Company: SREA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001032208-25-000048
Chunk: 300

Company: SEMPRA
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 8
Chunk 300
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�$17 million higher revenues driven by satisfaction of performance obligations related to customer payments received in advance from a contract modification in December 2024 on an LNG storage and regasification agreement

▪$16 million lower O&M in 2025 from lower provisions for expected credit losses

▪$10 million interest income from a change in the fair value of the Support Agreement

▪$7 million higher revenues due to the commencement of commercial operations at Topolobampo marine terminal in June 2024 

Parent and Other

In the three months ended June 30, 2025 compared to the same period in 2024, the decrease in losses of $18 million (19%) was primarily due to:

▪$16 million higher income tax benefit from the interim period application of an annual forecasted consolidated ETR

▪$15 million higher net investment gains on dedicated assets in support of our employee nonqualified benefit plan and deferred compensation plan

▪$5 million related to settlement charges from our nonqualified pension plan in 2024

Offset by: 

▪$23 million higher net interest expense

In the six months ended June 30, 2025 compared to the same period in 2024, the decrease in losses of $3 million (2%) was primarily due to:

▪$18 million higher income tax benefit from the interim period application of an annual forecasted consolidated ETR

▪$15 million higher net investment gains on dedicated assets in support of our employee nonqualified benefit plan and deferred compensation plan

▪$5 million related to settlement charges from our nonqualified pension plan in 2024

Offset by: 

▪$40 million higher net interest expense

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Table of Contents

SIGNIFICANT CHANGES IN REVENUES AND COSTS

The regulatory framework permits SDG&E and SoCalGas to recover certain program expenditures and other costs authorized by the CPUC (referred to as “refundable programs”).

Utilities: Natural Gas Revenues and Cost of Natural Gas

Our utilities revenues include natural gas revenues at Sempra California and Sempra Infrastructure, which includes Ecogas. Intercompany revenues are eliminated in Sempra’s Condensed Consolidated Statements of Operations. 

SDG&E and SoCalGas operate under a regulatory framework that permits the cost of natural gas purchased for core customers to be passed through to customers in rates substantially as incurred and without markup. The GCIM provides for SoCalGas to share in the savings and/or costs from buying