Sempra Energy 3Q profit climbs 3 pct

Sempra Energy 3rd-qtr profit climbs 3 pct as cheap natural gas bolsters margins

• On 4:01 pm EST, Monday November 9, 2009

SAN DIEGO, Calif. (AP) -- Energy services holding company Sempra Energy on Monday said its third-quarter earnings rose 3 percent, despite falling sales, driven mainly by significantly cheaper natural gas costs.

Super inexpensive natural gas fattened margins for Sempra. Natural gas prices traded between $2.50 and $5 per 1,000 cubic feet in the third quarter. In the same period last year prices nearly reached $14 per 1,000 cubic feet.

Quarterly earnings rose to $317 million, or $1.27 per share, compared with $308 million, or $1.24 per share, during the same period last year.

Analysts polled by Thomson Reuters estimated a profit of $1.19 per share, on average. Analysts typically exclude one-time items.

Revenue declined 31 percent to $1.85 billion, down from $2.69 billion in the prior-year period. Analysts forecast an average revenue of $2.16 billion.

Shares of the company rose $1.19, or 2.3 percent, to $51.94 in afternoon trading.