Dominion lowers Q3 EPS view 5c-6c from previous guidance of 72c-87c

Consensus is for Q3 EPS 88c. Dominion Energy (D) announced that it has executed three separate definitive agreements to sell its three natural gas distribution companies to Enbridge (ENB). Aggregate transactions value of $14.0B , including the assumption of $4.6B of debt, represents approximately 1.5x estimated 2022 year-end rate base of $9.2B. The assets included in the transactions will be reclassified as discontinued operations for GAAP reporting and excluded from operating earnings for the Q3 and FY23. The company said, “We expect a decrease of 5c-6c per share from the previously announced Q3 operating earnings guidance range of 72c-87c per share for the removal of such assets, which excludes any potential impact from the use of sales proceeds. Given the pending business review, the company has not provided FY23 earnings guidance.”