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- **EPS Growth**: 2025 core EPS guidance narrowed to $1.49-$1.51 (midpoint +10% YoY); 2026 guidance of $1.62-$1.66 signals 9%+ annual growth.
- **Safety Success**: 35% YoY reduction in ignitions; 1,000 miles of undergrounding completed at 25% lower cost.
- **Affordability**: O&M savings, tax benefits, and data center load growth driving bill reductions.
- **Credit Strength**: Fitch upgrade to investment grade; 20% dividend payout ratio supports customer affordability.

**【CEO Summary Section】**
- **EPS Guidance Update**: Narrowed 2025 core EPS range to $1.49-$1.51 (midpoint up 10% vs. 2024) and introduced 2026 guidance of $1.62-$1.66 (midpoint +9% YoY). 
- **Safety Milestones**: 35% YoY reduction in CPUC reportable ignitions; 1,000 miles of undergrounding completed at 25% lower cost than initial estimates.
- **Data Center Pipeline**: 1.6 GW in final engineering phase, 95% expected online by 2030; new load growth offsets capital costs, reducing customer bills.

**【CFO Financial Commentary】**
- **Cost Efficiency**: Achieved $0.05/Q3 O&M savings (vs. $0.08 YTD), with 2%+ annualized savings target on track.
- **Tax Benefits**: Accelerated tax deductions added $0.10/Q3 EPS; redeploying savings to reduce customer bills.
- **Capital Plan**: $73B 5-year capital program (9%+ rate base growth) with no new equity needed; 20% dividend payout ratio by 2028.

**【Q&A Key Highlights】**
- **Phase 2 SB 254 Progress**: CEA report due April 2026; governor's whole-of-government approach signals potential legislative action.
- **Undergrounding Timeline**: 300 miles/year undergrounding target; 10-year plan PUC filing expected Q4 2025.
- **Credit Metrics**: Fitch upgraded parent company to investment grade; Moody's/S&P reviews pending regulatory clarity.
- **Dividend Policy**: 20% payout ratio maintained through 2030; prioritizing affordability over shareholder returns.

PG&E Corporation (PCG) Q3 2025 Earnings Call Transcript

- **Financial Strength**: Q2 EPS $0.31, reaffirming 2025 guidance of $1.48-$1.52 (10% growth). 5-year plan targets 9% EPS growth annually through 2028 with $63B capital investments.
- **Legislative Progress**: AB 1054 wildfire fund durability measures expected; affordability legislation advancing. Opposed to securitization due to customer cost risks.
- **Growth Drivers**: 10GW data center pipeline (up 3x YoY), targeting 1%-2% bill reduction per GW. 50% pipeline conversion rate expected.
- **Cost Efficiency**: 2%+ annual O&M savings via AI, undergrounding cost reductions. No equity issuance until 2028, targeting 20% dividend payout by 2028.

**【CEO Summary Section】**
- Q2 2025 EPS: $0.31 (flat YoY), reaffirming full-year guidance of $1.48-$1.52 (10% growth vs. 2024). 5-year plan: 10% EPS growth in 2025, 9% annually through 2028, $63B capital investments, no equity issuance until 2028.
- Legislative updates: AB 1054 wildfire fund durability measures expected; affordability legislation progress seen. Data center pipeline: 10GW (up from 8.7GW Q1), targeting 1%-2% bill reduction per GW.
- Risk mitigation: 10,000+ sensors deployed, 4 PSPS events in 2025, $1B self-insurance coverage for wildfire claims.

**【CFO Financial Commentary】**
- 2027 GRC proposal: 10-year O&M savings target of 2%, $2.5B in 2022-2024 savings. Capital plan: $63B through 2028, $5B+ FERC transmission investments. Financing: no equity issuance until 2028, targeting 20% dividend payout by 2028.
- Credit metrics: mid-teens FFO/debt ratio, $3B of $5B 2025 debt raised. Investment-grade status a key affordability driver.

**【Q&A Highlights】**
- Legislative risks: No upfront equity for wildfire fund; securitization opposed due to customer cost increases. Data center pipeline: 50% conversion rate expected, load benefits materializing in 2027. O&M savings: AI-driven inspection cost reductions, 2%+ annual target achievable.
- Capital allocation: Flexibility to defer investments if policy constraints arise; prioritizing customer affordability over shareholder returns.

