We generally account for investments under the equity method when we have significant influence over, but do not have control of, these entities. Equity earnings and losses, both before and net of income tax, are combined and presented as Equity Earnings on the Condensed Consolidated Statements of Operations. Distributions received from equity method investees are classified in the Condensed Consolidated Statements of Cash Flows as either a return on investment in operating activities or a return of investment in investing activities based on the “nature of the distribution” approach. See Note 13 for information on equity earnings and losses, both before and net of income tax, by segment. See Note 1 for information on how equity earnings and losses before income taxes are factored into the calculations of our pretax income or loss and ETR.

We account for our 100% equity ownership interest in Oncor Holdings, which owns an 80.25% interest in Oncor, as an equity method investment. Due to the ring-fencing measures, governance mechanisms and commitments in effect, we do not have the power to direct the significant activities of Oncor Holdings and Oncor. See Note 5 of the Notes to Consolidated Financial Statements in the Annual Report for additional information related to the restrictions on our ability to direct the significant activities of Oncor Holdings and Oncor.

In the six months ended June 30, 2025 and 2024, Sempra contributed $971 million and $385 million, respectively, to Oncor Holdings, and Oncor Holdings distributed $283 million and $214 million, respectively, to Sempra. On July 30, 2025, Sempra contributed $519 million to Oncor Holdings, and on July 29, 2025, Oncor Holdings distributed $175 million to Sempra.


SUMMARIZED FINANCIAL INFORMATION – ONCOR HOLDINGS
(Dollars in millions)
	Three months ended June 30,				Six months ended June 30,
	2025		2024		2025		2024
Operating revenues	$	1,654	$	1,492	$	3,202	$	2,950
Operating expenses	(1,167)		(1,043)		(2,324)		(2,094)
Income from operations	487		449		878		856
Interest expense	(192)		(161)		(377)		(311)
Income tax expense	(57)		(55)		(97)		(104)
Net income	257		248		436		471
NCI held by Texas Transmission Investment LLC	(51)		(50)		(87)		(94)
Earnings attributable to Sempra(1)	206		198		349		377

(1) Excludes adjustments to equity earnings related to amortization of a tax sharing liability associated with a tax sharing agreement and changes in basis differences in AOCI within the carrying value of our equity method investment.

In the six months ended June 30, 2025 and 2024, Sempra Infrastructure contributed $1 million and $2 million, respectively, to Cameron LNG JV, and Cameron LNG JV distributed $233 million and $204 million, respectively, to Sempra Infrastructure.