ATLANTA, Feb. 20,
2025 /PRNewswire/ -- Southern Company today
reported fourth-quarter earnings of $534
million, or 49 cents per
share, in 2024 compared with earnings of $855 million, or 78
cents per share, in the fourth quarter of 2023. Southern
Company also reported full-year 2024 earnings of $4.4 billion, or $4.02 per share, compared with $4.0 billion, or $3.64 per share, in 2023.
Excluding the items described under "Net Income – Excluding
Items" in the table below, Southern Company earned $544 million, or 50
cents per share, during the fourth quarter of 2024, compared
with $700 million, or 64 cents per share, during the fourth quarter of
2023. For the full-year 2024, excluding these items, Southern
Company earned $4.4 billion, or
$4.05 per share, compared with
$4.0 billion, or $3.65 per share, for 2023.
|
Non-GAAP Financial
Measures
|
Three Months Ended
December
|
|
Year-to-Date
December
|
|
Net Income –
Excluding Items (in millions)
|
2024
|
2023
|
|
2024
|
2023
|
|
Net Income – As
Reported
|
$
534
|
$
855
|
|
$
4,401
|
$
3,976
|
|
Less:
|
|
|
|
|
|
|
Estimated Loss on
Plants Under Construction
|
(4)
|
222
|
|
7
|
51
|
|
Tax Impact
|
1
|
(56)
|
|
(15)
|
(13)
|
|
Acquisition and
Disposition Impacts
|
—
|
1
|
|
—
|
(1)
|
|
Tax Impact
|
—
|
32
|
|
—
|
33
|
|
Loss on Extinguishment
of Debt
|
—
|
—
|
|
—
|
(5)
|
|
Tax Impact
|
—
|
—
|
|
—
|
1
|
|
Estimated Loss on
Qualifying Infrastructure Plant
and Other Capital Investments
|
—
|
(58)
|
|
—
|
(96)
|
|
Tax Impact
|
—
|
14
|
|
—
|
24
|
|
Impairments
|
—
|
—
|
|
(36)
|
—
|
|
Tax Impact
|
—
|
—
|
|
9
|
—
|
|
Accelerated
Depreciation from Repowering
|
(9)
|
—
|
|
(9)
|
—
|
|
Tax Impact
|
2
|
—
|
|
2
|
—
|
|
Net Income –
Excluding Items
|
$
544
|
$
700
|
|
$
4,443
|
$
3,982
|
|
Average Shares
Outstanding – (in
millions)
|
1,098
|
1,092
|
|
1,096
|
1,092
|
|
Basic Earnings Per
Share – Excluding Items
|
$
0.50
|
$
0.64
|
|
$
4.05
|
$
3.65
|
NOTE: For more information regarding these non-GAAP adjustments,
see the footnotes accompanying the Financial Highlights page of the
earnings package.
Adjusted earnings drivers for the full year 2024, as compared
with 2023, were higher utility revenues, partially offset by
increased non-fuel operations and maintenance expenses, interest
expense, depreciation and amortization, and income taxes.
Fourth-quarter 2024 operating revenues were $6.3 billion, compared with $6.0 billion for the fourth quarter of 2023, an
increase of 4.9%. Operating revenues for the full year 2024 were
$26.7 billion, compared with
$25.3 billion in 2023, an increase of
5.8%.
"The hard work and dedication of our team members across our
company made 2024 an outstanding year for Southern Company," said
Christopher C. Womack, chairman,
president and CEO. "We delivered the exceptional value that our
customers depend on, and, looking ahead, we believe our commitment
to sustainably meeting the growing energy needs of our local
economies will support our continued success for years to
come."
Southern Company's fourth-quarter and full-year earnings slides
with supplemental financial information, including earnings
guidance, are available at investor.southerncompany.com.