PG&E Corporation (PCG) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: Full-year EPS guidance reaffirmed at $1.48-$1.52 (10% midpoint increase), with bills down in 2025 and 2026. 
- **Affordability Model**: 2027-2030 GRC to limit rate increases to 2%-4%, incorporating $500M+ O&M savings. 
- **Data Center Opportunity**: 8.7 GW pipeline (1.4 GW in final engineering), with potential 1%-2% bill savings per GW. 
- **Wildfire Risk**: 2026-2028 Mitigation Plan includes advanced sensors; 814 days without fatality. 
- **Credit Progress**: Utility issuer credit upgraded to investment grade; parent company upgrade expected post-AB 1054 resolution. 


**【CEO Summary Section】**
- **Revenue Growth**: Core EPS for Q1 2025 was $0.33, with full-year guidance reaffirmed at $1.48-$1.52 (10% midpoint increase from 2024). 
- **Affordability Focus**: Customer bills are down in 2025 vs. 2024, forecast to decrease again in 2026. 
- **Wildfire Risk Mitigation**: 2026-2028 Wildfire Mitigation Plan includes pole-mounted sensors and pull clearing. 
- **Safety Culture**: 814 days without a fatality, longest streak in over 25 years. 
- **GRC Filing**: 2027-2030 GRC to reflect simple, affordable model with rate increases held at 2%-4%. 
- **Data Center Pipeline**: Updated to 8.7 GW (from 5.5 GW), with 1.4 GW in final engineering. Each GW of new load could save customers 1%-2% on bills. 
- **Wildfire Fund Advocacy**: Pushing for legislative solve on AB 1054 to improve affordability and capital access. 

**【CFO Financial Commentary】**
- **Q1 2025 Results**: Core EPS of $0.33 (-$0.04 YoY) due to lower ROE and equity dilution. 
- **Capital Plan**: $63B 2025-2028 plan remains unchanged, with $5B+ incremental investment opportunities. 
- **O&M Savings**: $500M+ saved in 2023, $350M+ in 2024, to be incorporated into GRC. 
- **Credit Metrics**: Utility issuer credit rating upgraded to investment grade by Moody's; parent company upgrade remains a priority. 
- **Wildfire Self-Insurance**: Potential $600M+ savings through 2030 if no claims. 
- **Dividend Policy**: Target 20% payout ratio by 2028, balancing returns with capital needs. 

**【Q&A Key Highlights】**
- **Legislative Progress**: CEO confident in 2025 legislative solve for AB 1054, emphasizing importance for capital access and affordability. 
- **GRC Expectations**: Filing on May 15 will reflect lowest rate request in a decade, with savings from O&M efficiency and beneficial load growth. 
- **Data Center Growth**: 8.7 GW pipeline (1.4 GW in final engineering), with 90% expected to come online by 2030. 
- **Wildfire Mitigation**: Undergrounding plan to reduce O&M costs by $465M and vegetation savings by $280M over project life. 
- **Rating Agency Dialogue**: Progress on utility credit upgrade, with parent company upgrade contingent on AB 1054 resolution. 
- **Tariff Exposure**: <10% of materials sourced internationally, with $100M transformer tariff impact. 


PG&E (PCG)-24 Apr 25-2025 Q1 Earnings call transcript

- **EPS Growth & Guidance**: 11% 2024 core EPS growth to $1.36, with 10% 2025 target and 9%+ through 2028, supported by customer capital and cost savings.
- **Wildfire Risk Mitigation**: AB 1054 framework proven effective, with 2024 safety certificate issued. Advocating for enhancements to address extreme wildfire scenarios.
- **Data Center Expansion**: 5.5 GW pipeline, 1.4 GW in final engineering, with 90% expected online by 2030. Cost-sharing model to avoid residential bill shifts.
- **Financial Discipline**: 4% nonfuel O&M savings ($350M+), 2025 dividend rate at $0.10, and 20% payout ratio target by 2028.
- **Credit & Growth**: $63B capital plan flexibility, FFO to debt ratio improving, and DOE loan closed but not in base case.


**【CEO Summary Section】**
- **2024 Financial Highlights**: Core EPS of $1.36, up 11% year-over-year, driven by customer capital investment and cost savings. 2025 EPS guidance midpoint increased to $1.48-$1.52, with 10% growth, and 9%+ annually through 2028.
- **Wildfire Fund & Policy**: Advocating for AB 1054 enhancements to address extreme wildfire risks, with 2024 safety certificate issued ahead of schedule. Emphasized prudent management and layered safety protocols.
- **Data Center Load Growth**: 5.5 GW pipeline, 1.4 GW in final engineering, targeting 90% online by 2030. Cost-sharing model with customers to avoid stranded assets, potentially saving 1%-2% on residential bills.
- **Dividend Policy**: 2025 dividend rate at $0.10, targeting 20% payout ratio by 2028, supported by capital discipline and affordability focus.

