Company: SREA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001032208-25-000065
Chunk: 131

Company: SEMPRA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 1
Chunk 131
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 income tax benefit (expense). Gas repairs tax benefits in the first three quarters of 2024 were recorded as a regulatory liability that was released in the fourth quarter of 2024 as a result of the 2024 GRC FD

Offset by:

▪$52 million lower revenues from incremental and balanced capital projects, including those that are now in CPUC-authorized base revenues as a result of the 2024 GRC FD and lower authorized cost of capital

▪$48 million lower regulatory revenues associated with impacts from the election to accelerate self-developed software deductions, which are offset in income tax benefit (expense)

▪$24 million lower revenues associated with refundable programs, which are fully offset in O&M

114

In the three months ended September 30, 2025 compared to the same period in 2024, SoCalGas’ cost of natural gas increased by $100 million to $182 million primarily due to higher average natural gas prices.

In the nine months ended September 30, 2025 compared to the same period in 2024, SoCalGas’ natural gas revenues increased by $301 million (7%) to $4.5 billion primarily due to:

▪$365 million higher CPUC-authorized base revenues, including certain incremental and balanced capital projects that are now in CPUC-authorized base revenues as a result of the 2024 GRC FD offset by $24 million lower authorized cost of capital

▪$88 million increase in cost of natural gas sold, which we discuss below

▪$79 million higher regulatory revenues, including gas repairs tax benefits, which are offset in income tax benefit (expense). Gas repairs tax benefits in the first three quarters of 2024 were recorded as a regulatory liability that was released in the fourth quarter of 2024 as a result of the 2024 GRC FD

▪$23 million higher revenues associated with refundable programs, which are fully offset in O&M

▪$14 million regulatory award approved by the CPUC in 2025

▪$13 million higher revenues from higher non-service components of net periodic benefit cost, which fully offsets in other (expense) income, net

Offset by:

▪$179 million lower revenues from incremental and balanced capital projects, including those that are now in CPUC-authorized base revenues as a result of the 2024 GRC FD and lower authorized cost of capital

▪$48 million lower regulatory revenues associated with impacts from the election to