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Sempra Reports Much Higher Earnings In Second Quarter Over Last Year

Jeffrey W. Martin, chairman and CEO of Sempra Energy, addresses the crowd at an event celebrating operational milestones at Cameron LNG in this undated photo.
Sempra Energy
Jeffrey W. Martin, chairman and CEO of Sempra Energy, addresses the crowd at an event celebrating operational milestones at Cameron LNG in this undated photo.

San Diego-based Sempra Energy reported second- quarter earnings of nearly $2.24 billion Wednesday, or $7.61 per diluted share, compared to earnings of $354 million, or $1.26 per diluted share, in the same period last year.

In the first six months of 2020, the company earned just under $3 billion, or $9.91 per diluted share, compared with earnings of $795 million, or $2.85 per diluted share, in the same period last year.

The company completed the sales of its South American businesses in June, marking the conclusion of its two-year capital rotation plan. In total, the sale of Sempra Energy's businesses in Chile and Peru, along with its U.S. renewables businesses and non-utility natural gas storage assets, resulted in approximately $8.3 billion in total gross proceeds.

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The company said its investments are now focused in top-tier markets in North America, including California, Texas, Mexico, and North America's liquefied natural gas export market.

"Our year-to-date financial results set us up well to post strong results for the full year in 2020 and are a credit to the dedication and teamwork of our employees who have continued to deliver for our stakeholders amid the pandemic and a challenging economic backdrop," Sempra CEO Jeffrey W. Martin said.

The company's Cameron Liquefied Natural Gas project in Hackberry, Louisiana, is expected to reach full commercial operations this month. The facility is expected to generate nearly $12 billion of after-debt-service cash flow for Sempra during the 20-year contract period.

Among its major subsidiaries, San Diego Gas & Electric saw a second quarter net income of $193 million, compared with earnings of $143 million in last year's second quarter. For the first two quarters combined, net income was $455 million, compared with $319 million last year.

Net income for Southern California Gas Co. was $146 million in the second quarter, compared with $30 million in earnings in last year's second quarter.

SoCalGas' six-month earnings were $449 million this year, compared with $294 million in the same period last year.