PG&E Delivers Strong Q1 2026: Non-GAAP Core Earnings Jump 30%, Electric Rates Down 23% for Vulnerable Customers

Non-GAAP Core Earnings Surge 30% as PG&E Stays on Track for 2026 Targets

PG&E Corporation (NYSE: PCG) kicked off 2026 with a robust first quarter, reporting a 30% year-over-year increase in non-GAAP core earnings per share. For Q1 2026, core EPS landed at $0.43, compared to $0.33 for the same period last year. This metric strips out one-off legal, regulatory, and wildfire-related expenses to give a clearer picture of ongoing operational performance.

The company reaffirmed its full-year 2026 non-GAAP core EPS guidance of $1.64 to $1.66, signaling management’s confidence in continued financial momentum. Meanwhile, GAAP earnings per share clocked in at $0.39—an improvement over $0.28 in Q1 2025—driven largely by rate base growth and successful cost controls.

Table 1: Year-Over-Year Financial Performance (in millions, except per share amounts)

Rate Relief: Electric Bills Down 23% for Most Vulnerable Customers

Beyond earnings, PG&E’s operational push is directly benefiting consumers—especially its most vulnerable customers. Since January 2024, residential bundled electric rates for those enrolled in the CARE program have dropped 23%, marking the fifth consecutive reduction. Other residential customers saw rates fall by 13% over the same period. This expanded affordability comes as the utility delivers on its promise of safer, more reliable, and cleaner energy to its 16 million customers across Northern and Central California.

Grid Upgrades, Clean Energy, and Customer Growth Support a Resilient Outlook

Operationally, PG&E is moving aggressively on infrastructure upgrades and clean energy initiatives. Notably, the company secured approval to keep the Diablo Canyon Power Plant running for another 20 years—a facility responsible for about 20% of California's clean energy production. Eight renewable natural gas (RNG) facilities are now online, with more planned, further diversifying its energy sources and reducing emissions.

Meanwhile, customer connections tell a story of steady growth: Over 3,100 new electric customers and 1,500 electric vehicle charging ports were added to the grid in the first quarter alone. Data center construction is ramping up, too, with 4.6 GW now in final engineering; PG&E estimates that every additional 1 GW of new data center load could cut customer bills by 1% or more, under the right conditions.

Wildfire Mitigation and Cost Reductions Remain Central to Long-Term Strategy

Transparency around wildfire risk—and the investments required to mitigate it—remains a key discussion point for PG&E. The utility completed 31 miles of undergrounded power lines and strengthened 44 miles of poles in high fire-risk areas last quarter. By the end of 2027, it plans more than 1,900 miles of undergrounding and over 2,000 miles of grid hardening, reinforcing its commitment to safety and reliability.

PG&E is also targeting 2-4% annual reductions in non-fuel operating and maintenance costs, helping offset pressure from wildfire-related claims and regulatory costs.

What Does This Mean for Investors?

PG&E’s Q1 2026 results showcase a utility not just stabilizing after past challenges, but actively investing in future-ready infrastructure and cost efficiency. Non-GAAP core EPS growth north of 30%, substantial consumer rate relief, and ongoing safety upgrades paint a picture of a business poised for resilient performance. Investors—and customers alike—have reasons to watch closely as the year unfolds.

For more detailed breakdowns and live discussions, tune into PG&E's Q1 2026 earnings call or explore the full presentation materials at PG&E's Investor Relations.

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