Southern Company's financial analyst call will begin at
1 p.m. Eastern Time today, during
which Womack and Chief Financial Officer Daniel S. Tucker will discuss earnings and
provide a general business update. Investors, media and the public
may listen to a live webcast of the call and view associated slides
at investor.southerncompany.com. 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 provider serving 9 million customers across the
Southeast and beyond through its family of companies. Providing
clean, safe, reliable and affordable energy with excellent service
is our mission. The company has electric operating companies in
three states, natural gas distribution companies in four states, a
competitive generation company, a leading distributed energy
infrastructure company with national capabilities, a fiber optics
network and telecommunications services. Through an
industry-leading commitment to innovation, resilience and
sustainability, we are taking action to meet customers' and
communities' needs while advancing our goal of net-zero greenhouse
gas emissions by 2050. Our uncompromising values ensure we put the
needs of those we serve at the center of everything we do and are
the key to our sustained success. We are transforming energy into
economic, environmental and social progress for tomorrow. Our
corporate culture has been recognized by a variety of
organizations, earning the company awards and recognitions that
reflect Our Values and dedication to service. To learn more, visit
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 future business
successes. 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, 2024 and subsequent
securities filings, could cause actual results to differ materially
from management expectations as suggested by such forward-looking
information: the impact of recent and future federal and state
regulatory changes, including tax, environmental and other laws and
regulations to which Southern Company and its subsidiaries are
subject, as well as changes in application of existing laws and
regulations; the extent and timing of costs and legal requirements
related to coal combustion residuals; current and future litigation
or regulatory investigations, proceedings, or inquiries, including
litigation and other disputes related to the Kemper County energy
facility and Plant Vogtle Units 3 and 4; the effects, extent, and
timing of the entry of additional competition in the markets in
which Southern Company's subsidiaries operate, including from the
development and deployment of alternative energy sources;
variations in demand for electricity and natural gas; available
sources and costs of natural gas and other fuels and commodities;
the ability to complete necessary or desirable pipeline expansion
or infrastructure projects, limits on pipeline capacity, public and
policymaker support for such projects, and operational
interruptions to natural gas distribution and transmission
activities; transmission constraints; the ability to control costs
and avoid cost and schedule overruns during the development,
construction, and operation of facilities or other projects due to
challenges which include, but are not limited to, changes in labor
costs, availability, and productivity, challenges with the
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, the impacts of inflation, 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 or any remediation related thereto, design and
other licensing-based compliance matters, challenges with start-up
activities, including major equipment failure or system
integration, and/or operational performance, challenges related to
pandemic health events, continued public and policymaker support
for projects, environmental and geological conditions, delays or
increased costs to interconnect facilities to transmission grids,
and increased financing costs as a result of changes in interest
rates or as a result of project delays; legal proceedings and
regulatory approvals and actions related to past, ongoing, and
proposed construction projects, including state public service
commission or other applicable state regulatory agency approvals
and Federal Energy Regulatory Commission and U.S. Nuclear
Regulatory Commission actions; the ability to construct facilities
in accordance with the requirements of permits and licenses, 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; investment performance of the employee and retiree
benefit plans and nuclear decommissioning trust funds; advances in
technology, including the pace and extent of development of low- to
no-carbon energy and battery energy storage technologies and
negative carbon concepts; performance of counterparties under
ongoing renewable energy partnerships and development agreements;
state and federal rate regulations and the impact of pending and
future rate cases and negotiations, including rate actions relating
to return on equity, equity ratios, additional generating capacity
and transmission facilities, extension of retirement dates for
fossil fuel plants, and fuel and other cost recovery mechanisms;
the ability to successfully operate Southern Company's electric
utilities' generation, transmission, distribution, and battery
energy storage facilities, as applicable, and Southern Company Gas'
natural gas distribution and storage facilities and the successful
performance of necessary corporate functions; the inherent risks
involved in operating nuclear generating facilities; the inherent
risks involved in generation, transmission, and distribution of
electricity and transportation and storage of natural gas,
including accidents, explosions, fires, mechanical problems,
discharges or releases of toxic or hazardous substances or gases,
and other environmental risks; the performance of projects
undertaken by the non-utility businesses and the success of efforts
to invest in and develop new opportunities; internal restructuring
or other restructuring options that may be pursued; potential
business strategies, including acquisitions or dispositions of
assets or businesses, which cannot be assured to be completed or
beneficial to Southern Company or its subsidiaries; the ability of
counterparties of Southern Company and its subsidiaries to make
payments as and when due and to perform as required; the ability to
obtain new short- and long-term contracts with wholesale customers;
the direct or indirect effect on the Southern Company system's
business resulting from cyber intrusion or physical attack and the
threat of cyber and physical attacks; global and U.S. economic
conditions, including impacts from geopolitical conflicts,
recession, inflation, tariffs interest rate fluctuations, and
financial market conditions, and the results of financing efforts;
access to capital markets and other financing sources; changes in
Southern Company's and any of its subsidiaries' credit ratings; the
ability of Southern Company's electric utilities to obtain
additional generating capacity (or sell excess generating capacity)
at competitive prices; catastrophic events such as fires,
earthquakes, explosions, floods, tornadoes, hurricanes and other
storms, droughts, pandemic health events, political unrest, wars,
or other similar occurrences; 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;
impairments of goodwill or long-lived assets; and the effect of
accounting pronouncements issued periodically by standard-setting
bodies. Southern Company expressly disclaims any obligation to
update any forward-looking information.
