GENERAL INFORMATION AND OTHER FINANCIAL DATA (Tables)

3 Months Ended

Mar. 31, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Cash and Cash Equivalents

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported on Sempra’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra’s Condensed Consolidated Statements of Cash Flows. We provide information about the nature of restricted cash in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report.

RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH
(Dollars in millions)
	March 31, 2025		December 31, 2024
Sempra:
Cash and cash equivalents	$	1,739	$	1,565
Restricted cash, current	20		21
Restricted cash, noncurrent	3		3
Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows	$	1,762	$	1,589

Accounts Receivable, Allowance for Credit Loss

Changes in allowances for credit losses for trade receivables and other receivables are as follows:

CHANGES IN ALLOWANCES FOR CREDIT LOSSES
(Dollars in millions)
	2025		2024
Sempra:
Allowances for credit losses at January 1	$	514	$	533
Provisions for expected credit losses	(4)		42
Write-offs	(48)		(50)
Allowances for credit losses at March 31	$	462	$	525
SDG&E:
Allowances for credit losses at January 1	$	114	$	144
Provisions for expected credit losses	15		6
Write-offs	(20)		(17)
Allowances for credit losses at March 31	$	109	$	133
SoCalGas:
Allowances for credit losses at January 1	$	285	$	331
Provisions for expected credit losses	9		26
Write-offs	(28)		(33)
Allowances for credit losses at March 31	$	266	$	324

Allowances for credit losses related to trade receivables and other receivables are included in the Condensed Consolidated Balance Sheets as follows:

ALLOWANCES FOR CREDIT LOSSES
(Dollars in millions)
	March 31,		December 31,
	2025		2024
Sempra:
Accounts receivable – trade, net	$	395	$	447
Accounts receivable – other, net	56		53
Other long-term assets(1)	11		14
Total allowances for credit losses	$	462	$	514
SDG&E:
Accounts receivable – trade, net	$	76	$	81
Accounts receivable – other, net	26		25
Other long-term assets(1)	7		8
Total allowances for credit losses	$	109	$	114
SoCalGas:
Accounts receivable – trade, net	$	232	$	251
Accounts receivable – other, net	30		28
Other long-term assets(1)	4		6
Total allowances for credit losses	$	266	$	285

(1)    In January 2024, the CPUC directed SDG&E and SoCalGas to offer long-term repayment plans to eligible residential customers with past-due balances.

Schedule of Related Party Transactions

We summarize amounts due from and to unconsolidated affiliates at the Registrants in the following table.

AMOUNTS DUE FROM (TO) UNCONSOLIDATED AFFILIATES
(Dollars in millions)
	March 31, 2025		December 31, 2024
Sempra:
Tax sharing agreement with Oncor Holdings	$	11	$	8
Various affiliates	4		5
Total due from unconsolidated affiliates – current	$	15	$	13
TAG Pipelines(1):
5.5% Note due January 14, 2026	$	—	$	(8)
5.5% Note due July 14, 2026	—		(12)
5.5% Note due January 19, 2027	—		(15)
5.5% Note due July 21, 2027	(9)		(19)
5.5% Note due January 19, 2028	(48)		(48)
5.5% Note due July 18, 2028	(42)		(41)
5.5% Note due January 22, 2029	(44)		—
TAG Norte – 5.74% Note due December 17, 2029(1)	(212)		(209)
Total due to unconsolidated affiliates – noncurrent	$	(355)	$	(352)
SDG&E:
Sempra	$	(44)	$	(42)
SoCalGas	(9)		(14)
Various affiliates	(14)		(3)
Total due to unconsolidated affiliates – current	$	(67)	$	(59)
Income taxes due from Sempra(2)	$	21	$	38
SoCalGas:
SDG&E	$	32	$	14
Various affiliates	2		2
Total due from unconsolidated affiliates – current	$	34	$	16
Sempra	$	(25)	$	(38)
Total due to unconsolidated affiliates – current	$	(25)	$	(38)
Income taxes due to Sempra(2)	$	(78)	$	(6)

(1)     U.S. dollar-denominated loans at fixed interest rates. Amounts include principal balances plus accumulated interest outstanding and VAT payable to the Mexican government.

(2)    SDG&E and SoCalGas are included in the consolidated income tax return of Sempra, and their respective income tax expense/benefit is computed as an amount equal to that which would result from each company having always filed a separate return. Amounts include current and noncurrent income taxes due from/to Sempra.

