PG&E posts earnings of $0.41 a share, reaffirms two-year outlook
Key Facts
PG&E reported core diluted earnings per share, a non-GAAP measure, of $0.41 in the third quarter of 2026 and maintained its core earnings guidance for the current and following years. Income available to common shareholders totaled $749 million for the period, equivalent to GAAP diluted earnings of $0.34 a share, according to the company's earnings statement. Third-quarter operating revenue was $6,188 million, according to the same statement. Ahead of the announcement, analysts had estimated earnings of $0.422 a share, according to a preview published by Investing.com on October 21, 2026. Revenue expectations in the same preview were $6.8 billion for the third quarter. Reported core earnings per share and operating revenue therefore fell below the analyst forecasts cited by the website.
Core earnings per share declined from $0.50 in the third quarter of 2025, according to the company's earnings statement for the year-earlier period. Core non-GAAP earnings in that quarter totaled about $1,142 million. Compared with the previous quarter, core earnings per share rose from $0.40 in the second quarter of 2026, after the company reported $0.83 a share for the first half, according to its previous earnings announcement. The company attributed the earnings decline partly to a "lower regulatory return on equity" set by the California Public Utilities Commission. In its third-quarter statement, it reaffirmed its target of reducing non-fuel operating and maintenance expenses by 2–4% during 2026. It maintained its core non-GAAP earnings per share range for the current year at $1.64–1.66. It also reaffirmed its target range for the following year, 2027, at $1.78–1.82 a share.
The results follow the company's announcement in September 2026 of a strategic review aimed at strengthening its finances and achieving investment-grade creditworthiness. PG&E described the review's objective as building a "financially strong, investment-grade company," according to its announcement. As part of the investment plan announced at the time for the following year, it said it intended to defer about $2 billion in planned investments. Despite the deferral, it maintained planned investments of about $11.4 billion in California during 2027, according to the same announcement. PG&E is an Oakland-based holding company listed on the New York Stock Exchange under the symbol PCG, according to its earnings date announcement. Its utility subsidiary serves about 16 million people in Northern and Central California. Its service territory spans 70,000 square miles, according to the company's description of its business in the earnings call announcement.
On financing, the company announced in its second-quarter results that its utility subsidiary had completed a $2.2 billion bond issuance in June 2026. The issuance brought the utility's total debt financing for the year to $4.4 billion as of the second-quarter earnings announcement, according to the company's statement for that period. PG&E scheduled its third-quarter earnings call for October 22, 2026, at 11:00 a.m. U.S. Eastern time, according to its advance announcement. When launching the strategic review, it said it expected to provide updates during its regular quarterly earnings calls. It added in the review announcement that updates could also be provided when material developments occur.