DBA Sempra

Good day and welcome to the SEMPRA Energy First Quarter Earnings Call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Ms. Nellie Molina. Please go ahead.

Good morning, everyone, and welcome to our first quarter 2021 earnings call for Sempra Energy. A live webcast of this teleconference and a slide presentation is available on our website under the Investors section. On the line with us today, we have several members of our management team, including Jeff Martin, Chairman and Chief Executive Officer, Trevor Mihalik, Executive Vice President and Chief Financial Officer, Justin Bird, Chief Executive Officer of Sempra LNG, Alan Nye, Chief Executive Officer of ONCOR, Kevin Zagara, Group President, Lisa LaRock Alexander, Senior Vice President and Chief Sustainability Officer, and Peter Wall, Senior Vice President, Controller, and Chief Accounting Officer. Before starting, I'd like to remind everyone that we'll be discussing forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected in any forward-looking statement we make today. The factors that could cause our actual results to differ materially are discussed in the company's most recent 10-K and 10-Q filed with the SEC. All of the earnings per share amounts in our presentation are shown on a diluted basis and will be discussed in certain non-GAAP financial measures. Please refer to the presentation slides that accompany this call for a reconciliation to GAAP measures. I'd also like to mention that the forward-looking statements contained in this presentation speak only as of today, May 5th, 2021, and the company does not assume any obligation to update or revise any of these forward-looking statements in the future. Lastly, because the offer period for our Yanova exchange offer is open, we're limited in what we can say about the exchange offer, and we will be unable to respond to questions about this transaction. With that, please turn to slide four and let me hand the call over to Jeff.

Thank you, Nelly. I'm pleased with our first quarter results and I think it sets us up well for the balance of 2021. You'll recall we shifted our market focus back to North America several years ago and have been consistently investing new capital in our utility platforms in California and Texas. This strategic focus, together with strong operational execution, are continuing to drive improvements in our financial performance. A second part of our strategy is focused on consolidating our unregulated investments under SEMPRA infrastructure, and we're making great progress there as well. Just last month, we announced our agreement to sell a 20% equity interest in that business to KKR, and it's an important step for two reasons. First, bringing in a new strategic partner allows Semper Infrastructure to strengthen its own balance sheet while also positioning the business to self-fund its future growth. And second, this transaction sends a clear market signal about the value and expected growth of our infrastructure platform. Turning now to the company's financial results, earlier this morning we reported first quarter 2021 adjusted earnings per share of $2.95. we're also affirming our 2021 adjusted EPS guidance range. Now please turn to the next slide where I'll turn the call over to Trevor to provide both business and financial updates.