Core Thesis - PG&E Corporation (NYSE: PCG) is transitioning from a low-growth regulated utility to a company with much faster earnings growth, benefiting from strong secular tailwinds such as rising power demand [1] Investment Approach - The investment strategy focuses on identifying undervalued companies with long-term growth potential, blending value investing principles with a focus on long-term growth [1] - The approach emphasizes buying quality companies at a discount to their intrinsic value and holding them for the long term to allow for compounding of earnings and shareholder returns [1]

Group 1 - PG&E (PCG) has experienced significant selling pressure, resulting in a 10.1% decline in stock price over the past four weeks, but analysts anticipate better earnings than previously predicted [1] - The stock is currently in oversold territory, indicated by an RSI reading of 29.65, suggesting a potential trend reversal is imminent [5] - There has been a consensus among sell-side analysts to raise earnings estimates for PCG, leading to a 0.1% increase in the consensus EPS estimate over the last 30 days, which typically correlates with price appreciation [6] Group 2 - PCG holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [7]

Core Insights - PG&E is experiencing significant new data center load growth, with 1.4 GW expected from 15 customers across 27 unique sites over the next five years [1] - The company estimates that for every 1,000 MW (1 GW) of new electric demand from data centers, customers may save between 1-2% on their monthly bills in the long term [2] - PG&E's cluster study aims to efficiently meet the energy needs of large loads like data centers by grouping applications together for quicker confirmation and connection [3] Group 1: Load Growth and Customer Benefits - The addition of new electric demand from data centers allows PG&E to better utilize its existing power infrastructure, leading to cost savings for customers [2][4] - PG&E is pursuing load growth in a thoughtful manner, which is expected to lower customer bills while serving the innovation capital of the world [4] - The anticipated steady demand growth from large load transmission customers, including data centers, is expected to improve reliability and lower electric rates by spreading costs over more units of energy [8] Group 2: Regulatory and Process Improvements - PG&E has submitted a proposal for a new Rule 30 tariff to streamline the interconnection process for new electric retail transmission customers, including data centers [5][6] - The Rule 30 tariff allows large load customers to fund their projects upfront, which accelerates PG&E's ability to serve them while protecting existing customers from infrastructure costs if the load does not materialize [7] - This new approach aims to improve PG&E's ability to meet customer requested in-service dates and enhance overall service efficiency [7]

Financial Data and Key Metrics Changes - Core earnings per share for Q4 2024 were $0.31, leading to a total of $1.36 for the year, representing an 11% growth over 2023 [8][44] - The updated guidance for 2025 EPS is set between $1.48 and $1.52, reflecting a 10% increase from 2024 results [9][10] - The company achieved a 4% reduction in non-fuel O&M costs in 2024, building on previous savings [11][58] Business Line Data and Key Metrics Changes - Higher customer capital investment contributed $0.26 to the core earnings, with a return on equity (ROE) of 10.7% [44] - Redeployment of $0.16 for risk mitigation programs, including inspections and maintenance, was noted [46] Market Data and Key Metrics Changes - The company reported that combined residential gas and electric bills remained flat in January 2025 compared to January 2024, indicating effective cost management [12][62] Company Strategy and Development Direction - PG&E is focused on a $63 billion capital investment plan through 2028, with an additional $5 billion in incremental investment needs anticipated [47][48] - The company aims to achieve a dividend payout ratio of 20% of core EPS by 2028, with consistent annual increases [10][11] - The strategy includes a focus on beneficial load growth, particularly from data centers, with 5.5 gigawatts of new potential load in the pipeline [36][76] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the effectiveness of the AB 1054 framework for wildfire risk mitigation, while acknowledging the need for ongoing improvements [17][19] - The company is optimistic about legislative support for necessary adjustments to the wildfire fund to ensure investor confidence [85][101] Other Important Information - PG&E has implemented advanced technologies for wildfire mitigation, including situational awareness tools and risk-informed inspection protocols [31][132] - The company has seen a significant increase in demand for electric service from data centers and other large load customers, which is expected to positively impact customer bills [35][36] Q&A Session Summary Question: Concerns about the California wildfire construct and funding - Management acknowledged the need for discussions on the longevity of the wildfire fund and recognized the importance of leadership on this issue [73][74] Question: Load expectations for data centers and infrastructure investment - Management confirmed that the current demand is being met with existing infrastructure, with no immediate need for new generation capacity [78] Question: Legislative process and urgency regarding wildfire funding - Management indicated that improvements to the wildfire fund could be made before year-end, emphasizing the importance of attracting capital for infrastructure [84][85] Question: Firefighting capabilities and investment - Management stated that while they do not need to invest in firefighting resources, they will continue to support community fire-hardening efforts [110] Question: Investment framework for data centers - Management confirmed that the investment framework of $0.5 billion to $1.6 billion per gigawatt remains valid, with flexibility in capital planning [115][118] Question: Credit rating discussions with agencies - Management reported productive conversations with rating agencies, emphasizing improved credit metrics and ongoing efforts to enhance financial health [137][138]

