ATLANTA, Feb. 20, 2020 /PRNewswire/ -- Southern Company
today reported fourth-quarter 2019 earnings of $440 million, or 42
cents per share, compared with $278
million, or 27 cents per
share, in the fourth quarter of 2018. Southern Company also
reported full-year 2019 earnings of $4.74
billion, or $4.53 per share,
compared with earnings of $2.23
billion, or $2.18 per share,
in 2018.
Excluding the items described in the "Net Income –
Excluding Items" table below, Southern Company earned $283 million, or 27
cents per share, during the fourth quarter of 2019, compared
with $256 million, or 25 cents per share, during the fourth quarter of
2018. For the full year 2019, excluding these items, Southern
Company earned $3.25 billion, or
$3.11 per share, compared with
earnings of $3.13 billion, or
$3.07 per share, in 2018.
Non-GAAP Financial
Measures
|
Three Months Ended
December
|
|
Year-to-Date
December
|
Net Income -
Excluding Items (in millions)
|
2019
|
2018
|
|
2019
|
2018
|
Net Income - As
Reported
|
$440
|
$278
|
|
$4,739
|
$2,226
|
Less:
|
|
|
|
|
|
Acquisition, Disposition, and Integration Impacts
|
39
|
(58)
|
|
2,516
|
35
|
Tax
Impact
|
48
|
11
|
|
(1,081)
|
(294)
|
Estimated Loss on Plants Under Construction
|
(11)
|
6
|
|
(27)
|
(1,102)
|
Tax
Impact
|
(4)
|
94
|
|
-
|
376
|
Wholesale Gas Services
|
136
|
(41)
|
|
215
|
42
|
Tax
Impact
|
(34)
|
14
|
|
(52)
|
(4)
|
Asset
Impairment
|
(16)
|
-
|
|
(108)
|
-
|
Tax
Impact
|
(1)
|
-
|
|
26
|
-
|
Litigation Settlement
|
-
|
-
|
|
-
|
24
|
Tax
Impact
|
-
|
-
|
|
-
|
(6)
|
Earnings Guidance Comparability Item:
|
|
|
|
|
|
Adoption
of Tax Reform
|
-
|
(4)
|
|
-
|
27
|
Net Income –
Excluding Items
|
$283
|
$256
|
|
$3,250
|
$3,128
|
Average Shares
Outstanding – (in
millions)
|
1,052
|
1,034
|
|
1,046
|
1,020
|
Basic Earnings Per
Share – Excluding Items
|
$0.27
|
$0.25
|
|
$3.11
|
$3.07
|
NOTE: For more information regarding these non-GAAP adjustments,
see the footnotes accompanying the Financial Highlights page of the
earnings package.
Earnings drivers for the full year 2019 were positively
influenced by higher earnings at our state-regulated utilities,
more than offsetting the impact of divested entities on earnings.
The increases reflect the continued impacts of tax reform,
including related changes in capital structure, as well as
continued investment at our state-regulated utilities, along with
customer growth, offset by declines in customer usage.
"By all accounts, 2019 was an outstanding year for Southern
Company, as we performed well across a broad range of metrics,"
said Chairman, President and CEO Thomas A.
Fanning. "Operational performance at our state-regulated
utilities was superb, with record generation and transmission
reliability. Nicor Gas reliably delivered natural gas to customers
in Illinois during unprecedented
cold temperatures. We continued to decarbonize our generation fleet
and we saw constructive outcomes in several key regulatory
proceedings."
"At Georgia Power's Plant Vogtle, we accomplished all major 2019
milestones associated with the construction of new nuclear units 3
and 4," added Fanning. "We have refined our aggressive site work
plan for the project, which will serve as a tool to drive improved
productivity to achieve the regulatory-approved in-service dates of
November 2021 for Unit 3 and
November 2022 for Unit 4."
Fourth quarter 2019 operating revenues were $4.91 billion, compared with $5.34 billion for the fourth quarter of 2018, a
decrease of 7.9 percent. Operating revenues for the full year 2019
were $21.42 billion, compared with
$23.50 billion in 2018, a decrease of
8.8 percent. These decreases reflect the dispositions of Gulf
Power and other assets.
Southern Company's fourth quarter earnings slides with
supplemental financial information are available at
http://investor.southerncompany.com.
Southern Company's financial analyst call will begin at
1 p.m. Eastern Time today, during
which Fanning and Chief Financial Officer Andrew W. Evans will discuss earnings and
provide a general business update, including earnings guidance for
2020. Investors, media and the public may listen to a live webcast
of the call and view associated slides at
http://investor.southerncompany.com/webcasts. A replay of the
webcast will be available on the site for 12 months.
About Southern Company
Southern Company (NYSE: SO) is
a leading energy company serving 9 million customers through its
subsidiaries. The company provides clean, safe, reliable and
affordable energy through electric operating companies in three
states, natural gas distribution companies in four states, a
competitive generation company serving wholesale customers across
America, a leading distributed energy infrastructure company, a
fiber optics network and telecommunications services. Southern
Company brands are known for excellent customer service, high
reliability and affordable prices below the national average. For
more than a century, we have been building the future of energy and
developing the full portfolio of energy resources, including
carbon-free nuclear, advanced carbon capture technologies, natural
gas, renewables, energy efficiency and storage technology. Through
an industry-leading commitment to innovation and a low-carbon
future, Southern Company and its subsidiaries develop the
customized energy solutions our customers and communities require
to drive growth and prosperity. Our uncompromising values ensure we
put the needs of those we serve at the center of everything we do
and govern our business to the benefit of our world. Our corporate
culture and hiring practices have been recognized nationally by the
U.S. Department of Defense, G.I. Jobs magazine, DiversityInc, Black
Enterprise, Forbes and the Women's Choice Award. To learn more,
visit www.southerncompany.com.
Cautionary Note Regarding Forward-Looking
Statements:
Certain information contained in this
release is forward-looking information based on current
expectations and plans that involve risks and uncertainties.
