This excerpt taken from the SRE 8-K filed Feb 22, 2007.
Company Raises 2007 Earnings-Per-Share Guidance to Range of $3.75 to $3.95
SAN DIEGO, Feb. 22, 2007 Sempra Energy (NYSE: SRE) today reported 2006 net income of $1.4 billion, or $5.38 per diluted share, an increase of 53 percent over $920 million, or $3.65 per diluted share, in 2005.
Included in 2006 results was $315 million in after-tax income from discontinued operations related to asset sales. In 2005, Sempra Energy incurred $311 million after-tax in litigation expense related to the Western U.S. energy crisis of 2000-01.
For the full-year 2006, income from continuing operations -- excluding a $204 million gain on the sale of the jointly owned Texas power plants and a $221 million write-down on the companys Argentine investments -- was $1.1 billion, or $4.24 per diluted share, up 21 percent from $913 million, or $3.62 per diluted share in 2005.
Sempra Energys fourth-quarter net income was $125 million, or $0.47 per diluted share, in 2006, compared with $355 million, or $1.38 per diluted share, in 2005.
Fourth-quarter results included the charge related to the Argentine utilities. In the year-earlier quarter, the company recorded an after-tax charge of $116 million for energy-crisis litigation costs.
This was our eighth consecutive year of record earnings, said Donald E. Felsinger, chairman and chief executive officer of Sempra Energy. We are benefiting from a focused strategy. Building natural gas infrastructure in North America and expanding our California utilities remain our top priorities.
Sempra Energys board of directors last week increased the dividend on common shares on an annualized basis to $1.24 per share from $1.20 per share.
Revenues for Sempra Energy in 2006 were $11.8 billion, compared with $11.5 billion in 2005. Fourth-quarter 2006 revenues were $3.2 billion, compared with $3.9 billion in the prior years quarter, due primarily to reduced commodity prices.