Sempra Energy Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Sempra Energy's Q1 2024 10-Q filing provides a detailed financial overview of its utility subsidiaries.</b>

AI Summary

SOUTHERN CALIFORNIA GAS CO (SOCGM) filed a Quarterly Report (10-Q) with the SEC on May 7, 2024. Sempra Energy (SEMP) filed its 10-Q report for the period ending March 31, 2024. The filing includes data for San Diego Gas & Electric Co. and Southern California Gas Co. The report covers the first quarter of 2024. Key financial data from prior periods (e.g., March 31, 2023, December 31, 2023) are referenced. The filing utilizes US GAAP taxonomy for reporting.

Why It Matters

For investors and stakeholders tracking SOUTHERN CALIFORNIA GAS CO, this filing contains several important signals. This filing is crucial for investors to understand the financial health and operational performance of Sempra's regulated utility segments. It allows for comparison of current performance against historical data, aiding in trend analysis and investment decisions.

Risk Assessment

Risk Level: low — SOUTHERN CALIFORNIA GAS CO shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain unusual or high-risk disclosures, indicating a routine update on financial performance.

Analyst Insight

Review the detailed financial statements and segment reporting within the 10-Q to assess the performance of Sempra's regulated utilities.

Key Numbers

• 2024-03-31 — Reporting Period End Date (10-Q filing)
• 2024-05-07 — Filing Date (10-Q filing)
• 2023-03-31 — Prior Year Period End Date (Comparison data)
• 2023-12-31 — Prior Year End Date (Balance sheet data)

Key Players & Entities

• Sempra Energy (company) — Filer of the 10-Q report
• San Diego Gas & Electric Co. (company) — Subsidiary included in the filing
• Southern California Gas Co. (company) — Subsidiary included in the filing
• SEMP (company) — Ticker symbol for Sempra Energy
• 2024-03-31 (date) — Reporting period end date
• 2024-05-07 (date) — Filing date

FAQ

Industry Context

The filing pertains to regulated natural gas and electricity utility operations in California.

Regulatory Implications

The report is filed under the Securities Exchange Act of 1934, adhering to SEC regulations for public companies.

What Investors Should Do

1. Analyze revenue and expense details for San Diego Gas & Electric and Southern California Gas.
2. Examine balance sheet items as of March 31, 2024, and compare with prior periods.
3. Review any disclosures related to regulatory matters or significant operational changes.

Key Dates

• 2024-03-31: Quarterly Period End — End of the reporting period for the 10-Q filing.
• 2024-05-07: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial 10-Q filing for the 2024 fiscal year, providing the first quarterly update after the year-end report.

Key Financial Figures

• $25 — 75% Junior Subordinated Notes Due 2079, $25 par value SREA New York Stock Exchange

Filing Documents

• sre-20240331.htm (10-Q) — 3854KB
• sempra-33124xex36.htm (EX-3.6) — 19KB
• sempra-33124xex1011.htm (EX-10.11) — 73KB
• sempra-33124xex1012.htm (EX-10.12) — 13KB
• sempra-33124xex311.htm (EX-31.1) — 9KB
• sempra-33124xex312.htm (EX-31.2) — 9KB
• sempra-33124xex313.htm (EX-31.3) — 9KB
• sempra-33124xex314.htm (EX-31.4) — 9KB
• sempra-33124xex315.htm (EX-31.5) — 9KB
• sempra-33124xex316.htm (EX-31.6) — 9KB
• sempra-33124xex321.htm (EX-32.1) — 5KB
• sempra-33124xex322.htm (EX-32.2) — 5KB
• sempra-33124xex323.htm (EX-32.3) — 5KB
• sempra-33124xex324.htm (EX-32.4) — 5KB
• sempra-33124xex325.htm (EX-32.5) — 5KB
• sempra-33124xex326.htm (EX-32.6) — 5KB
• sre-20240331_g1.jpg (GRAPHIC) — 79KB
• sre-20240331_g2.jpg (GRAPHIC) — 105KB
• sre-20240331_g3.jpg (GRAPHIC) — 103KB
• sre-20240331_g4.jpg (GRAPHIC) — 119KB
• sre-20240331_g5.jpg (GRAPHIC) — 23KB
• sre-20240331_g6.jpg (GRAPHIC) — 16KB
• sre-20240331_g7.jpg (GRAPHIC) — 26KB
• sre-20240331_g8.jpg (GRAPHIC) — 22KB
• sre-20240331_g9.jpg (GRAPHIC) — 22KB
• 0001032208-24-000015.txt (&nbsp;) — 22133KB
• sre-20240331.xsd (EX-101.SCH) — 111KB
• sre-20240331_cal.xml (EX-101.CAL) — 161KB
• sre-20240331_def.xml (EX-101.DEF) — 932KB
• sre-20240331_lab.xml (EX-101.LAB) — 1145KB
• sre-20240331_pre.xml (EX-101.PRE) — 1106KB
• sre-20240331_htm.xml (XML) — 4255KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements 9 Notes to Condensed Consolidated Financial Statements Note 1. General Information and Other Financial Data 28 Note 2. New Accounting Standards 40 Note 3. Revenues 41 Note 4. Regulatory Matters 44 Note 5. Sempra – Investments in Unconsolidated Entities 46 Note 6. Debt and Credit Facilities 48 Note 7. Derivative Financial Instruments 51 Note 8. Fair Value Measurements 56 Note 9. Sempra – Equity and Earnings Per Common Share 63 Note 10. San Onofre Nuclear Generating Station 66 Note 11. Commitments and Contingencies 68 Note 12. Sempra – Segment Information 74