Forward-looking information includes, among other things,
statements concerning expected schedule for completion of Plant
Vogtle units 3 and 4. Southern Company cautions that there are
certain factors that can cause actual results to differ materially
from the forward-looking information that has been provided. The
reader is cautioned not to put undue reliance on this
forward-looking information, which is not a guarantee of future
performance and is subject to a number of uncertainties and other
factors, many of which are outside the control of Southern Company;
accordingly, there can be no assurance that such suggested results
will be realized. The following factors, in addition to those
discussed in Southern Company's Annual Report on Form 10-K for the
year ended December 31, 2019 and
subsequent securities filings, could cause actual results to differ
materially from management expectations as suggested by such
forward-looking information: the ability to control costs and avoid
cost and schedule overruns during the development, construction,
and operation of facilities or other projects, including Plant
Vogtle Units 3 and 4, which includes components based on new
technology that only within the last few years began initial
operation in the global nuclear industry at this scale, and
including changes in labor costs, availability and productivity;
challenges with management of contractors or vendors; subcontractor
performance; adverse weather conditions; shortages, delays,
increased costs, or inconsistent quality of equipment, materials,
and labor; contractor or supplier delay; delays due to judicial or
regulatory action; nonperformance under construction, operating, or
other agreements; operational readiness, including specialized
operator training and required site safety programs; engineering or
design problems; design and other licensing-based compliance
matters, including, for nuclear units, the timely submittal by
Southern Nuclear of the Inspections, Tests, Analyses, and
Acceptance Criteria documentation for each unit and the related
reviews and approvals by the U.S. Nuclear Regulatory Commission
("NRC") necessary to support NRC authorization to load fuel;
challenges with start-up activities, including major equipment
failure, system integration or regional transmission upgrades;
and/or operational performance; the ability to overcome or mitigate
the current challenges at Plant Vogtle Units 3 and 4 that could
impact the cost and schedule for the project; legal proceedings and
regulatory approvals and actions related to construction projects,
such as Plant Vogtle Units 3 and 4 and pipeline projects, including
Public Service Commission approvals and Federal Energy Regulatory
Commission and NRC actions; under certain specified circumstances,
a decision by holders of more than 10% of the ownership interests
of Plant Vogtle Units 3 and 4 not to proceed with construction and
the ability of other Vogtle owners to tender a portion of their
ownership interests to Georgia Power following certain construction
cost increases; in the event Georgia Power becomes obligated to
provide funding to Municipal Electric Authority of Georgia ("MEAG") with respect to the portion
of MEAG's ownership interest in Plant Vogtle Units 3 and 4
involving Jacksonville Electric Authority, any inability of Georgia
Power to receive repayment of such funding; the ability to
construct facilities in accordance with the requirements of permits
and licenses (including satisfaction of NRC requirements), to
satisfy any environmental performance standards and the
requirements of tax credits and other incentives, and to integrate
facilities into the Southern Company system upon completion of
construction; the inherent risks involved in operating and
constructing nuclear generating facilities; the ability of
counterparties of Southern Company and its subsidiaries to make
payments as and when due and to perform as required; the direct or
indirect effect on the Southern Company system's business resulting
from cyber intrusion or physical attack and the threat of physical
attacks; catastrophic events such as fires, earthquakes,
explosions, floods, tornadoes, hurricanes and other storms,
droughts, pandemic health events or other similar occurrences; and
the direct or indirect effects on the Southern Company system's
business resulting from incidents affecting the U.S. electric grid,
natural gas pipeline infrastructure, or operation of generating or
storage resources. Southern Company expressly disclaims any
obligation to update any forward‐looking information.
|
Southern
Company
|
Financial
Highlights
|
(In Millions of
Dollars Except Earnings Per Share)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
Net Income–As
Reported (See Notes)
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
Traditional Electric
Operating Companies
|
|
$
|
210
|
|
|
$
|
407
|
|
|
$
|
2,929
|
|
|
$
|
2,117
|
|
Southern
Power
|
|
23
|
|
|
(48)
|
|
|
339
|
|
|
187
|
|
Southern Company
Gas
|
|
238
|
|
|
78
|
|
|
585
|
|
|
372
|
|
Total
|
|
471
|
|
|
437
|
|
|
3,853
|
|
|
2,676
|
|
Parent Company
and Other
|
|
(31)
|
|
|
(159)
|
|
|
886
|
|
|
(450)
|
|
Net
Income–As Reported
|
|
$
|
440
|
|
|
$
|
278
|
|
|
$
|
4,739
|
|
|
$
|
2,226
|
|
|
|
|
|
|
|
|
|
|
Basic Earnings
Per Share1
|
|
$
|
0.42
|
|
|
$
|
0.27
|
|
|
$
|
4.53
|
|
|
$
|
2.18
|
|
|
|
|
|
|
|
|
|
|
Average Shares
Outstanding (in millions)
|
|
1,052
|
|
|
1,034
|
|
|
1,046
|
|
|
1,020
|
|
End of Period
Shares Outstanding (in millions)
|
|
|
|
|
|
1,053
|
|
|
1,034
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Financial
Measures
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
Net
Income–Excluding Items (See Notes)
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
Net Income–As
Reported
|
|
$
|
440
|
|
|
$
|
278
|
|
|
$
|
4,739
|
|
|
$
|
2,226
|
|
Less:
|
|
|
|
|
|
|
|
|
Acquisition,
Disposition, and Integration Impacts2
|
|
39
|
|
|
(58)
|
|
|
2,516
|
|
|
35
|
|
Tax Impact
|
|
48
|
|
|
11
|
|
|
(1,081)
|
|
|
(294)
|
|
Estimated Loss on
Plants Under Construction3
|
|
(11)
|
|
|
6
|
|
|
(27)
|
|
|
(1,102)
|
|
Tax Impact
|
|
(4)
|
|
|
94
|
|
|
—
|
|
|
376
|
|
Wholesale Gas
Services4
|
|
136
|
|
|
(41)
|
|
|
215
|
|
|
42
|
|
Tax Impact
|
|
(34)
|
|
|
14
|
|
|
(52)
|
|
|
(4)
|
|
Asset
Impairment5
|
|
(16)
|
|
|
—
|
|
|
(108)
|
|
|
—
|
|
Tax Impact
|
|
(1)
|
|
|
—
|
|
|
26
|
|
|
—
|
|
Litigation
Settlement6
|
|
—
|
|
|
—
|
|
|
—
|
|
|
24
|
|
Tax Impact
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6)
|
|
Earnings Guidance
Comparability Item:
|
|
|
|
|
|
|
|
|
Adoption of Tax
Reform6
|
|
—
|
|
|
(4)
|
|
|
—
|
|
|
27
|
|
Net
Income–Excluding Items
|
|
$
|
283
|
|
|
$
|
256
|
|
|
$
|
3,250
|
|
|
$
|
3,128
|
|
|
|
|
|
|
|
|
|
|
Basic Earnings
Per Share–Excluding Items
|
|
$
|
0.27
|
|
|
$
|
0.25
|
|
|
$
|
3.11
|
|
|
$
|
3.07
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern
Company
|
|
Financial
Highlights
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Dilutive impacts are
immaterial ($0.03 or less per share) in all periods. Diluted
earnings per share was $0.42 and $4.50 for the three and twelve
months ended December 31 2019, respectively, and $0.27 and $2.17
for the three and twelve months ended December 31, 2018,
respectively.
