SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2021

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

We have five separately managed reportable segments, as follows:

▪SDG&E provides electric service to San Diego and southern Orange counties and natural gas service to San Diego County.

▪SoCalGas is a natural gas distribution utility, serving customers throughout most of Southern California and part of central California.

▪Sempra Texas Utilities holds our investment in Oncor Holdings, which owns an 80.25% interest in Oncor, a regulated electric transmission and distribution utility serving customers in the north-central, eastern, western and panhandle regions of Texas; and our indirect, 50% interest in Sharyland Holdings, which owns Sharyland Utilities, a regulated electric transmission utility serving customers near the Texas-Mexico border.

▪Sempra Mexico develops, owns and operates, or holds interests in, natural gas, electric, LNG, LPG, ethane and liquid fuels infrastructure, and has marketing operations for the purchase of LNG and the purchase and sale of natural gas in Mexico.

▪Sempra LNG develops, builds, operates and invests in natural gas liquefaction export facilities, including natural gas pipelines and infrastructure, and buys, sells and transports natural gas through its marketing operations, all within North America.

As we discuss in Note 5, the financial information related to our businesses that constituted the Sempra South American Utilities segment is presented as discontinued operations for all periods presented. The information in the tables below excludes amounts from discontinued operations unless otherwise noted. We completed the sales of our discontinued operations in the second quarter of 2020.

We evaluate each segment’s performance based on its contribution to Sempra Energy’s reported earnings and cash flows. The California Utilities operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC and the FERC. We describe the accounting policies of all of our segments in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report.

The cost of common services shared by the business segments is assigned directly or allocated based on various cost factors, depending on the nature of the service provided. Interest income and expense is recorded on intercompany loans. The loan balances and related interest are eliminated in consolidation.

The following tables show selected information by segment from our Condensed Consolidated Statements of Operations and Condensed Consolidated Balance Sheets. Amounts labeled as “All other” in the following tables consist primarily of activities of parent organizations and include certain nominal amounts from our South American businesses that did not qualify for treatment as discontinued operations.

SEGMENT INFORMATION
(Dollars in millions)
	Three months ended March 31,
	2021		2020
REVENUES
SDG&E	$	1,337	$	1,269
SoCalGas	1,508		1,395
Sempra Mexico	367		309
Sempra LNG	196		123
All other	1		1
Adjustments and eliminations	—		(1)
Intersegment revenues(1)	(150)		(67)
Total	$	3,259	$	3,029
INTEREST EXPENSE
SDG&E	$	102	$	101
SoCalGas	39		40
Sempra Mexico	38		32
Sempra LNG	3		16
All other	83		109
Intercompany eliminations	(6)		(18)
Total	$	259	$	280
INTEREST INCOME
SDG&E	$	1	$	1
SoCalGas	—		1
Sempra Mexico	12		18
Sempra LNG	9		22
Intercompany eliminations	(3)		(15)
Total	$	19	$	27
DEPRECIATION AND AMORTIZATION
SDG&E	$	213	$	201
SoCalGas	173		159
Sempra Mexico	51		47
Sempra LNG	3		2
All other	2		3
Total	$	442	$	412
INCOME TAX EXPENSE (BENEFIT)
SDG&E	$	45	$	58
SoCalGas	94		52
Sempra Mexico	8		(307)
Sempra LNG	49		23
All other	(38)		(33)
Total	$	158	$	(207)
EQUITY EARNINGS (LOSSES)
Equity earnings (losses), before income tax:
Sempra Texas Utilities	$	1	$	—
Sempra LNG	134		57
All other	—		(100)
	135		(43)
Equity earnings, net of income tax:
Sempra Texas Utilities	136		106
Sempra Mexico	47		200
	183		306
Total	$	318	$	263

SEGMENT INFORMATION (CONTINUED)
(Dollars in millions)
	Three months ended March 31,
	2021		2020
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES
SDG&E	$	212	$	262
SoCalGas	407		303
Sempra Texas Utilities	135		105
Sempra Mexico	57		191
Sempra LNG	146		75
Discontinued operations	—		72
All other	(83)		(248)
Total	$	874	$	760
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT
SDG&E	$	555	$	402
SoCalGas	459		388
Sempra Mexico	77		170
Sempra LNG	89		47
All other	1		3
Total	$	1,181	$	1,010
	March 31, 2021		December 31, 2020
ASSETS
SDG&E	$	22,474	$	22,311
SoCalGas	18,981		18,460
Sempra Texas Utilities	12,656		12,542
Sempra Mexico	11,177		10,752
Sempra LNG	2,786		2,205
All other	933		1,209
Intersegment receivables	(1,186)		(856)
Total	$	67,821	$	66,623
EQUITY METHOD AND OTHER INVESTMENTS
Sempra Texas Utilities	$	12,656	$	12,542
Sempra Mexico	888		852
Sempra LNG	513		433
All other	1		1
Total	$	14,058	$	13,828

(1)    Revenues for reportable segments include intersegment revenues of $2 million, $25 million, $10 million and $113 million for the three months ended March 31, 2021 and $1 million, $18 million, $22 million and $26 million for the three months ended March 31, 2020 for SDG&E, SoCalGas, Sempra Mexico and Sempra LNG, respectively.