SRE earnings analysis
What we found in SRE's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Sempra reported Q1 2026 earnings of $1.037 billion, or $1.51 per diluted share, matching analyst expectations for EPS. Revenue fell to $3.655 billion, missing the $4.125 billion target amid significant fluctuations in segment earnings across key utilities. Capital expenditures continued at a robust pace, totaling $3.337 billion for the quarter as part of ongoing investment strategies.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- EPS Matches Analyst Expectations
- Reported diluted EPS of $1.51 met estimates but showed a decline from prior periods.
- Significant Revenue Decline
- Total revenue of $3.655 billion fell short of the $4.125 billion estimate, representing a 11.4% miss.
- Strong Capital Expenditures
- Capital expenditures reached $3.337 billion, highlighting commitment to infrastructure.
- Segment Earnings Variability
- Sempra California earnings decreased by $4 million (1%) compared to Q1 2025.
- Growth in Infrastructure Earnings
- Sempra Infrastructure saw an earnings increase of $116 million year-over-year.
- Operating Cash Flow Improvement
- Cash flow from operations increased by $327 million year-over-year to $1.809 billion.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- High Capital Expenditures
- Capital expenditures increased to $3.337 billion in Q1 2026, raising concerns over cash management.
- Regulatory Risks
- Dependence on regulatory frameworks exposes Sempra to significant operational risks, especially in California.
- Declining Revenues in Key Segments
- Natural gas revenue decreased by 14% to $2.025 billion, driven largely by Sempra California.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.51
- Segment
- Sempra California
- Segment
- Sempra Texas Utilities
- Segment
- Sempra Infrastructure
What they said about what is next.
Management expects EPS in the range of $4.87 to $5.37 for FY 2026, reflecting ongoing capital investments.
The filing reads worse than the one before it.
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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