|
|
|
(2)
|
Earnings for the
three months ended December 31, 2019 include: (i) a $70 million
pre-tax ($102 million after- tax)
increase for the gain on the sale of Gulf Power; (ii) a $24 million
pre-tax ($17 million after-tax) impairment charge in contemplation
of the pending sale of Pivotal LNG and Atlantic Coast Pipeline; and
(iii) a net $7 million pre-tax reduction to earnings (net $2
million after-tax increase to earnings) of other acquisition,
disposition, and integration impacts. Earnings for the twelve months ended December 31,
2019 include: (i) a $2.6 billion pre-tax ($1.4 billion after-tax)
gain on the sale of Gulf Power; (ii) a $23 million pre-tax ($88
million after-tax) gain on the sale of Plant Nacogdoches; and (iii)
$18 million pre tax ($11 million after tax) of other acquisition,
disposition, and integration impacts, partially offset by: (i) a
$58 million pre-tax ($52 million after-tax) net loss, including
impairment charges, associated with the sales of PowerSecure's
utility infrastructure services and lighting businesses and (ii) a
$24 million pre-tax ($17 million after-tax) impairment charge in
contemplation of the pending sale of Pivotal LNG and Atlantic Coast
Pipeline. Earnings for the three months ended December 31, 2018
include: (i) a net combined $27 million pre-tax loss (net combined
$15 million after-tax loss) to reflect the final adjustments for
the sales of Elizabethtown Gas, Elkton Gas, Florida City Gas, and
Pivotal Home Solutions and (ii) other acquisition, disposition, and
integration costs of $31 million pre tax ($32 million after tax).
Earnings for the twelve months ended December 31, 2018 include: (i)
a net combined $249 million pre-tax gain ($93 million after-tax
loss) on the sales of Elizabethtown Gas, Elkton Gas, Florida City
Gas, and Pivotal Home Solutions, including a related
impairmentcharge; (ii) a $119 million pre-tax ($89 million
after-tax) impairment charge associated with the sales of Plants
Stanton and Oleander; and (iii) $95 million pre tax ($77 million
after tax) of other acquisition, disposition, and integration
costs. Further impacts are expected to be recorded in 2020 in
connection with the sale of Plant Mankato and the pending sale of
Pivotal LNG and Atlantic Coast Pipeline.
|
|
|
(3)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
charges, associated legal expenses, and tax impacts related to
Mississippi Power's integrated coal gasification combined cycle
facility project in Kemper County, Mississippi. Additionally, the
three and twelve months ended December 31, 2018 include a $95
million credit to earnings primarily resulting from the reduction
of a related state income tax valuation allowance. Mississippi
Power expects to substantially complete mine reclamation activities
in 2020 and dismantlement of the abandoned gasifier-related assets
and site restoration activities by 2024. The additional pre-tax
period costs associated with these activities, including related
costs for compliance and safety, asset retirement obligation
accretion, and property taxes, are estimated to total $17 million
in 2020, $15 to $16 million annually in 2021through 2023, and $5
million in 2024. Earnings for the twelve months ended December 31,
2018 also include a $1.1 billion charge ($0.8 billion after tax)
for an estimated probable loss on Georgia Power's construction of
Plant Vogtle Units 3 and 4. Further charges for Georgia Power's
Plant Vogtle Units 3 and 4 may occur; however, the amount and
timing of any such charges are uncertain.
|
|
|
|
|
|
|
|
|
|
|
(4)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
Wholesale Gas Services business results. Presenting earnings and
earnings per share excluding Wholesale Gas Services provides an
additional measure of operating performance that excludes the
volatility resulting from mark-to-market and lower of weighted
average cost or current market price accounting
adjustments.
|
|
|
|
|
|
|
|
|
|
|
(5)
|
Earnings for the
twelve months ended December 31, 2019 include a pre-tax impairment
charge of $91 million ($69
million after tax) associated with a natural gas storage facility
and earnings for the three months ended December 31, 2019 include
an adjustment of $(1) million pre tax ($4 million after tax) of
this impairment charge. Additionally, earnings for the three and
twelve months ended December 31, 2019 include a pre-tax impairment
charge of $17 million ($13 million after tax) related to a
leveraged lease. Additional impairment charges associated with
other natural gas storage facilities or this leveraged lease
investment may occur; however, the amount and timing of any such
charges are uncertain.
|
|
|
|
|
|
|
|
|
|
|
(6)
|
Earnings for the
twelve months ended December 31, 2018 include the settlement
proceeds of Mississippi Power's claim for lost revenue resulting
from the 2010 Deepwater Horizon oil spill and earnings for the
three and twelve months ended December 31, 2018 include additional
net tax benefits as a result of implementing federal tax reform
legislation.
