Edison Posts Core Earnings of $1.92 per Share, Revenue Misses Estimates
Key Facts
Edison International reported core earnings of $1.92 per share in the third quarter of 2026, missing analysts’ estimate of $1.98 by $0.06, according to Investing.com. Revenue was $4.89 billion, compared with a consensus estimate of $5.34 billion. The results showed shortfalls on both earnings and revenue, with the core earnings measure differing from net income and earnings per share under accounting standards. Chief Executive Pedro Pizarro said the company delivered “another quarter of strong operational performance,” citing its focus on community safety and customer affordability. The company left its 2026 core earnings guidance unchanged, as wildfire risks and legislative reform remain part of its disclosures.
According to official results, net income was $724 million, or $1.88 per share, compared with $832 million and $2.16 per share in the third quarter of 2025. Adjusted core earnings were $738 million, or $1.92 per share, compared with $901 million and $2.34 per share a year earlier. Edison thus distinguishes between earnings under accounting standards and its adjusted core measure, both of which declined year over year. Edison said the main factor behind lower core earnings per share at its subsidiary Southern California Edison was the timing of the recognition of earnings recorded in the third quarter of 2025. Those earnings were associated with the implementation of the final decision in the 2025 general rate case, whose effect was retroactive to January 1, 2025. The company said higher revenue under the approved escalation mechanism offset part of the impact.
The company said its subsidiary Southern California Edison delivers electricity to 15 million people across Southern, Central and Coastal California. Within its operating area, Edison said about 90% of its distribution network in high fire risk areas had been hardened, and that it continues to make targeted investments to reduce remaining risks. Pizarro said California needs “a durable wildfire fix” to protect customer affordability and support investment in a safer, more reliable grid. The company said the sustainable reform it is seeking includes a clear source of liquidity and a genuine cap on shareholder liability that is not tied to the wildfire fund. In an earlier update dated August 30, Southern California Edison said amended bill SB 492 did not provide that reform and that it would work with the next governor and legislature to complete it.
The aftermath of the Eaton Fire remains part of the picture; in its second-quarter report, Edison said accrued losses related to the fire totaled $1.128 billion as of June 30, 2026, within total accrued wildfire loss balances of $1.434 billion. The company also said in its quarterly filing that it could not estimate the range of potential losses related to the fire, citing the complexity of the damage, the variety of claims and uncertainty over insurance and litigation. On October 20, the company said more than 16,250 individuals, trusts and legal entities had submitted claims under its compensation program, and that it had offered about $1.1 billion in compensation. It added that about 80% of the offers had been accepted, with further claims continuing to come in. It set November 30, 2026, as the deadline for submitting claims to the voluntary compensation program for those affected by the Eaton Fire.
On its outlook, Edison reaffirmed its 2026 core earnings guidance range of $5.90 to $6.20 per share. It also said it remained confident of achieving annual core earnings growth of 5% to 7% from 2025 to 2030. The unchanged annual guidance sets the earnings path the company has outlined alongside the wildfire issue, which it said requires sustainable reform. The company’s shares closed at $59.38 on October 29, up 0.93% during the regular session before the results announcement; that does not represent post-announcement share movement. The company made a replay of the earnings call available until November 12 at 6 p.m. Pacific time.