings of 85 cents per share, which lagged the Zacks Consensus Estimate of 95 cents by 6.6%. The bottom line decreased 3.4% from the year-ago figure of 88 cents.
FE’s operating revenues totaled $3.73 billion, which missed the consensus estimate of $3.98 billion by 6.4%. The top line, however, increased 6.9% from $3.48 billion reported in the year-ago quarter.
CenterPoint Energy, Inc. (CNP - Free Report) posted third-quarter adjusted earnings of 31 cents per share, which missed the Zacks Consensus Estimate of 36 cents by 13.9%. The bottom line also deteriorated 22.5% from the year-ago figure.
CNP’s revenues totaled $1.86 billion, which missed the consensus estimate of $1.88 billion by 1.2%. The top line also decreased 0.2% from the year-ago figure.
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Sempra Q3 Earnings Miss Estimates, Revenues Decline Y/Y
Sempra Energy (SRE - Free Report) reported third-quarter 2024 adjusted earnings per share (EPS) of 89 cents, which missed the Zacks Consensus Estimate of $1.06 by 16%. The figure also declined 17.6% from $1.08 per share reported in the prior-year quarter.
Including one-time items, the company generated GAAP earnings of $1.00 per share compared with $1.14 in the third quarter of 2023.
See the Zacks Earnings Calendar to stay ahead of market-making news.
Total Revenues
Sempra’s total revenues of $2.78 billion declined 16.7% from $3.33 billion in the year-ago quarter. This was due to lower revenue contributions from the Natural gas, Electric and Energy-related business units.
The top line also missed the Zacks Consensus Estimate of $3.83 billion by 27.5%.
Sempra Energy Price, Consensus and EPS Surprise
Sempra Energy price-consensus-eps-surprise-chart | Sempra Energy Quote
Segmental Update
Sempra California: Quarterly earnings amounted to $247 million compared with the year-ago quarter’s level of $290 million.
Sempra Texas Utility: Earnings in this segment declined from $305 million in the year-ago quarter to $261 million.
Sempra Infrastructure: The segment recorded earnings of $230 million compared with $223 million in the year-ago quarter.
Parent and Other: The segment reported a loss of $100 million, wider than the prior-year period’s loss of $97 million.
Financial Update
As of Sept. 30, 2024, Sempra’s cash and cash equivalents totaled $560 million compared with $236 million as of Dec. 31, 2023.
Long-term debt and finance leases amounted to $30.96 billion as of Sept. 30, 2024, compared with $27.76 billion as of Dec. 31, 2023.
Cash flow from operating activities decreased from $5.13 billion in the first nine months of 2023 to $3.54 billion in the first nine months of 2024.
Guidance
Sempra reiterated its 2024 earnings projection in the range of $4.60-$4.90 per share. The Zacks Consensus Estimate is pegged at $4.77 per share, higher than the midpoint of the company’s guided range.
SRE still expects 2025 earnings to be in range of $4.90-$5.25 per share. The consensus estimate is pegged at $5.13 per share, higher than the midpoint of the company’s guided range.
It continues to expect a long-term EPS growth rate of 6-8%.
Zacks Rank
Sempra currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Utility Releases
Edison International (EIX - Free Report) reported third-quarter adjusted earnings of $1.51 per share, which surpassed the Zacks Consensus Estimate of $1.39 by 8.6%. The bottom line also increased 9.4% from $1.38 in the year-ago quarter.
EIX's operating revenues totaled $5.20 billion, which beat the consensus estimate of $4.76 billion by 9.4%. The top line also increased 10.6% from the year-ago figure of $4.70 billion.
FirstEnergy (FE - Free Report) reported third-quarter 2024 operating earnings of 85 cents per share, which lagged the Zacks Consensus Estimate of 95 cents by 6.6%. The bottom line decreased 3.4% from the year-ago figure of 88 cents.
FE’s operating revenues totaled $3.73 billion, which missed the consensus estimate of $3.98 billion by 6.4%. The top line, however, increased 6.9% from $3.48 billion reported in the year-ago quarter.
CenterPoint Energy, Inc. (CNP - Free Report) posted third-quarter adjusted earnings of 31 cents per share, which missed the Zacks Consensus Estimate of 36 cents by 13.9%. The bottom line also deteriorated 22.5% from the year-ago figure.
CNP’s revenues totaled $1.86 billion, which missed the consensus estimate of $1.88 billion by 1.2%. The top line also decreased 0.2% from the year-ago figure.