Additional proceeds
or adjustments are not expected.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern
Company
|
Significant Factors Impacting
EPS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
Earnings Per
Share–
|
|
|
|
|
|
|
|
|
|
|
|
As
Reported1 (See Notes)
|
$
|
0.42
|
|
|
$
|
0.27
|
|
|
$
|
0.15
|
|
|
$
|
4.53
|
|
|
$
|
2.18
|
|
|
$
|
2.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Significant
Factors:
|
|
|
|
|
|
|
|
|
|
|
|
Traditional
Electric Operating Companies
|
|
|
|
|
$
|
(0.19)
|
|
|
|
|
|
|
$
|
0.80
|
|
Southern
Power
|
|
|
|
|
0.07
|
|
|
|
|
|
|
0.15
|
|
Southern Company
Gas
|
|
|
|
|
0.15
|
|
|
|
|
|
|
0.21
|
|
Parent Company and
Other
|
|
|
|
|
0.13
|
|
|
|
|
|
|
1.30
|
|
Increase in
Shares
|
|
|
|
|
(0.01)
|
|
|
|
|
|
|
(0.11)
|
|
Total–As
Reported
|
|
|
|
|
$
|
0.15
|
|
|
|
|
|
|
$
|
2.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
Non-GAAP Financial
Measures
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
Earnings Per
Share–
|
|
|
|
|
|
|
|
|
|
|
|
Excluding Items
(See Notes)
|
$
|
0.27
|
|
|
$
|
0.25
|
|
|
$
|
0.02
|
|
|
$
|
3.11
|
|
|
$
|
3.07
|
|
|
$
|
0.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total–As
Reported
|
|
|
|
|
$
|
0.15
|
|
|
|
|
|
|
$
|
2.35
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
Acquisition,
Disposition, and Integration
Impacts2
|
|
|
|
|
0.13
|
|
|
|
|
|
|
1.63
|
|
Estimated Loss on
Plants Under Construction3
|
|
|
|
|
(0.11)
|
|
|
|
|
|
|
0.68
|
|
Wholesale Gas
Services4
|
|
|
|
|
0.13
|
|
|
|
|
|
|
0.13
|
|
Asset
Impairment5
|
|
|
|
|
(0.02)
|
|
|
|
|
|
|
(0.08)
|
|
Litigation
Settlement6
|
|
|
|
|
—
|
|
|
|
|
|
|
(0.02)
|
|
Adoption of Tax
Reform6
|
|
|
|
|
—
|
|
|
|
|
|
|
(0.03)
|
|
Total–Excluding Items
|
|
|
|
|
$
|
0.02
|
|
|
|
|
|
|
$
|
0.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern
Company
|
|
Significant
Factors Impacting EPS
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Dilutive impacts are
immaterial ($0.03 or less per share) in all periods. Diluted
earnings per share was $0.42 and $4.50 for the three and twelve
months ended December 31 2019, respectively, and $0.27 and $2.17
for the three and twelve months ended December 31, 2018,
respectively.
|
|
|
(2)
|
Earnings for the
three months ended December 31, 2019 include: (i) a $70 million
pre-tax ($102 million after- tax) increase for the gain on the sale
of Gulf Power; (ii) a $24 million pre-tax ($17 million after-tax)
impairment charge in contemplation of the pending sale of Pivotal
LNG and Atlantic Coast Pipeline; and (iii) a net $7 million pre-tax
reduction to earnings (net $2 million after-tax increase to
earnings) of other acquisition, disposition, and integration
impacts. Earnings for the twelve months ended December 31, 2019
include: (i) a $2.6 billion pre-tax ($1.4 billion after-tax) gain
on the sale of Gulf Power; (ii) a $23 million pre-tax ($88 million
after-tax) gain on the sale of Plant Nacogdoches; and (iii) $18
million pre tax ($11 million after tax) of other acquisition,
disposition, and integration impacts, partially offset by: (i) a
$58 million pre-tax ($52 million after-tax) net loss, including
impairment charges, associated with the sales of PowerSecure's
utility infrastructure services and lighting businesses and (ii) a
$24 million pre-tax ($17 million after-tax) impairment charge in
contemplation of the pending sale of Pivotal LNG and Atlantic Coast
Pipeline. Earnings for the three months ended December 31, 2018
include: (i) a net combined $27 million pre-tax loss (net combined
$15 million after-tax loss) to reflect the final adjustments for
the sales of Elizabethtown Gas, Elkton Gas, Florida City Gas, and
Pivotal Home Solutions and (ii) other acquisition, disposition, and
integration costs of $31 million pre tax ($32 million after tax).
Earnings for the twelve months ended December 31, 2018 include: (i)
a net combined $249 million pre-tax gain ($93 million after-tax
loss) on the sales of Elizabethtown Gas, Elkton Gas, Florida City
Gas, and Pivotal Home Solutions, including a related impairment
charge; (ii) a $119 million pre-tax ($89 million after-tax)
impairment charge associated with the sales of Plants Stanton and
Oleander; and (iii) $95 million pre tax ($77 million after tax) of
other acquisition, disposition, and integration costs. Further
impacts are expected to be recorded in 2020 in connection with the
sale of Plant Mankato and the pending sale of Pivotal LNG and
Atlantic Coast Pipeline.
