Sempra Expects Earnings to Beat Forecasts

Sempra Energy, owner of the largest U.S. natural-gas utility, expects to report second-quarter earnings that beat forecasts because its energy-trading business gained from higher oil and natural-gas prices. Profit probably will be about 55 cents a share, Sempra said, topping the 45-cent average estimate of six analysts surveyed by First Call/Thomson Financial. San Diego-based Sempra earned $95 million, or 40 cents a share, in the year-earlier quarter. Sempra’s trading unit buys power, oil and natural gas and resells the commodities to utilities and other large users. Crude prices rose about 25% on the New York Mercantile Exchange in the quarter, while gas jumped about 50%. It expects earnings for the full year to be about $1.95 a share, above First Call’s $1.89 average estimate. It earned $394 million, or $1.66 a share, last year. Sempra plans to report earnings July 27. The company owns Southern California Gas Co. and San Diego Gas & Electric Co., utilities with about 6 million customers in California, and has investments in Mexico and Latin America. Its shares rose 63 cents to close at $17.63 on the NYSE. They’ve fallen 22% in the last year.