Company: SREA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001032208-25-000065
Chunk: 188

Company: SEMPRA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 2
Chunk 188
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Part II – Item 7. MD&A – Impact of Foreign Currency and Inflation Rates on Results of Operations” in the Annual Report.

Foreign Currency Translation 

Any difference in average exchange rates used for the translation of income statement activity from year to year can cause a variance in Sempra’s comparative results of operations. In the three months and nine months ended September 30, 2025 compared to the same periods in 2024, the change in our earnings as a result of foreign currency translation rates was lower by $1 million.

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Transactional Impacts

Income statement activities at our foreign operations and their equity method investments are also impacted by transactional gains and losses, a summary of which is shown in the table below:

TRANSACTIONAL GAINS (LOSSES) FROM FOREIGN CURRENCY AND INFLATION EFFECTS(Dollars in millions) Total reported amountsTransactional gains (losses) included in reported amounts Three months ended September 30, 2025202420252024Other income, net$49 $65 $3 $(4)Income tax (expense) benefit(482)105 (45)78 Equity earnings472 454 (6)26 Net income150 759 (48)100 Earnings attributable to noncontrolling interests(55)(110)16 (33)Earnings attributable to common shares77 638 (32)67  Nine months ended September 30, 2025202420252024Other income, net$199 $194 $8 $(4)Income tax (expense) benefit(711)63 (157)211 Equity earnings1,190 1,235 (33)56 Net income1,588 2,511 (182)263 Earnings attributable to noncontrolling interests(103)(325)61 (85)Earnings attributable to common shares1,444 2,152 (121)178 

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We discuss herein SDG&E’s results of operations and significant changes in earnings, revenues and costs for the three months (Q3) and nine months (YTD) ended September 30, 2025 compared to the same period in 2024.

Due to the delay in the issuance of the CPUC’s FD in the SDG&E 2024 GRC, SDG&E recorded revenues in the first three quarters of 2024 based on levels authorized for 2023 under the 2019 GRC