PG&E Reaffirms 2026 and 2027 Core Earnings Outlook

The Tip Desk · October 27, 2026 · 3 min read

Third-quarter GAAP earnings were $0.34 a share as PG&E Corporation is implementing a previously announced $2 billion reduction to its 2027 capital plan.

PG&E Corporation (PCG) reported third-quarter 2026 GAAP earnings of $0.34 a share, down from $0.37 a year earlier, and said it remains on track for full-year 2026 non-GAAP core earnings of $1.64 to $1.66 a share.

The Oakland holding company, parent of Pacific Gas and Electric Company, which serves 16 million Californians, also reaffirmed 2027 non-GAAP core EPS guidance of $1.78 to $1.82 a share, alongside the previously reaffirmed 2026 range.

Income available for common shareholders was $749 million, or $0.34 a diluted share, versus $823 million, or $0.37 a share, in the third quarter of 2025. The company said the decline was driven primarily by a lower CPUC return on equity in effect during 2026, one-time catch-up effects of a 2025 tax-methodology change, and higher Wildfire Fund expense, partly offset by earnings on a larger rate base and net operating-and-maintenance savings.

Non-GAAP core earnings were $928 million, or $0.41 a share, compared with $1,142 million, or $0.50 a share, a year earlier. The company said the core decline tracked similar factors to GAAP earnings except for Wildfire Fund expense. Non-core items totaled $156 million after tax, or $0.07 a share, versus $295 million, or $0.13 a share, a year earlier.

Sequentially, GAAP earnings were $0.33 a share in the second quarter after $0.39 in the first. Non-GAAP core EPS was $0.40 in the second quarter after $0.43 in the first.

Total operating revenues were $6.19 billion in the third quarter, compared with $6.25 billion a year earlier. Electric operating revenues were $4.66 billion and natural gas $1.53 billion. Operating income was $1.25 billion. Wildfire Fund expense was $141 million, versus $86 million a year earlier. Operating and maintenance expense was $2.54 billion.

The company said it is implementing a previously announced $2 billion reduction to its 2027 capital plan and remains on track for a 2-4% non-fuel O&M cost-reduction target. A strategic review is advancing with the goal of becoming a financially strong, investment-grade company.

Pacific Gas and Electric Company filed a 5,000-mile undergrounding plan with California regulators designed to reduce wildfire risk by 98% and outages by 90% on lines moved underground, which the company said is expected to deliver an estimated $117 billion in long-term benefits. The utility connected more than 4,240 electric customers and 3,000 EV charging ports in the quarter, after more than 3,930 customers and 2,460 ports in the second quarter.

The company energized 174 megawatts of new data-center projects since 2024 and launched a virtual power plant demonstration with Google and Rewiring America targeting more than 20,000 customer energy devices and 12 megawatts of distributed energy resources by 2028. It said that with appropriate pricing, every one gigawatt of new data-center load could help customers save 1% or more on their monthly electric bill.

Chief executive Patti Poppe said the company still believes California needs a durable wildfire liability framework that delivers for customers and investors, and that safety remains the foundation as it strengthens energy infrastructure.