The following table summarizes income statement information from unconsolidated affiliates.

INCOME STATEMENT IMPACT FROM UNCONSOLIDATED AFFILIATES
(Dollars in millions)
	Three months ended March 31,
	2025		2024
Sempra:
Revenues	$	9	$	10
Interest expense	4		4
SDG&E:
Revenues	$	6	$	6
Cost of sales	38		40
SoCalGas:
Revenues	$	41	$	44
Cost of sales(1)	(1)		(3)

(1)     Includes net commodity costs from natural gas transactions with unconsolidated affiliates.

Schedule of Inventory, Current

The components of inventories are as follows:

INVENTORY BALANCES
(Dollars in millions)
	Sempra				SDG&E				SoCalGas
	March 31, 2025		December 31, 2024		March 31, 2025		December 31, 2024		March 31, 2025		December 31, 2024
Natural gas	$	105	$	163	$	1	$	1	$	95	$	148
LNG	12		27		—		—		—		—
Materials and supplies	451		369		231		201		143		139
Total	$	568	$	559	$	232	$	202	$	238	$	287

Schedule of Capitalization

The table below summarizes capitalized financing costs, comprised of capitalized interest and AFUDC related to debt.

CAPITALIZED FINANCING COSTS
(Dollars in millions)
	Three months ended March 31,
	2025		2024
Sempra	$	174	$	145
SDG&E	25		26
SoCalGas	25		24

Schedule of Accumulated Other Comprehensive Income (Loss)

The following tables present the changes in AOCI by component and amounts reclassified out of AOCI to net income, after amounts attributable to NCI.

CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT(1)
(Dollars in millions)
	Foreign currency translation adjustments		Financial instruments		Pension and PBOP		Total AOCI
	Three months ended March 31, 2025 and 2024
Sempra:
Balance at December 31, 2024	$	(66)	$	15	$	(115)	$	(166)
OCI before reclassifications	—		(31)		(2)		(33)
Amounts reclassified from AOCI	—		(1)		5		4
Net OCI	—		(32)		3		(29)
Balance at March 31, 2025	$	(66)	$	(17)	$	(112)	$	(195)
Balance at December 31, 2023	$	(36)	$	3	$	(117)	$	(150)
OCI before reclassifications	3		45		2		50
Amounts reclassified from AOCI	—		(6)		2		(4)
Net OCI	3		39		4		46
Balance at March 31, 2024	$	(33)	$	42	$	(113)	$	(104)
SDG&E:
Balance at December 31, 2024 and March 31, 2025					$	(12)	$	(12)
Balance at December 31, 2023 and March 31, 2024					$	(8)	$	(8)
SoCalGas:
Balance at December 31, 2024			$	(10)	$	(17)	$	(27)
OCI before reclassifications			—		(2)		(2)
Amounts reclassified from AOCI			—		4		4
Net OCI			—		2		2
Balance at March 31, 2025			$	(10)	$	(15)	$	(25)
Balance at December 31, 2023			$	(11)	$	(12)	$	(23)
Amounts reclassified from AOCI			—		1		1
Net OCI			—		1		1
Balance at March 31, 2024			$	(11)	$	(11)	$	(22)

(1)    All amounts are net of income tax, if subject to tax, and after NCI.

Reclassifications out of AOCI

RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
(Dollars in millions)
Details about AOCI components	Amounts reclassified from AOCI				Affected line item on Condensed Consolidated Statements of Operations
	Three months ended March 31,
	2025		2024
Sempra:
Financial instruments:
Interest rate instruments	$	(2)	$	(3)	Interest expense
Interest rate instruments	(5)		(5)		Equity earnings(1)
Foreign exchange instruments	2		(3)		Revenues: Energy-related businesses
Foreign exchange instruments	2		(2)		Equity earnings(1)
Total, before income tax	(3)		(13)
	1		3		Income tax expense
Total, net of income tax	(2)		(10)
	1		4		Earnings attributable to noncontrolling interests
Total, net of income tax and after NCI	$	(1)	$	(6)
Pension and PBOP(2):
Amortization of actuarial loss	$	2	$	2	Other income, net
Amortization of prior service cost	—		1		Other income, net
Settlement charges	4		—		Other income, net
Total, before income tax	6		3
	(1)		(1)		Income tax expense
Total, net of income tax	$	5	$	2
Total reclassifications for the period, net of income tax and after NCI	$	4	$	(4)
SoCalGas:
Pension and PBOP(2):
Amortization of actuarial loss	$	1	$	—	Other income, net
Amortization of prior service cost	—		1		Other income, net
Settlement charges	4		—		Other income, net
Total, before income tax	5		1
	(1)		—		Income tax expense
Total, net of income tax	$	4	$	1
Total reclassifications for the period, net of income tax	$	4	$	1

(1)    Equity earnings at Oncor Holdings and our foreign equity method investees are recognized after tax.