|
|
|
(3)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
charges, associated legal expenses, and tax impacts related to
Mississippi Power's integrated coal gasification combined cycle
facility project in Kemper County, Mississippi. Additionally, the
three and twelve months ended December 31, 2018 include a $95
million credit to earnings primarily resulting from the reduction
of a related state income tax valuation allowance. Mississippi
Power expects to substantially complete mine reclamation activities
in 2020 and dismantlement of the abandoned gasifier-related assets
and site restoration activities by 2024. The additional pre-tax
period costs associated with these activities, including related
costs for compliance and safety, asset retirement obligation
accretion, and property taxes, are estimated to total $17 million
in 2020, $15 to $16 million annually in 2021 through 2023, and $5
million in 2024. Earnings for the twelve months ended December 31,
2018 also include a $1.1 billion charge ($0.8 billion after tax)
for an estimated probable loss on Georgia Power's construction of
Plant Vogtle Units 3 and 4. Further charges for Georgia Power's
Plant Vogtle Units 3 and 4 may occur; however, the amount and
timing of any such charges are uncertain.
|
|
|
(4)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
Wholesale Gas Services business results. Presenting earnings and
earnings per share excluding Wholesale Gas Services provides an
additional measure of operating performance that excludes the
volatility resulting from mark-to-market and lower of weighted
average cost or current market price accounting
adjustments.
|
|
|
|
|
|
|
|
|
|
|
(5)
|
Earnings for the
twelve months ended December 31, 2019 include a pre-tax impairment
charge of $91 million ($69 million after tax) associated with a
natural gas storage facility and earnings for the three months
ended December 31, 2019 include an adjustment of $(1) million pre
tax ($4 million after tax) of this impairment charge. Additionally,
earnings for the three and twelve months ended December 31, 2019
include a pre-tax impairment charge of $17 million ($13 million
after tax) related to a leveraged lease. Additional impairment
charges associated with other natural gas storage facilities or
this leveraged lease investment may occur; however, the amount and
timing of any such charges are uncertain.
|
|
|
|
|
|
|
|
|
|
|
(6)
|
Earnings for the
twelve months ended December 31, 2018 include the settlement
proceeds of Mississippi Power's claim for lost revenue resulting
from the 2010 Deepwater Horizon oil spill and earnings for the
three and twelve months ended December 31, 2018 include additional
net tax benefits as a result of implementing federal tax reform
legislation. Additional proceeds or adjustments are not
expected.
|
|
Southern
Company
|
EPS Earnings
Analysis
|
|
|
|
|
|
|
Description
|
|
Three Months
Ended
December
2019 vs. 2018
|
|
Year-to-Date
December
2019 vs. 2018
|
|
|
|
|
|
Retail
Sales
|
|
$(0.02)
|
|
$(0.12)
|
|
|
|
|
|
Retail Revenue
Impacts
|
|
0.11
|
|
0.44
|
|
|
|
|
|
Weather
|
|
(0.03)
|
|
0.02
|
|
|
|
|
|
Wholesale and Other
Operating Revenues
|
|
0.01
|
|
0.07
|
|
|
|
|
|
Non-Fuel
O&M
|
|
(0.11)
|
|
(0.14)
|
|
|
|
|
|
Interest Expense,
Depreciation and Amortization, Other
|
|
—
|
|
(0.03)
|
|
|
|
|
|
Income
Taxes
|
|
0.04
|
|
0.14
|
|
|
|
|
|
Gulf Power
Earnings
|
|
(0.01)
|
|
(0.16)
|
|
|
|
|
|
Total Traditional
Electric Operating Companies
|
|
$(0.01)
|
|
$0.22
|
|
|
|
|
|
Southern
Power
|
|
(0.02)
|
|
(0.12)
|
|
|
|
|
|
Southern Company
Gas
|
|
0.03
|
|
0.04
|
|
|
|
|
|
Parent and
Other
|
|
0.02
|
|
(0.02)
|
|
|
|
|
|
Increase in
Shares
|
|
—
|
|
(0.08)
|
|
|
|
|
|
Total Change in
EPS (Excluding Items)
|
|
$0.02
|
|
$0.04
|
|
|
|
|
|
Acquisition,
Disposition, and Integration Impacts1
|
|
0.13
|
|
1.63
|
|
|
|
|
|
Estimated Loss on
Plants Under Construction2
|
|
(0.11)
|
|
0.68
|
|
|
|
|
|
Wholesale Gas
Services3
|
|
0.13
|
|
0.13
|
|
|
|
|
|
Asset
Impairment4
|
|
(0.02)
|
|
(0.08)
|
|
|
|
|
|
Litigation
Settlement5
|
|
—
|
|
(0.02)
|
|
|
|
|
|
Adoption of Tax
Reform5
|
|
—
|
|
(0.03)
|
|
|
|
|
|
Total Change in
EPS (As Reported)
|
|
$0.15
|
|
$2.35
|
|
|
|
|
|
|
|
|
|
|
|
Southern
Company
|
|
EPS Earnings
Analysis
|
|
Three and Twelve
Months Ended December 2019 vs. December 2018
|
Notes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Earnings for the
three months ended December 31, 2019 include: (i) a $70 million
pre-tax ($102 million after- tax) increase for the gain on the sale
of Gulf Power; (ii) a $24 million pre-tax ($17 million after-tax)
impairment charge in contemplation of the pending sale of Pivotal
LNG and Atlantic Coast Pipeline; and (iii) a net $7 million pre-tax
reduction to earnings (net $2 million after-tax increase to
earnings) of other acquisition, disposition, and integration
impacts. Earnings for the twelve months ended December 31, 2019
include: (i) a $2.6 billion pre-tax ($1.4 billion after-tax) gain
on the sale of Gulf Power; (ii) a $23 million pre-tax ($88 million
after-tax) gain on the sale of Plant Nacogdoches; and (iii) $18
million pre tax ($11 million after tax) of other acquisition,
disposition, and integration impacts, partially offset by: (i) a
$58 million pre-tax ($52 million after-tax) net loss, including
impairment charges, associated with the sales of PowerSecure's
utility infrastructure services and lighting businesses and (ii) a
$24 million pre-tax ($17 million after-tax) impairment charge in
contemplation of the pending sale of Pivotal LNG and Atlantic Coast
Pipeline. Earnings for the three months ended December 31, 2018
include: (i) a net combined $27 million pre-tax loss (net combined
$15 million after-tax loss) to reflect the final adjustments for
the sales of Elizabethtown Gas, Elkton Gas, Florida City Gas, and
Pivotal Home Solutions and (ii) other acquisition, disposition, and
integration costs of $31 million pre tax ($32 million after tax).