|
Southern
Company
|
|
Financial
Highlights
|
|
(In Millions
Except Earnings Per Share)
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
Net Income – As
Reported
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Traditional Electric
Operating Companies
|
$
515
|
|
$
785
|
|
$
4,145
|
|
$ 3,637
|
|
Southern
Power
|
64
|
|
69
|
|
328
|
|
357
|
|
Southern Company
Gas
|
185
|
|
140
|
|
740
|
|
615
|
|
Total
|
764
|
|
994
|
|
5,213
|
|
4,609
|
|
Parent Company and
Other
|
(230)
|
|
(139)
|
|
(812)
|
|
(633)
|
|
Net Income – As
Reported
|
$
534
|
|
$
855
|
|
$
4,401
|
|
$ 3,976
|
|
|
|
|
|
|
|
|
|
Basic Earnings Per
Share(1)
|
$
0.49
|
|
$
0.78
|
|
$
4.02
|
|
$
3.64
|
|
Average Shares
Outstanding
|
1,098
|
|
1,092
|
|
1,096
|
|
1,092
|
|
|
|
|
|
|
|
|
|
Non-GAAP Financial
Measures
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
Net Income –
Excluding Items
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Net Income – As
Reported
|
$
534
|
|
$
855
|
|
$
4,401
|
|
$ 3,976
|
|
Less:
|
|
|
|
|
|
|
|
|
Estimated Loss on
Plants Under Construction(2)
|
(4)
|
|
222
|
|
7
|
|
51
|
|
Tax Impact
|
1
|
|
(56)
|
|
(15)
|
|
(13)
|
|
Acquisition and
Disposition Impacts(3)
|
—
|
|
1
|
|
—
|
|
(1)
|
|
Tax Impact
|
—
|
|
32
|
|
—
|
|
33
|
|
Loss on Extinguishment
of Debt(4)
|
—
|
|
—
|
|
—
|
|
(5)
|
|
Tax Impact
|
—
|
|
—
|
|
—
|
|
1
|
|
Estimated Loss on
Qualifying Infrastructure Plant
and Other Capital Investments(5)
|
—
|
|
(58)
|
|
—
|
|
(96)
|
|
Tax Impact
|
—
|
|
14
|
|
—
|
|
24
|
|
Impairments(6)
|
—
|
|
—
|
|
(36)
|
|
—
|
|
Tax Impact
|
—
|
|
—
|
|
9
|
|
—
|
|
Accelerated
Depreciation from Repowering(7)
|
(9)
|
|
—
|
|
(9)
|
|
—
|
|
Tax Impact
|
2
|
|
—
|
|
2
|
|
—
|
|
Net Income –
Excluding Items
|
$
544
|
|
$
700
|
|
$
4,443
|
|
$ 3,982
|
|
|
|
|
|
|
|
|
|
Basic Earnings Per
Share – Excluding Items
|
$
0.50
|
|
$
0.64
|
|
$
4.05
|
|
$
3.65
|
|
|
See Notes on the
following page.
|
|
Southern
Company
Financial Highlights
|
|
|
|
Notes
|
|
(1)
|
Dilution is not
material in any period presented. Diluted earnings per share was
$0.48 and $3.99 for the three and twelve months ended December 31,
2024, respectively, and $0.78 and $3.62 for the three and twelve
months ended December 31, 2023, respectively.
|
|
(2)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax credit to income
of $21 million ($16 million after tax) related to the estimated
probable loss on Plant Vogtle Units 3 and 4 reflecting a revision
to Georgia Power Company's total project capital cost forecast
resulting from a reduction in remaining expected site
demobilization costs and other contractor obligations.
