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Sempra Energy Second Quarter Earnings
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SRE
Sempra Energy (NYSE:SRE) announced its results for the second quarter on August 2, 2012. Sempra Energy is an energy services holding company. With its subsidiaries, the company provides electric, natural gas and other energy-rated products and services worldwide. It also focuses on developing energy infrastructure and operating utilities.
Investors care about earnings because they drive stock prices. Strong earnings generally result in the stock price moving up and vice versa. SEE: 5 Tricks Companies Use During Earnings Season
The Numbers: Sempra Energy fell short of estimates with 25 cents per share and revenues of $2.09 billion. Analysts were expecting 80 cents per share and revenues of $2.33 billion. Revenue fell 13.7% from the same period last year while EPS is down 88%. Revenue declined last quarter after shrinking 2.1% to $2.38 billion in the first quarter. Sempra Energy reported net income of $62 million during the second quarter. This is a 87.9% decline from last year. This marks the second quarter in a row that the company's net income has fallen after profits tumbled 8.5% in the first quarter.
Management Quote: "We are pleased with our operating results during the quarter and, after adjusting for the impairment charge, remain on course to meet our 2012 earnings guidance," said Debra L. Reed, chief executive officer of Sempra Energy.
A Look Back: Net income has increased 31.8% year-over-year on average across the last five quarters. The biggest gain came in the second quarter of the last fiscal year, when income climbed more than twofold from the year-earlier quarter.
Looking Ahead: Next quarter's results are expected to be more favorable for the company. Over the past 60 days, the average estimate for the third quarter has reached $1.14 per share, up from $1.12. Increasing earnings estimate is a positive sign about the company and it typically leads a increase in the stock price. At $4.15 per share, the average estimate for the fiscal year has risen from $4.09 60 days ago.
Investors care about earnings because they drive stock prices. Strong earnings generally result in the stock price moving up and vice versa. SEE: 5 Tricks Companies Use During Earnings Season
The Numbers: Sempra Energy fell short of estimates with 25 cents per share and revenues of $2.09 billion. Analysts were expecting 80 cents per share and revenues of $2.33 billion. Revenue fell 13.7% from the same period last year while EPS is down 88%. Revenue declined last quarter after shrinking 2.1% to $2.38 billion in the first quarter. Sempra Energy reported net income of $62 million during the second quarter. This is a 87.9% decline from last year. This marks the second quarter in a row that the company's net income has fallen after profits tumbled 8.5% in the first quarter.
Management Quote: "We are pleased with our operating results during the quarter and, after adjusting for the impairment charge, remain on course to meet our 2012 earnings guidance," said Debra L. Reed, chief executive officer of Sempra Energy.
A Look Back: Net income has increased 31.8% year-over-year on average across the last five quarters. The biggest gain came in the second quarter of the last fiscal year, when income climbed more than twofold from the year-earlier quarter.
Looking Ahead: Next quarter's results are expected to be more favorable for the company. Over the past 60 days, the average estimate for the third quarter has reached $1.14 per share, up from $1.12. Increasing earnings estimate is a positive sign about the company and it typically leads a increase in the stock price. At $4.15 per share, the average estimate for the fiscal year has risen from $4.09 60 days ago.
by
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