Sempra on Tuesday reported a decline in annual earnings and lowered its 2025 profit forecast, prompting a selloff on Wall Street.
Shares of the San Diego-based utility company closed at 70.64, down 16.54 points, or nearly 20%.
The company reported earnings of $2.82 billion, or $4.42 per share, in 2024, compared to $3.03 billion, or $4.79 per share, in 2023.
It lowered its 2025 profit forecast to between $4.30 per share and $4.70 per share, down from a range of $4.90 per share to $5.25 per share earlier.
“With the reset of our guidance in 2025, we are setting a new foundation for a decisive
decade of growth,” said Jeffrey W. Martin, chairman and CEO of Sempra. “We are also announcing a record five-year capital plan.”
Capital expenditures for the period 2025-29 are now set to rise by 16% to $56 billion with a focus on regulated utility investments in California and Texas.
Martin said the the higher capital investment would increase the company’s long-term growth in earnings per share to 9% annually from 7%.
Earnings from Sempra’s California operations, which include San Diego Gas & Electric and Southern California Gas, totaled $1.85 billion in 2024 compared to $1.75 billion the previous year. The company said electricity demand in San Diego reached an all-time high of 5,032 megawatts last year.
Updated at 3:30 p.m., Tuesday, Feb. 25, 2025.
Reuters contributed to this article.