Additionally, earnings for the twelve months ended December 31,
2024 include a $14 million income tax charge related to the
remeasuring of deferred tax assets associated with the previously
recognized estimated probable loss on Plant Vogtle Units 3 and 4
due to a change in the State of Georgia corporate tax rate.
Earnings for the three and twelve months ended December 31, 2023
include a pre-tax credit to income of $228 million ($170 million
after tax) and a pre-tax net credit to income of $68 million ($50
million after tax), respectively, related to the estimated probable
loss on Plant Vogtle Units 3 and 4. Further charges and/or credits
may occur; however, the amount and timing are uncertain. Earnings
for the three and twelve months ended December 31, 2024 and 2023
also include charges (net of salvage proceeds), associated legal
expenses (net of insurance recoveries), and tax impacts related to
Mississippi Power Company's integrated coal gasification combined
cycle facility project in Kemper County, Mississippi. Mississippi
Power Company expects to incur additional pre-tax period costs
related to dismantlement of the abandoned gasifier-related assets
and site restoration activities, including related costs for
compliance and safety, asset retirement obligation accretion, and
property taxes, net of salvage, totaling approximately $15 million
in 2025.
|
|
(3)
|
Earnings for the three
and twelve months ended December 31, 2023 include a $35 million
favorable tax impact related to a reversal of an uncertain tax
position associated with the 2019 sale of Gulf Power Company.
Additionally, earnings for the three and twelve months ended
December 31, 2023 include disposition impacts related to the sales
of natural gas storage facilities at Southern Company Gas. Further
impacts may result from future acquisition and disposition
activities; however, the amount and timing of any such impacts are
uncertain.
|
|
(4)
|
Earnings for the twelve
months ended December 31, 2023 include costs associated with the
extinguishment of debt at Southern Company. Similar transaction
costs may occur in the future at Southern Company or one of its
unregulated subsidiaries; however, the amount and timing of any
such costs are uncertain.
|
|
(5)
|
Earnings for the three
and twelve months ended December 31, 2023 include a pre-tax charge
of $58 million ($44 million after tax) and pre-tax charges totaling
$96 million ($72 million after tax), respectively, for estimated
losses at Southern Company Gas associated with the Illinois
Commerce Commission disallowances related to (1) its review of the
Qualifying Infrastructure Plant (QIP) capital investments by Nicor
Gas under the QIP rider, or Investing in Illinois program and (2)
Nicor Gas' general base rate case proceeding. Further charges may
occur; however, the amount and timing of any such charges are
uncertain.
|
|
(6)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax impairment loss of
$36 million ($27 million after tax) associated with the
discontinued development of a multi-use commercial facility at
Alabama Power Company. Impairment charges may occur in the future;
however, the amount and timing of any such charges are
uncertain.
|
|
(7)
|
Earnings for the three
and twelve months ended December 31, 2024 include a pre-tax charge,
net of noncontrolling interests impacts, of $9 million ($7 million
after tax) associated with accelerated depreciation related to the
repowering of the Kay Wind facility at Southern Power. Accelerated
depreciation related to the equipment being replaced will continue
until commercial operation of the repowering project, which is
projected to occur in the third quarter 2026. Pre-tax accelerated
depreciation, net of noncontrolling interest impacts, is projected
to total approximately $100 million in 2025 and $40 million in
2026.