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 76 Overview 76 Results of Operations by Registrants 76 Capital Resources and Liquidity 88 Critical Accounting Estimates 100 New Accounting Standards 100

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 100

Controls and Procedures

Item 4. Controls and Procedures 102

– OTHER INFORMATION

PART II – OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 102

Risk Factors

Item 1A. Risk Factors 102

Other Information

Item 5. Other Information 103

Exhibits

Item 6. Exhibits 104

Signatures

Signatures 107 This combined Form 10-Q is separately filed by Sempra, San Diego Gas & Electric Company and Southern California Gas Company. Information contained herein relating to any one of these individual Registrants is filed by such entity on its own behalf. Each such Registrant makes statements herein only as to itself and its consolidated entities and makes no statement whatsoever as to any other entity. You should read this report in its entirety as it pertains to each respective Registrant. No one section of the report deals with all aspects of the subject matter. A separate Part I – Item 1 is provided for each Registrant, except for the Notes to Condensed Consolidated Financial Statements, which are combined for all the Registrants. All Items other than Part I – Item 1 are combined for the three Registrants. None of the website references in this report are active hyperlinks, and the information contained on or that can be accessed through any such website is not and shall not be deemed to be part of or incorporated by reference in this report or any other document that we file with or furnish to the SEC. 3 Table of Con tents The following terms and abbreviations appearing in this report have the meanings indicated below. GLOSSARY AB California Assembly Bill ADIA Black Silverback ZC 2022 LP (assignee of Black River B 2017 Inc.), a wholly owned affiliate of Abu Dhabi Investment Authority AFUDC allowance for funds used during construction amparo an extraordinary constitutional appeal governed by Articles 103 and 107 of the Mexican Constitution and filed in Mexican federal court Annual Report Annual Report on Form 10-K for the year ended December 31, 2023 AOCI accumulated other comprehensive income (loss) ASEA Agencia de Seguridad, Energa y Ambiente (Mexico's National Agency for Industrial Safety and Environmental Protection) ASU Accounting Standards Update Bcf billion cubic feet bps basis points Cameron LNG JV Cameron LNG Holdings, L

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS SEMPRA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in millions, except per share amounts; shares in thousands) Three months ended March 31, 2024 2023 (unaudited) REVENUES Utilities: Natural gas $ 2,109 $ 4,412 Electric 1,056 1,027 Energy-related businesses 475 1,121 Total revenues 3,640 6,560 EXPENSES AND OTHER INCOME Utilities: Cost of natural gas ( 554 ) ( 2,683 ) Cost of electric fuel and purchased power ( 89 ) ( 114 ) Energy-related businesses cost of sales ( 109 ) ( 193 ) Operation and maintenance ( 1,212 ) ( 1,209 ) Depreciation and amortization ( 594 ) ( 539 ) Franchise fees and other taxes ( 184 ) ( 192 ) Other income, net 99 41 Interest income 13 24 Interest expense ( 305 ) ( 366 ) Income before income taxes and equity earnings 705 1,329 Income tax expense ( 172 ) ( 376 ) Equity earnings 348 219 Net income 881 1,172 Earnings attributable to noncontrolling interests ( 69 ) ( 192 ) Preferred dividends ( 11 ) ( 11 ) Earnings attributable to common shares $ 801 $ 969 Basic EPS: Earnings $ 1.27 $ 1.54 Weighted-average common shares outstanding 632,821 629,838 Diluted EPS: Earnings $ 1.26 $ 1.53 Weighted-average common shares outstanding 635,354 632,248 See Notes to Condensed Consolidated Financial Statements. 9 Table of Con tents SEMPRA CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Dollars in millions) Sempra shareholders' equity Pretax amount Income tax (expense) benefit Net-of-tax amount Noncontrolling interests (after tax) Total (unaudited) Three months ended March 31, 2024 and 2023 2024: Net income $ 984 $ ( 172 ) $ 812 $ 69 $ 881 Other comprehensive income (loss): Foreign currency translation adjustments 3 — 3 1 4 Financial instruments 43 ( 4 ) 39 114 153 Pension and other postretirement benefits 5 ( 1 ) 4 — 4 Total other comprehensive income 51 ( 5 ) 46 115 161 Comprehensive income $ 1,035 $ ( 177 ) $ 858 $ 184 $ 1,042 20

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View this 10-Q filing on SEC EDGAR