PG&E Corp., the Oakland-based parent of Pacific Gas and Electric, reported lower third-quarter earnings on Thursday, Oct. 22, but reaffirmed its profit outlook for 2026 and 2027.
Why it matters: PG&E serves about 16 million Californians, and its finances shape rate requests, wildfire spending and grid work across the Bay Area.
The numbers
- GAAP earnings: $749 million available to common shareholders, or $0.34 a diluted share, down from $823 million, or $0.37, a year earlier.
- Non-GAAP core earnings: $928 million, or $0.41 a share, down from $1.142 billion, or $0.50.
- Revenue: $6.19 billion, down 1% from $6.25 billion, according to the company's quarterly 10-Q filing.
- Nine months: core EPS of $1.24, up from $1.14.
The company said the drop came mainly from a lower return on equity allowed by the CPUC this year, one-time effects of a 2025 tax change, and higher Wildfire Fund expense, partly offset by earnings on a larger rate base and cost savings.
Guidance and other updates
PG&E reaffirmed non-GAAP core EPS guidance of $1.64 to $1.66 for 2026 and $1.78 to $1.82 for 2027. It said it is on track to cut non-fuel operating and maintenance costs 2% to 4%, is implementing a previously announced $2 billion cut to its 2027 capital plan, and that a strategic review is advancing.
The utility also said it filed a 5,000-mile undergrounding plan with regulators and has energized 174 megawatts of new data center projects since 2024.
"California needs a durable wildfire liability framework that delivers for customers and investors," CEO Patti Poppe said in the release.
Sources: PG&E Corp. earnings release; PG&E Form 10-Q (SEC).