|
|
Southern
Company
|
|
Significant Factors
Impacting EPS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
2024
|
|
2023
|
|
Change
|
|
2024
|
|
2023
|
|
Change
|
|
Earnings Per Share
–
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Reported(1)
|
$
0.49
|
|
$ 0.78
|
|
$
(0.29)
|
|
$
4.02
|
|
$ 3.64
|
|
$
0.38
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Significant
Factors:
|
|
|
|
|
|
|
|
|
|
|
|
|
Traditional
Electric Operating Companies
|
|
|
|
|
$
(0.25)
|
|
|
|
|
|
$
0.47
|
|
Southern
Power
|
|
|
|
|
—
|
|
|
|
|
|
(0.03)
|
|
Southern Company
Gas
|
|
|
|
|
0.04
|
|
|
|
|
|
0.11
|
|
Parent Company and
Other
|
|
|
|
|
(0.08)
|
|
|
|
|
|
(0.16)
|
|
Increase in
Shares
|
|
|
|
|
—
|
|
|
|
|
|
(0.01)
|
|
Total – As
Reported
|
|
|
|
|
$
(0.29)
|
|
|
|
|
|
$
0.38
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
Non-GAAP Financial
Measures
|
2024
|
|
2023
|
|
Change
|
|
2024
|
|
2023
|
|
Change
|
|
Earnings Per Share
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding
Items
|
$
0.50
|
|
$ 0.64
|
|
$
(0.14)
|
|
$
4.05
|
|
$ 3.65
|
|
$
0.40
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total – As
Reported
|
|
|
|
|
$
(0.29)
|
|
|
|
|
|
$
0.38
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
Estimated Loss
on Plants Under Construction(2)
|
|
|
|
|
(0.15)
|
|
|
|
|
|
(0.04)
|
|
Acquisition and
Disposition Impacts(3)
|
|
|
|
|
(0.03)
|
|
|
|
|
|
(0.03)
|
|
Loss on
Extinguishment of Debt(4)
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Estimated Loss
on Qualifying Infrastructure Plant
and Other Capital Investments(5)
|
|
|
|
|
0.04
|
|
|
|
|
|
0.07
|
|
Impairments(6)
|
|
|
|
|
—
|
|
|
|
|
|
(0.02)
|
|
Accelerated
Depreciation from Repowering(7)
|
|
|
|
|
(0.01)
|
|
|
|
|
|
—
|
|
Total –
Excluding Items
|
|
|
|
|
$
(0.14)
|
|
|
|
|
|
$
0.40
|
|
|
See Notes on the
following page.
|
|
Southern
Company
Significant Factors Impacting EPS
|
|
|
|
Notes
|
|
(1)
|
Dilution is not
material in any period presented. Diluted earnings per share was
$0.48 and $3.99 for the three and twelve months ended December 31,
2024, respectively, and $0.78 and $3.62 for the three and twelve
months ended December 31, 2023, respectively.
|
|
(2)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax credit to income
of $21 million ($16 million after tax) related to the estimated
probable loss on Plant Vogtle Units 3 and 4 reflecting a revision
to Georgia Power Company's total project capital cost forecast
resulting from a reduction in remaining expected site
demobilization costs and other contractor obligations.
Additionally, earnings for the twelve months ended December 31,
2024 include a $14 million income tax charge related to the
remeasuring of deferred tax assets associated with the previously
recognized estimated probable loss on Plant Vogtle Units 3 and 4
due to a change in the State of Georgia corporate tax rate.
Earnings for the three and twelve months ended December 31, 2023
include a pre-tax credit to income of $228 million ($170 million
after tax) and a pre-tax net credit to income of $68 million ($50
million after tax), respectively, related to the estimated probable
loss on Plant Vogtle Units 3 and 4. Further charges and/or credits
may occur; however, the amount and timing are uncertain. Earnings
for the three and twelve months ended December 31, 2024 and 2023
also include charges (net of salvage proceeds), associated legal
expenses (net of insurance recoveries), and tax impacts related to
Mississippi Power Company's integrated coal gasification combined
cycle facility project in Kemper County, Mississippi. Mississippi
Power Company expects to incur additional pre-tax period costs
related to dismantlement of the abandoned gasifier-related assets
and site restoration activities, including related costs for
compliance and safety, asset retirement obligation accretion, and
property taxes, net of salvage, totaling approximately $15 million
in 2025.
|
|
(3)
|
Earnings for the three
and twelve months ended December 31, 2023 include a $35 million
favorable tax impact related to a reversal of an uncertain tax
position associated with the 2019 sale of Gulf Power Company.
Additionally, earnings for the three and twelve months ended
December 31, 2023 include disposition impacts related to the sales
of natural gas storage facilities at Southern Company Gas. Further
impacts may result from future acquisition and disposition
activities; however, the amount and timing of any such impacts are
uncertain.
|
|
(4)
|
Earnings for the twelve
months ended December 31, 2023 include costs associated with the
extinguishment of debt at Southern Company. Similar transaction
costs may occur in the future at Southern Company or one of its
unregulated subsidiaries; however, the amount and timing of any
such costs are uncertain.