Earnings for the twelve months ended December 31, 2018 include: (i)
a net combined $249 million pre-tax gain ($93 million after-tax
loss) on the sales of Elizabethtown Gas, Elkton Gas, Florida City
Gas, and Pivotal Home Solutions, including a related impairment
charge; (ii) a $119 million pre-tax ($89 million after-tax)
impairment charge associated with the sales of Plants Stanton and
Oleander; and (iii) $95 million pre tax ($77 million after tax) of
other acquisition, disposition, and integration costs. Further
impacts are expected to be recorded in 2020 in connection with the
sale of Plant Mankato and the pending sale of Pivotal LNG and
Atlantic Coast Pipeline.
|
|
|
|
|
|
|
|
|
|
(2)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
charges, associated legal expenses, and tax impacts related to
Mississippi Power's integrated coal gasification combined cycle
facility project in Kemper County, Mississippi. Additionally, the
three and twelve months ended December 31, 2018 include a $95
million credit to earnings primarily resulting from the reduction
of a related state income tax valuation allowance. Mississippi
Power expects to substantially complete mine reclamation activities
in 2020 and dismantlement of the abandoned gasifier-related assets
and site restoration activities by 2024. The additional pre-tax
period costs associated with these activities, including related
costs for compliance and safety, asset retirement obligation
accretion, and property taxes, are estimated to total $17 million
in 2020, $15 to $16 million annually in 2021 through 2023, and $5
million in 2024. Earnings for the twelve months ended December 31,
2018 also include a $1.1 billion charge ($0.8 billion after tax)
for an estimated probable loss on Georgia Power's construction of
Plant Vogtle Units 3 and 4. Further charges for Georgia Power's
Plant Vogtle Units 3 and 4 may occur; however, the amount and
timing of any such charges are uncertain.
|
|
|
|
|
|
|
|
|
|
(3)
|
Earnings for the
three and twelve months ended December 31, 2019 and 2018 include
Wholesale Gas Services business results. Presenting earnings and
earnings per share excluding Wholesale Gas Services provides an
additional measure of operating performance that excludes the
volatility resulting from mark-to-market and lower of weighted
average cost or current market price accounting
adjustments.
|
|
|
|
|
|
|
|
|
|
(4)
|
Earnings for the
twelve months ended December 31, 2019 include a pre-tax impairment
charge of $91 million ($69 million after tax) associated with a
natural gas storage facility and earnings for the three months
ended December 31, 2019 include an adjustment of $(1) million pre
tax ($4 million after tax) of this impairment charge. Additionally,
earnings for the three and twelve months ended December 31, 2019
include a pre-tax impairment charge of $17 million ($13 million
after tax) related to a leveraged lease. Additional impairment
charges associated with other natural gas storage facilities or
this leveraged lease investment may occur; however, the amount and
timing of any such charges are uncertain.
|
|
|
(5)
|
Earnings for the
twelve months ended December 31, 2018 include the settlement
proceeds of Mississippi Power's claim for lost revenue resulting
from the 2010 Deepwater Horizon oil spill and earnings for the
three and twelve months ended December 31, 2018 include additional
net tax benefits as a result of implementing federal tax reform
legislation. Additional proceeds or adjustments are not
expected.
|
|
Southern
Company
|
Consolidated
Earnings
|
As
Reported
|
(In Millions of
Dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
Income
Account-
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail Electric
Revenues-
|
|
|
|
|
|
|
|
|
|
|
|
|
Fuel
|
|
$
|
784
|
|
|
$
|
1,012
|
|
|
$
|
(228)
|
|
|
$
|
3,591
|
|
|
$
|
4,283
|
|
|
$
|
(692)
|
|
Non-Fuel
|
|
2,164
|
|
|
2,297
|
|
|
(133)
|
|
|
10,493
|
|
|
10,939
|
|
|
(446)
|
|
Wholesale Electric
Revenues
|
|
485
|
|
|
579
|
|
|
(94)
|
|
|
2,152
|
|
|
2,516
|
|
|
(364)
|
|
Other Electric
Revenues
|
|
144
|
|
|
169
|
|
|
(25)
|
|
|
636
|
|
|
664
|
|
|
(28)
|
|
Natural Gas
Revenues
|
|
1,131
|
|
|
1,048
|
|
|
83
|
|
|
3,792
|
|
|
3,854
|
|
|
(62)
|
|
Other
Revenues
|
|
206
|
|
|
232
|
|
|
(26)
|
|
|
755
|
|
|
1,239
|
|
|
(484)
|
|
Total
Revenues
|
|
4,914
|
|
|
5,337
|
|
|
(423)
|
|
|
21,419
|
|
|
23,495
|
|
|
(2,076)
|
|
Fuel and Purchased
Power
|
|
977
|
|
|
1,334
|
|
|
(357)
|
|
|
4,438
|
|
|
5,608
|
|
|
(1,170)
|
|
Cost of Natural
Gas