(2)    Amounts are included in the computation of net periodic benefit cost (see “Pension and PBOP” below).

Schedule of Net Benefit Costs

The following tables provide the components of net periodic benefit cost. The components of net periodic benefit cost, other than the service cost component, are included in Other Income, Net.

NET PERIODIC BENEFIT COST
(Dollars in millions)
	Pension				PBOP
	Three months ended March 31,
	2025		2024		2025		2024
Sempra:
Service cost	$	32	$	32	$	3	$	4
Interest cost	45		42		10		9
Expected return on assets	(45)		(45)		(16)		(17)
Amortization of:
Prior service cost (credit)	1		1		(1)		(1)
Actuarial loss (gain)	3		3		(3)		(4)
Settlement charges	4		—		—		—
Net periodic benefit cost (credit)	40		33		(7)		(9)
Regulatory adjustments	(28)		(25)		7		9
Total expense recognized	$	12	$	8	$	—	$	—
SDG&E:
Service cost	$	9	$	10	$	1	$	1
Interest cost	12		11		2		2
Expected return on assets	(12)		(12)		(2)		(3)
Amortization of:
Actuarial loss (gain)	2		2		(1)		—
Net periodic benefit cost	11		11		—		—
Regulatory adjustments	(10)		(10)		—		—
Total expense recognized	$	1	$	1	$	—	$	—
SoCalGas:
Service cost	$	19	$	19	$	3	$	3
Interest cost	28		26		7		7
Expected return on assets	(30)		(30)		(14)		(15)
Amortization of:
Prior service cost (credit)	1		1		(1)		(1)
Actuarial loss (gain)	1		—		(2)		(3)
Settlement charges	4		—		—		—
Net periodic benefit cost (credit)	23		16		(7)		(9)
Regulatory adjustments	(18)		(15)		7		9
Total expense recognized	$	5	$	1	$	—	$	—

Schedule of Other Nonoperating Income (Expense)

Other Income, Net, consists of the following:

OTHER INCOME (EXPENSE), NET
(Dollars in millions)
	Three months ended March 31,
	2025		2024
Sempra:
Allowance for equity funds used during construction	$	41	$	37
Investment gains, net(1)	2		16
Foreign currency transaction gains, net	4		1
Non-service components of net periodic benefit cost	23		28
Interest on regulatory balancing accounts, net	21		18
Sundry, net	—		(1)
Total	$	91	$	99
SDG&E:
Allowance for equity funds used during construction	$	19	$	20
Non-service components of net periodic benefit cost	9		10
Interest on regulatory balancing accounts, net	11		7
Sundry, net	1		(4)
Total	$	40	$	33
SoCalGas:
Allowance for equity funds used during construction	$	18	$	17
Non-service components of net periodic benefit cost	17		21
Interest on regulatory balancing accounts, net	10		11
Sundry, net	(3)		(2)
Total	$	42	$	47

(1)    Represents net investment gains (losses) on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are offset by corresponding changes in compensation expense related to the plans, recorded in O&M on the Condensed Consolidated Statements of Operations.

Schedule of Effective Income Tax Rate Reconciliation

We provide our calculations of ETRs in the following table.

INCOME TAX EXPENSE (BENEFIT) AND EFFECTIVE INCOME TAX RATES
(Dollars in millions)
	Three months ended March 31,
	2025			2024
Sempra:
Income tax expense	$	57		$	172
Income before income taxes and equity earnings	$	651		$	705
Equity earnings, before income tax(1)	141			134
Pretax income	$	792		$	839
Effective income tax rate	7		%	21		%
SDG&E:
Income tax expense	$	14		$	40
Income before income taxes	$	295		$	263
Effective income tax rate	5		%	15		%
SoCalGas:
Income tax expense	$	38		$	43
Income before income taxes	$	481		$	402
Effective income tax rate	8		%	11		%

(1)    We discuss how we recognize equity earnings in Note 5 of the Notes to Consolidated Financial Statements in the Annual Report.