SRE — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-05-07

• ▪Sempra is a holding company whose principal businesses are regulated utilities in California and Texas. Our businesses invest in and operate electric and gas utilities and other energy infrastructure that provide energy services to customers.

• ▪$34 million lower income tax benefits primarily from flow-through items

• ▪$38 million higher CPUC base operating margin, net of operating expenses, including $43 million recognition of regulatory revenue reflecting returns on approved WMP capital projects resulting from the 2024 GRC Track 2 FD

• ◦lower customer consumption primarily attributable to weather

• ▪$58 million from asset and supply optimization driven by unrealized gains on commodity derivatives in 2026 compared to unrealized losses on commodity derivatives in 2025 due to changes in natural gas prices and higher optimization of transport and storage contracts

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• ▪Sempra is a California-based holding company with energy infrastructure investments in North America. Our businesses invest in, develop and operate energy infrastructure, and provide electric and gas services to customers.

• Due to the delay in the issuance of the CPUC’s FD in the SDG&E and SoCalGas 2024 GRC, Sempra California recorded revenues in the first three quarters of 2024 based on levels authorized for 2023 under the 2019 GRC. In December 2024, the CPUC approved an FD in the 2024 GRC, effective retroactive to Ja…

• Three months ended September 30,Nine months ended September 30,

• Segment earnings attributable to common shares96 738 1,651 2,443

• ▪$92 million higher income tax benefits primarily from flow-through items, including impacts from the election to accelerate self-developed software deductions, and from the resolution of prior year income tax items

Text added vs the prior filing · source: 10-Q · 2026-05-07

• The one-day value at risk for SDG&E’s and SoCalGas’ commodity positions are $3 million and negligible, respectively, at March 31, 2026 compared to $2 million and $6 million, respectively, at December 31, 2025.

• At March 31, 2026 and December 31, 2025, the nominal amount of debt of $9,085 million and $8,287 million, respectively, is included in Liabilities Held for Sale on the Sempra Condensed Consolidated Balance Sheets, which consists of $444 million and $362 million of short‑term debt, $4,941 million and…

• At March 31, 2026, SI Partners, which holds our foreign operations, is classified as held for sale. Upon completion of the sale, which we expect to occur in the second or third quarter of 2026, we will deconsolidate SI Partners and account for our remaining 25% interest under the equity method, whic…

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• The one-day value at risk for SDG&E’s and SoCalGas’ commodity positions were $1 million and $6 million, respectively, at September 30, 2025 compared to $2 million for each at December 31, 2024.

• (2) At September 30, 2025, $7,858 is classified as Liabilities Held For Sale on the Sempra Condensed Consolidated Balance Sheet, which consists of $897 of short-term debt, $5,381 of long-term fixed-rate debt, and $1,580 of long-term variable-rate debt.

• We discuss our foreign currency exchange rate risk and inflation exposure in “Part I – Item 2. MD&A – Impact of Foreign Currency and Inflation Rates on Results of Operations” in this report and in “Part II – Item 7. MD&A – Impact of Foreign Currency and Inflation Rates on Results of Operations” in t…

Text added vs the prior filing · source: 10-Q · 2026-05-07

• In January 2026, SI Partners implemented a new enterprise resource planning system (ERP platform) to replace its legacy system, which has affected business processes that are part of our internal control over financial reporting, including the revenue, expenditure, payroll and reporting cycles, that…

• Other than SI Partners’ implementation of a new ERP platform, there have been no changes in Sempra’s, SDG&E’s or SoCalGas’ internal control over financial reporting during the most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, any such company’s …

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• There have been no changes in Sempra’s, SDG&E’s or SoCalGas’ internal control over financial reporting during the most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, any such company’s internal control over financial reporting.

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• We may be unable to complete or realize the anticipated benefits from our planned sales of certain of our assets and businesses as part of our capital recycling program.

• As we discuss in Note 6 of the Notes to Condensed Consolidated Financial Statements, in September 2025, we entered into an agreement to sell a 45% equity interest in SI Partners to the KKR Partners for $9.99 billion, subject to adjustments. We expect this sale to close in the second or third quarter…

• Even if they close, any efficiencies and benefits we expect from these transactions might be delayed or not realized. Our expectations are based on a number of assumptions, estimates, projections and other uncertainties about, among other things, closing and post-closing payments; purchase price adj…

• Any of these outcomes could materially adversely affect our results of operations, cash flows, financial condition and/or prospects.

• Changing conditions in global markets, including the impact of tariffs and other trade actions, may materially and adversely affect us.

Text added vs the prior filing · source: 10-Q · 2026-05-07

• (c)During the last fiscal quarter, no individual who was at the time a Sempra, SDG&E or SoCalGas director or officer adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement with respect to the securities of each such Registrant. As used herein, directors and …

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• (c)During the last fiscal quarter, (i) each of the individuals listed below, who were at the time Sempra directors or officers, adopted a Rule 10b5-1 trading arrangement with respect to the securities of Sempra, with the material terms described below; (ii) no Sempra directors or officers terminated…

• Name and title of the director or officerDate on which the director or officer adopted or terminated the trading arrangementDuration of the trading arrangementAggregate number of securities to be purchased or sold pursuant to the trading arrangement

• Jeffrey W. Martin, Chairman, Chief Executive Officer and President

• From January 2, 2026 until all shares are sold or the trading arrangement is otherwise terminated

• Karen L. Sedgwick, Executive Vice President and Chief Financial Officer