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PG&E Corporation PCG is scheduled to report first-quarter 2025 results on April 24, before market open.
In the last reported quarter, the company’s earnings per share came in line with the Zacks Consensus Estimate. PCG delivered a four-quarter average earnings surprise of 6.17%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Let’s take a closer look at the factors that are likely to be reflected in PG&E’s upcoming quarterly results.
Factors to Note Ahead of PCG’s Q1 Earnings
During the first quarter, PCG’s service territories observed a moderate temperature pattern, ranging from warmer-than-normal for most parts to average temperature patterns for others. So, the overall impact of weather on PCG’s quarterly revenues can be expected to have been moderate.
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However, significant wildfires affected larger areas of California in the first quarter, which forced the company to temporarily shut its power supply to some of its customers. This outage might have an adverse impact on PCG’s overall top-line results.
Nevertheless, favorable outcomes from PCG’s earlier approved general rate case filings might have bolstered the company’s first-quarter revenue performance.
In February, heavy rainfall, landslides and floods hit PG&E’s service areas. These, along with the aforementioned wildfires, might have damaged some of the company’s infrastructure, pushing up its operating & maintenance (O&M) costs, which is expected to have hurt its first-quarter earnings.
However, solid sales growth expectations, along with PCG’s efforts to reduce its non-fuel O&M expenses, are likely to have contributed to its overall earnings performance to some extent.
PCG’s Q1 Expectations
The Zacks Consensus Estimate for sales is pegged at $6.11 billion, which indicates year-over-year growth of 4.2%.
The consensus estimate for earnings is pegged at 36 cents, which calls for a year-over-year decline of 2.7%.
What the Zacks Model Unveils for PCG
Our proven model does not conclusively predict an earnings beat for PG&E this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as you will see below.
Earnings ESP: The company’s Earnings ESP is -6.94%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: PCG currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.