Core Insights - PG&E Corporation (PCG) reported fourth-quarter 2024 adjusted earnings per share (EPS) of 31 cents, a 34% decline from 47 cents in the same quarter last year, but in line with the Zacks Consensus Estimate [1] - The company reported full-year adjusted earnings of $1.36 per share for 2024, an increase from $1.23 in the previous year, also meeting the Zacks Consensus Estimate [2] - PG&E's total revenues for 2024 were $24.42 billion, slightly lower than $24.43 billion in 2023 and missing the Zacks Consensus Estimate of $24.96 billion [3] Financial Performance - Total operating expenses for 2024 were $19.96 billion, an 8.3% decrease from the prior year, with operating income rising to $4.46 billion from $2.67 billion [4] - Interest expenses increased to $3.05 billion from $2.85 billion in the previous year [4] Financial Condition - As of December 31, 2024, cash and cash equivalents were $0.94 billion, up from $0.64 billion a year earlier [5] - Net cash flow from operating activities was $8.04 billion in 2024, compared to $4.75 billion at the end of 2023 [5] - Capital expenditures rose to $10.37 billion from $9.71 billion in 2023, while long-term debt increased to $53.57 billion from $50.98 billion [5] Future Guidance - PG&E updated its adjusted EPS guidance for 2025 to a range of $1.48-$1.52 per share, higher than the previous guidance of $1.47-$1.51, with the Zacks Consensus Estimate at $1.49 per share [6] Market Position - PG&E currently holds a Zacks Rank of 3 (Hold) [7]

2024 FOURTH QUARTER AND FULL YEAR EARNINGS Delivering For Customers AND Investors February 13, 2025 1 Forward-Looking Statements This presentation contains statements regarding PG&E Corporation's and Pacific Gas and Electric Company's (the "Utility") future performance, including expectations, objectives, and forecasts about operating results (including 2025 non-GAAP core earnings), debt and equity issuances, rate base growth, capital expenditures, cash flow, cost savings, customer bills, wildfire risk miti ...

PG&E (PCG) came out with quarterly earnings of $0.31 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.47 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this utility holding company would post earnings of $0.32 per share when it actually produced earnings of $0.37, delivering a surprise of 15.63%.Over the last four quarters, the company has surpassed consensus EPS estimates three times.PG&E, which belongs to th ...

OAKLAND, Calif., Feb. 13, 2025 /PRNewswire/ -- PG&E Corporation (NYSE: PCG) delivered solid financial results in 2024 and is on track to deliver beyond: GAAP earnings were $0.30 per share for the fourth quarter of 2024, compared to earnings of $0.43 for the same period in 2023. GAAP earnings were $1.15 per share for the full year of 2024, compared to earnings of $1.05 per share for the same period in 2023. Non-GAAP core earnings were $0.31 per share for the fourth quarter of 2024, compared to earnings of $0 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________________________________________________ FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to ___________ | Commission | Exact Name of Registrant | State or Other Jurisdi ...

Investor Relations: invrel@pge-corp.com | Media: 415.973.5930 | www.pgecorp.com February 13, 2025 PG&E Corporation Delivers on Guidance for Full-Year 2024 and Updates 2025 Earnings Guidance OAKLAND — PG&E Corporation (NYSE: PCG) delivered solid financial results in 2024 and is on track to deliver beyond: Operational progress during 2024 continued to focus on physical safety and delivery of affordable and resilient energy: • GAAP earnings were $0.30 per share for the fourth quarter of 2024, compared to earni ...