|
|
(5)
|
Earnings for the three
and twelve months ended December 31, 2023 include a pre-tax charge
of $58 million ($44 million after tax) and pre-tax charges totaling
$96 million ($72 million after tax), respectively, for estimated
losses at Southern Company Gas associated with the Illinois
Commerce Commission disallowances related to (1) its review of the
Qualifying Infrastructure Plant (QIP) capital investments by Nicor
Gas under the QIP rider, or Investing in Illinois program and (2)
Nicor Gas' general base rate case proceeding. Further charges may
occur; however, the amount and timing of any such charges are
uncertain.
|
|
(6)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax impairment loss of
$36 million ($27 million after tax) associated with the
discontinued development of a multi-use commercial facility at
Alabama Power Company. Impairment charges may occur in the future;
however, the amount and timing of any such charges are
uncertain.
|
|
(7)
|
Earnings for the three
and twelve months ended December 31, 2024 include a pre-tax charge,
net of noncontrolling interests impacts, of $9 million ($7 million
after tax) associated with accelerated depreciation related to the
repowering of the Kay Wind facility at Southern Power. Accelerated
depreciation related to the equipment being replaced will continue
until commercial operation of the repowering project, which is
projected to occur in the third quarter 2026. Pre-tax accelerated
depreciation, net of noncontrolling interest impacts, is projected
to total approximately $100 million in 2025 and $40 million in
2026.
|
|
Southern
Company
|
|
EPS Earnings
Analysis
|
|
|
|
|
|
Description
|
Three Months
Ended
December
2024 vs. 2023
|
|
Year-To-Date
December
2024 vs.
2023
|
|
|
|
|
|
Retail Sales
|
1¢
|
|
3¢
|
|
|
|
|
|
Retail Revenue
Impacts
|
18
|
|
89
|
|
|
|
|
|
Weather
|
2
|
|
22
|
|
|
|
|
|
Wholesale and Other
Operating Revenues
|
7
|
|
17
|
|
|
|
|
|
Non-Fuel Operations and
Maintenance Expenses(1)
|
(18)
|
|
(29)
|
|
|
|
|
|
Depreciation and
Amortization
|
(1)
|
|
(10)
|
|
|
|
|
|
Interest Expense and
Other
|
(9)
|
|
(21)
|
|
|
|
|
|
Income Taxes
|
(9)
|
|
(18)
|
|
|
|
|
|
Total Traditional
Electric Operating Companies
|
(9)¢
|
|
53¢
|
|
|
|
|
|
Southern
Power
|
—
|
|
(2)
|
|
|
|
|
|
Southern Company
Gas
|
—
|
|
5
|
|
|
|
|
|
Parent Company and
Other
|
(5)
|
|
(14)
|
|
|
|
|
|
Increase in
Shares
|
—
|
|
(2)
|
|
|
|
|
|
Total Change in EPS
(Excluding Items)
|
(14)¢
|
|
40¢
|
|
|
|
|
|
Estimated Loss on
Plants Under Construction(2)
|
(15)
|
|
(4)
|
|
|
|
|
|
Acquisition and
Disposition Impacts(3)
|
(3)
|
|
(3)
|
|
|
|
|
|
Loss on Extinguishment
of Debt(4)
|
—
|
|
—
|
|
|
|
|
|
Estimated Loss on
Qualifying Infrastructure Plant and
Other Capital Investments(5)
|
4
|
|
7
|
|
|
|
|
|
Impairments(6)
|
—
|
|
(2)
|
|
|
|
|
|
Accelerated
Depreciation from Repowering(7)
|
(1)
|
|
—
|
|
|
|
|
|
Total Change in EPS
(As Reported)
|
(29)¢
|
|
38¢
|
|
|
See Notes on the
following page.
|
|
Southern
Company
EPS Earnings Analysis
|
|
|
|
Notes
|
|
(1)
|
Excludes gains/losses
on asset sales, which are included in "Interest Expense and Other."
Includes non-service cost-related benefits income.
|
|
(2)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax credit to income
of $21 million ($16 million after tax) related to the estimated
probable loss on Plant Vogtle Units 3 and 4 reflecting a
revision to Georgia Power Company's total project capital cost
forecast resulting from a reduction in remaining expected site
demobilization costs and other contractor obligations.
