Sempra Energy Earnings: Here’s Why the Stock is Falling Now

Sempra Energy (NYSE:SRE) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 0.12%.

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Sempra Energy Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 2.06% to $0.99 in the quarter versus EPS of $0.97 in the year-earlier quarter.

Revenue: Rose 11.2% to $2.65 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Sempra Energy reported adjusted EPS income of $0.99 per share. By that measure, the company missed the mean analyst estimate of $1.02. It beat the average revenue estimate of $2.38 billion.

Quoting Management: “While our reported earnings declined in the first quarter, the performance of our businesses remains solid and we completed several key strategic milestones, including the sale of half of our ownership interest in our Arizona gas-fired power plant and the successful public offerings at our Sempra Mexico unit,” said Debra L. Reed, chairman and CEO of Sempra Energy. “During the quarter, we raised nearly $1 billion in external capital and attracted strong local ownership in our Mexican company, IEnova.”

Key Stats (on next page)…

Revenue decreased 0.67% from $2.67 billion in the previous quarter. EPS decreased 8.33% from $1.08 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.94 to a profit $1.04. For the current year, the average estimate has moved up from a profit of $4.38 to a profit of $4.52 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)