|
|
363
|
|
|
486
|
|
|
(123)
|
|
|
1,319
|
|
|
1,539
|
|
|
(220)
|
|
Cost of Other
Sales
|
|
119
|
|
|
118
|
|
|
1
|
|
|
435
|
|
|
806
|
|
|
(371)
|
|
Non-Fuel O &
M
|
|
1,712
|
|
|
1,672
|
|
|
40
|
|
|
5,600
|
|
|
5,889
|
|
|
(289)
|
|
Depreciation and
Amortization
|
|
771
|
|
|
793
|
|
|
(22)
|
|
|
3,038
|
|
|
3,131
|
|
|
(93)
|
|
Taxes Other Than
Income Taxes
|
|
299
|
|
|
325
|
|
|
(26)
|
|
|
1,230
|
|
|
1,315
|
|
|
(85)
|
|
Estimated Loss on
Plants Under Construction
|
|
14
|
|
|
(8)
|
|
|
22
|
|
|
24
|
|
|
1,097
|
|
|
(1,073)
|
|
Impairment
Charges
|
|
26
|
|
|
13
|
|
|
13
|
|
|
168
|
|
|
210
|
|
|
(42)
|
|
(Gain) Loss on
Dispositions, net
|
|
(57)
|
|
|
26
|
|
|
(83)
|
|
|
(2,569)
|
|
|
(291)
|
|
|
(2,278)
|
|
Total Operating
Expenses
|
|
4,224
|
|
|
4,759
|
|
|
(535)
|
|
|
13,683
|
|
|
19,304
|
|
|
(5,621)
|
|
Operating
Income
|
|
690
|
|
|
578
|
|
|
112
|
|
|
7,736
|
|
|
4,191
|
|
|
3,545
|
|
Allowance for Equity
Funds Used During
Construction
|
|
32
|
|
|
39
|
|
|
(7)
|
|
|
128
|
|
|
138
|
|
|
(10)
|
|
Earnings from Equity
Method Investments
|
|
42
|
|
|
40
|
|
|
2
|
|
|
162
|
|
|
148
|
|
|
14
|
|
Interest Expense, Net
of Amounts Capitalized
|
|
442
|
|
|
456
|
|
|
(14)
|
|
|
1,736
|
|
|
1,842
|
|
|
(106)
|
|
Other Income
(Expense), net
|
|
13
|
|
|
(81)
|
|
|
94
|
|
|
252
|
|
|
114
|
|
|
138
|
|
Income Taxes
(Benefit)
|
|
(74)
|
|
|
(149)
|
|
|
75
|
|
|
1,798
|
|
|
449
|
|
|
1,349
|
|
Net
Income
|
|
409
|
|
|
269
|
|
|
140
|
|
|
4,744
|
|
|
2,300
|
|
|
2,444
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends on
Preferred Stock of Subsidiaries
|
|
5
|
|
|
4
|
|
|
1
|
|
|
15
|
|
|
16
|
|
|
(1)
|
|
Net Income (Loss)
Attributable to
Noncontrolling Interests
|
|
(36)
|
|
|
(13)
|
|
|
(23)
|
|
|
(10)
|
|
|
58
|
|
|
(68)
|
|
NET INCOME
ATTRIBUTABLE TO
SOUTHERN COMPANY
|
|
$
|
440
|
|
|
$
|
278
|
|
|
$
|
162
|
|
|
$
|
4,739
|
|
|
$
|
2,226
|
|
|
$
|
2,513
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
|
|
- Certain prior year
data may have been reclassified to conform with current year
presentation.
|
Southern
Company
|
Kilowatt-Hour
Sales
|
(In Millions of
KWHs)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December
|
|
|
As
Reported
|
|
Adjusted1
|
|
|
2019
|
|
2018
|
|
Change
|
|
Weather
Adjusted
Change
|
|
2018
|
|
Change
|
|
Weather
Adjusted
Change
|
Kilowatt-Hour
Sales-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Sales
|
|
46,185
|
|
|
49,539
|
|
|
(6.8)
|
%
|
|
|
|
46,943
|
|
|
(1.6)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Retail
Sales-
|
|
34,254
|
|
|
37,973
|
|
|
(9.8)
|
%
|
|
(8.2)
|
%
|
|
35,529
|
|
|
(3.6)
|
%
|
|
(2.1)
|
%
|
Residential
|
|
10,738
|
|
|
12,475
|
|
|
(13.9)
|
%
|
|
(9.7)
|
%
|
|
11,281
|
|
|
(4.8)
|
%
|
|
(0.6)
|
%
|
Commercial
|
|
11,324
|
|
|
12,346
|
|
|
(8.3)
|
%
|
|
(7.7)
|
%
|
|
11,510
|
|
|
(1.6)
|
%
|
|
(1.1)
|
%
|
Industrial
|
|
12,022
|
|
|
12,949
|
|
|
(7.2)
|
%
|
|
(7.2)
|
%
|
|
12,542
|
|
|
(4.1)
|
%
|
|
(4.1)
|
%
|
Other
|
|
170
|
|
|
203
|
|
|
(16.3)
|
%
|
|
(16.1)
|
%
|
|
196
|
|
|
(13.4)
|
%
|
|
(13.1)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Wholesale
Sales
|
|
11,931
|
|
|
11,566
|
|
|
3.2
|
%
|
|
N/A
|
|
11,414
|
|
|
4.5
|
%
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year-to-Date
December
|
|
|
As
Reported
|
|
Adjusted1
|
|
|
2019
|
|
2018
|
|
Change
|
|
Weather
Adjusted
Change
|
|
2018
|
|
Change
|
|
Weather
Adjusted
Change
|
Kilowatt-Hour
Sales-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Sales
|
|
196,488
|
|
|
212,144
|
|
|
(7.4)
|
%
|
|
|
|
200,353
|
|
|
(1.9)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Retail
Sales-
|
|
148,461
|
|
|
162,182
|
|
|
(8.5)
|
%
|
|
(8.4)
|
%
|
|
151,049
|
|
|
(1.7)
|
%
|
|
(1.8)
|
%
|
Residential
|
|
48,528
|
|
|
54,590
|
|
|
(11.1)
|
%
|
|
(10.7)
|
%
|
|
49,070
|
|
|
(1.1)
|
%
|
|
(0.8)
|
%
|
Commercial
|
|
49,101
|
|
|
53,451
|
|
|
(8.1)
|
%
|
|
(8.6)
|
%
|
|
49,623
|
|
|
(1.1)
|
%
|
|
(1.6)
|
%
|
Industrial
|
|
50,106
|
|
|
53,341
|
|
|
(6.1)
|
%
|
|
(6.1)
|
%
|
|
51,584
|
|
|
(2.9)
|
%
|
|
(2.9)
|
%
|
Other
|
|
726
|
|
|
800
|
|
|
(9.1)
|
%
|
|
(9.0)
|
%
|
|
772
|
|
|
(5.8)
|
%
|
|
(5.7)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Wholesale
Sales
|
|
48,027
|
|
|
49,962
|
|
|
(3.9)
|
%
|
|
N/A
|
|
49,304
|
|
|
(2.6)
|
%
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Kilowatt-hour
sales comparisons to the prior year were significantly impacted by
the disposition of Gulf Power
Company on January 1, 2019. These 2018 kilowatt-hour sales and
changes exclude Gulf Power Company.