Additionally, earnings for the twelve months ended December 31,
2024 include a $14 million income tax charge related to the
remeasuring of deferred tax assets associated with the previously
recognized estimated probable loss on Plant Vogtle Units 3 and 4
due to a change in the State of Georgia corporate tax rate.
Earnings for the three and twelve months ended December 31, 2023
include a pre-tax credit to income of $228 million ($170 million
after tax) and a pre-tax net credit to income of $68 million ($50
million after tax), respectively, related to the estimated probable
loss on Plant Vogtle Units 3 and 4. Further charges and/or credits
may occur; however, the amount and timing are uncertain. Earnings
for the three and twelve months ended December 31, 2024 and 2023
also include charges (net of salvage proceeds), associated legal
expenses (net of insurance recoveries), and tax impacts related to
Mississippi Power Company's integrated coal gasification combined
cycle facility project in Kemper County, Mississippi. Mississippi
Power Company expects to incur additional pre-tax period costs
related to dismantlement of the abandoned gasifier-related assets
and site restoration activities, including related costs for
compliance and safety, asset retirement obligation accretion, and
property taxes, net of salvage, totaling approximately $15 million
in 2025.
|
|
(3)
|
Earnings for the three
and twelve months ended December 31, 2023 include a $35 million
favorable tax impact related to a reversal of an uncertain tax
position associated with the 2019 sale of Gulf Power Company.
Additionally, earnings for the three and twelve months ended
December 31, 2023 include disposition impacts related to the sales
of natural gas storage facilities at Southern Company Gas. Further
impacts may result from future acquisition and disposition
activities; however, the amount and timing of any such impacts are
uncertain.
|
|
(4)
|
Earnings for the twelve
months ended December 31, 2023 include costs associated with the
extinguishment of debt at Southern Company. Similar transaction
costs may occur in the future at Southern Company or one of its
unregulated subsidiaries; however, the amount and timing of any
such costs are uncertain.
|
|
(5)
|
Earnings for the three
and twelve months ended December 31, 2023 include a pre-tax charge
of $58 million ($44 million after tax) and pre-tax charges totaling
$96 million ($72 million after tax), respectively, for estimated
losses at Southern Company Gas associated with the Illinois
Commerce Commission disallowances related to (1) its review of the
Qualifying Infrastructure Plant (QIP) capital investments by Nicor
Gas under the QIP rider, or Investing in Illinois program and (2)
Nicor Gas' general base rate case proceeding. Further charges may
occur; however, the amount and timing of any such charges are
uncertain.
|
|
(6)
|
Earnings for the twelve
months ended December 31, 2024 include a pre-tax impairment loss of
$36 million ($27 million after tax) associated with the
discontinued development of a multi-use commercial facility at
Alabama Power Company. Impairment charges may occur in the future;
however, the amount and timing of any such charges are
uncertain.
|
|
(7)
|
Earnings for the three
and twelve months ended December 31, 2024 include a pre-tax charge,
net of noncontrolling interests impacts, of $9 million ($7 million
after tax) associated with accelerated depreciation related to the
repowering of the Kay Wind facility at Southern Power. Accelerated
depreciation related to the equipment being replaced will continue
until commercial operation of the repowering project, which is
projected to occur in the third quarter 2026. Pre-tax accelerated
depreciation, net of noncontrolling interest impacts, is projected
to total approximately $100 million in 2025 and $40 million in
2026.
