Sempra recently disclosed adjusted EPS guidance ranges for 2025 and 2026, emphasizing the exclusion of non-GAAP financial measures.
These guidance ranges strategically omit significant items unrelated to ongoing business activities, providing a clearer view of core operational performance.
Sempra's decision to exclude certain items aligns with management and investor preferences for assessing the company's fundamental business strengths.
Impact of Regulatory Disallowances in 2025
The guidance reflects charges stemming from the CPUC's proposed decision on SDG&E's Track 2 request and expenses related to coronavirus costs recovery, indicating regulatory challenges impacting Sempra's financial outlook.
Foreign Currency and Inflation Impact
During the nine months ended September 30, 2025, Sempra experienced substantial implications from foreign currency fluctuations and inflation, particularly in its monetary holdings in Mexico, highlighting the company's exposure to macroeconomic risks.
Net Unrealized Losses on Derivatives
Sempra incurred notable losses on commodity derivatives and interest rate swaps in the same period, underscoring the impact of market volatility on the company's hedging activities and financial performance.
- Sempra's adjusted EPS guidance signifies strategic financial adjustments aimed at offering stakeholders a more transparent assessment of the company's operational performance and financial health.
- By excluding specific items from its guidance, Sempra enables investors to focus on the essential drivers of its business activities, enhancing the understanding of the company's core metrics and strategic direction.
Sempra's adjusted EPS guidance for 2025 and 2026 provides valuable insights into the company's strategic financial planning and performance expectations, reflecting a targeted approach to transparent reporting and investor communication.