|
Southern
Company
|
Customers
|
(In Thousands
of Customers)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period Ended
December
|
|
|
|
|
|
|
|
|
|
|
2019
|
|
2018
|
|
Change
|
Regulated Utility
Customers-
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Utility
Customers-
|
|
|
|
|
|
|
|
8,543
|
|
8,933
|
|
(4.4)%
|
Total Traditional
Electric1
|
|
|
|
|
|
|
|
4,266
|
|
4,685
|
|
(8.9)%
|
Southern Company
Gas
|
|
|
|
|
|
|
|
4,277
|
|
4,248
|
|
0.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes
approximately 463,000 customers at December 31, 2018 related to
Gulf Power Company, which was
sold on January 1, 2019.
|
Southern
Company
|
Financial
Overview
|
As
Reported
|
(In Millions of
Dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-to-Date
December
|
|
|
2019
|
|
2018
|
|
% Change
|
|
2019
|
|
2018
|
|
% Change
|
Southern
Company1 –
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
4,914
|
|
|
$
|
5,337
|
|
|
(7.9)
|
%
|
|
$
|
21,419
|
|
|
$
|
23,495
|
|
|
(8.8)
|
%
|
Earnings Before
Income Taxes
|
|
335
|
|
|
120
|
|
|
179.2
|
%
|
|
6,542
|
|
|
2,749
|
|
|
138.0
|
%
|
Net Income Available
to Common
|
|
440
|
|
|
278
|
|
|
58.3
|
%
|
|
4,739
|
|
|
2,226
|
|
|
112.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Alabama Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
1,363
|
|
|
$
|
1,316
|
|
|
3.6
|
%
|
|
$
|
6,125
|
|
|
$
|
6,032
|
|
|
1.5
|
%
|
Earnings Before
Income Taxes
|
|
67
|
|
|
96
|
|
|
(30.2)
|
%
|
|
1,355
|
|
|
1,236
|
|
|
9.6
|
%
|
Net Income Available
to Common
|
|
88
|
|
|
73
|
|
|
20.5
|
%
|
|
1,070
|
|
|
930
|
|
|
15.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Georgia Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
1,703
|
|
|
$
|
1,818
|
|
|
(6.3)
|
%
|
|
$
|
8,408
|
|
|
$
|
8,420
|
|
|
(0.1)
|
%
|
Earnings Before
Income Taxes
|
|
128
|
|
|
175
|
|
|
(26.9)
|
%
|
|
2,192
|
|
|
1,007
|
|
|
117.7
|
%
|
Net Income Available
to Common
|
|
122
|
|
|
173
|
|
|
(29.5)
|
%
|
|
1,720
|
|
|
793
|
|
|
116.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mississippi Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
294
|
|
|
$
|
308
|
|
|
(4.5)
|
%
|
|
$
|
1,264
|
|
|
$
|
1,265
|
|
|
(0.1)
|
%
|
Earnings Before
Income Taxes
|
|
3
|
|
|
24
|
|
|
(87.5)
|
%
|
|
169
|
|
|
134
|
|
|
26.1
|
%
|
Net Income Available
to Common
|
|
—
|
|
|
149
|
|
|
(100.0)
|
%
|
|
139
|
|
|
235
|
|
|
(40.9)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern
Power1 –
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
411
|
|
|
$
|
506
|
|
|
(18.8)
|
%
|
|
$
|
1,938
|
|
|
$
|
2,205
|
|
|
(12.1)
|
%
|
Earnings (Loss)
Before Income Taxes
|
|
(28)
|
|
|
(14)
|
|
|
100.0
|
%
|
|
273
|
|
|
82
|
|
|
232.9
|
%
|
Net Income (Loss)
Available to Common
|
|
23
|
|
|
(48)
|
|
|
(147.9)
|
%
|
|
339
|
|
|
187
|
|
|
81.3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern Company
Gas1 –
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
|
$
|
1,131
|
|
|
$
|
1,048
|
|
|
7.9
|
%
|
|
$
|
3,792
|
|
|
$
|
3,909
|
|
|
(3.0)
|
%
|
Earnings Before
Income Taxes
|
|
307
|
|
|
67
|
|
|
358.2
|
%
|
|
715
|
|
|
836
|
|
|
(14.5)
|
%
|
Net Income Available
to Common
|
|
238
|
|
|
78
|
|
|
205.1
|
%
|
|
585
|
|
|
372
|
|
|
57.3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- See Financial
Highlights pages for discussion of certain significant items
occurring during the periods presented.
|
|
|
|
|
|
|
|
(1)
|
Financial comparisons
to the prior year were significantly impacted by (i) Southern
Company Gas' disposition
of: (a) Pivotal Home Solutions on June 4, 2018, (b) Elizabethtown
Gas and Elkton Gas on July 1, 2018, and
(c) Florida City Gas on July 29, 2018; (ii) the disposition of
Southern Power Company's ownership interest in
(a) Plants Oleander and Stanton on December 4, 2018 and (b) Plant
Nacogdoches on June 13, 2019; (iii)
Southern Power Company's sale of (a) a 33% equity interest in a
limited partnership indirectly owning
substantially all of its solar facilities on May 22, 2018 and (b) a
noncontrolling interest in its subsidiary
owning eight operating wind facilities on December 11, 2018; and
(iv) Southern Company's disposition of
Gulf Power Company on January 1, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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SOURCE Southern Company