**【CFO Financial Commentary】**
- **2024 Financial Performance**: Core EPS growth of 11%, driven by 10.7% ROE redeployment and $0.16 per share savings reinvested in safety. Nonfuel O&M savings of 4% ($350M+), exceeding 2% annual target.
- **Capital & Financing Plan**: $63B 5-year capital plan (2024-2028), with flexibility to prioritize new load growth or extend rate base expansion. 2024 equity issuance completed, maintaining balance sheet strength for investment-grade aspirations.
- **Credit Metrics**: FFO to debt ratio improved to mid-teens, with operating cash flow doubling since 2022. DOE loan closed in January, but not included in base plan.

**【Q&A Key Themes】**
- **Wildfire Fund Sustainability**: State policymakers considering enhancements to AB 1054, including potential funding mechanisms post-Southern California fires. Utility shareholders unlikely to contribute to fund replenishment.
- **Data Center Capital Allocation**: 3 options for integrating new load: add to existing plan, high-grade investments, or extend growth runway. 2025 GRC filing will reflect cost savings and load growth benefits.
- **Rating Agency Progress**: Moody's and others acknowledge financial improvements but await policy clarity on wildfire risk. IG upgrade seen as dependent on stable regulatory environment.


PG&E (PCG)-13 Feb 25-2024 Q4 Earnings call transcript

PG&E (PCG)-7 Nov 24-2024 Q3 Earnings call transcript

PG&E (PCG)-25 Jul 24-2024 Q2 Earnings call transcript

PG&E (PCG)-25 Apr 24-2024 Q1 Earnings call transcript

PG&E (PCG)-22 Feb 24-2023 Q4 Earnings call transcript

- **EPS Guidance Holds**: 2023 EPS $1.19-$1.23, 10%+ 2024 growth despite GRC PD/ADP cash flow headwinds.
- **Undergrounding Momentum**: 100% 2023 construction complete, $2.9M/mile cost vs. $3.5M estimate. 2,000+ workers advancing 350-mile target.
- **Wildfire Fund Progress**: $425M non-cash accrual offset by state claims progress. 2024 cost of capital adjustment seeks 70bp ROE increase.
- **SB 410 Growth**: 17% EV connection volume growth in 2023. 300+ annual distribution projects enabled by timely cost recovery.

**【CEO Opening Remarks】**
- Core EPS for Q3 2023: $0.24, bringing YTD to $0.76. GRC resolution pending CPUC decision, with memo account maintaining 2023 guidance of $1.19-$1.23 EPS.
- 2024 EPS growth target: at least 10%, with 9% for 2025-2026. No new equity issuance through 2024.
- GRC Phase 2 proposes balancing account for SB 410 compliance, capping annual bill impact at 2.5% of electric rates.
- Undergrounding plan: 100% of 2023 heavy construction completed, targeting 20 miles/week through year-end. Cost reduction initiatives (e.g., Lean methods) achieved $2.9M/mile for Vacaville project vs. $3.5M/mile estimate.

**【CFO Financial Highlights】**
- YTD 2023 EPS: $0.76 (Q3: $0.24). O&M cost reductions ($0.03/YTD) reinvested in operations. 2023 EPS guidance reaffirmed despite PD/APD cash flow challenges.
- FFO to debt target: mid-teens by 2024. Concerns over PD/ADP's 36-month amortization period and 25% inflation index adjustment risking balance sheet recovery.
- Wildfire fund receivable: $425M non-cash accrual offset by state Wildfire Fund claims progress. 2024 cost of capital adjustment filing seeks 70bp ROE increase.

**【Q&A Key Takeaways】**
- **GRC Resolution Risk**: Delayed cash flow from PD/ADP could force prioritization of safety investments. No equity issuance through 2024 despite FFO challenges.
- **Undergrounding Execution**: 2,000+ personnel on 350-mile 2023 target. Scale effects (e.g., 50% estimating cycle time reduction) driving cost savings. Regulatory approval critical for 2025+ expansion.
- **SB 410 Impact**: 300+ distribution projects/yr enabled by timely cost recovery. 2023 EV connection volume up 17% vs. 2022. PacGen sale on track for mid-2024 close.
- **Credit Rating Path**: Efficient financing (e.g., FERC TO21 ROE +50bp adder) and cost savings (2%+ O&M reduction) key to mid-teens FFO by 2024.

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