|
|
Southern
Company
|
|
Consolidated
Earnings
|
|
As
Reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
2024
|
|
2023
|
|
Change
|
|
2024
|
|
2023
|
|
Change
|
|
(in
millions)
|
|
(in
millions)
|
|
Retail electric
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Fuel
|
$ 963
|
|
$
1,018
|
|
$ (55)
|
|
$
4,213
|
|
$
4,430
|
|
$
(217)
|
|
Non-fuel
|
3,034
|
|
2,728
|
|
306
|
|
13,577
|
|
11,913
|
|
1,664
|
|
Wholesale electric
revenues
|
512
|
|
537
|
|
(25)
|
|
2,431
|
|
2,467
|
|
(36)
|
|
Other electric
revenues
|
265
|
|
190
|
|
75
|
|
896
|
|
792
|
|
104
|
|
Natural gas
revenues
|
1,236
|
|
1,285
|
|
(49)
|
|
4,456
|
|
4,702
|
|
(246)
|
|
Other
revenues
|
331
|
|
287
|
|
44
|
|
1,151
|
|
949
|
|
202
|
|
Total operating
revenues
|
6,341
|
|
6,045
|
|
296
|
|
26,724
|
|
25,253
|
|
1,471
|
|
Fuel and purchased
power
|
1,136
|
|
1,192
|
|
(56)
|
|
4,979
|
|
5,248
|
|
(269)
|
|
Cost of natural
gas
|
344
|
|
445
|
|
(101)
|
|
1,196
|
|
1,644
|
|
(448)
|
|
Cost of other
sales
|
204
|
|
179
|
|
25
|
|
668
|
|
560
|
|
108
|
|
Non-fuel operations and
maintenance
|
1,996
|
|
1,741
|
|
255
|
|
6,539
|
|
6,093
|
|
446
|
|
Depreciation and
amortization
|
1,218
|
|
1,160
|
|
58
|
|
4,755
|
|
4,525
|
|
230
|
|
Taxes other than income
taxes
|
385
|
|
349
|
|
36
|
|
1,540
|
|
1,425
|
|
115
|
|
Estimated loss on Plant
Vogtle Units 3 and 4
|
—
|
|
(228)
|
|
228
|
|
(21)
|
|
(68)
|
|
47
|
|
Total operating
expenses
|
5,283
|
|
4,838
|
|
445
|
|
19,656
|
|
19,427
|
|
229
|
|
Operating
income
|
1,058
|
|
1,207
|
|
(149)
|
|
7,068
|
|
5,826
|
|
1,242
|
|
Allowance for equity
funds used during
construction
|
68
|
|
68
|
|
—
|
|
235
|
|
268
|
|
(33)
|
|
Earnings from equity
method investments
|
32
|
|
34
|
|
(2)
|
|
139
|
|
144
|
|
(5)
|
|
Interest expense, net
of amounts capitalized
|
693
|
|
634
|
|
59
|
|
2,743
|
|
2,446
|
|
297
|
|
Other income (expense),
net
|
80
|
|
125
|
|
(45)
|
|
530
|
|
553
|
|
(23)
|
|
Income taxes
|
79
|
|
4
|
|
75
|
|
969
|
|
496
|
|
473
|
|
Net
income
|
466
|
|
796
|
|
(330)
|
|
4,260
|
|
3,849
|
|
411
|
|
Net loss attributable
to noncontrolling interests
|
(68)
|
|
(59)
|
|
(9)
|
|
(141)
|
|
(127)
|
|
(14)
|
|
Net income
attributable to Southern
Company
|
$ 534
|
|
$ 855
|
|
$
(321)
|
|
$
4,401
|
|
$
3,976
|
|
$ 425
|
|
|
Certain prior year data
may have been reclassified to conform with current year
presentation.
|
|
Southern
Company
|
|
Kilowatt-Hour Sales
and Customers
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December
|
|
Year-To-Date
December
|
|
2024
|
|
2023
|
|
% Change
|
|
Weather
Adjusted
% Change
|
|
2024
|
|
2023
|
|
% Change
|
|
Weather
Adjusted
% Change
|
|
(in
millions)
|
|
|
|
|
|
(in
millions)
|
|
|
|
|
|
Kilowatt-Hour
Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Sales
|
46,577
|
|
45,351
|
|
2.7 %
|
|
|
|
199,038
|
|
195,507
|
|
1.8 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Retail
Sales
|
34,752
|
|
33,817
|
|
2.8 %
|
|
1.4 %
|
|
148,906
|
|
144,531
|
|
3.0 %
|
|
0.8 %
|
|
Residential
|
10,827
|
|
10,622
|
|
1.9 %
|
|
(0.2) %
|
|
49,269
|
|
47,080
|
|
4.7 %
|
|
(0.5) %
|
|
Commercial
|
11,789
|
|
11,294
|
|
4.4 %
|
|
2.4 %
|
|
50,208
|
|
48,343
|
|
3.9 %
|
|
2.2 %
|
|
Industrial
|
12,005
|
|
11,765
|
|
2.0 %
|
|
2.0 %
|
|
48,894
|
|
48,556
|
|
0.7 %
|
|
0.7 %
|
|
Other
|
131
|
|
136
|
|
(4.1) %
|
|
(4.7) %
|
|
535
|
|
552
|
|
(3.1) %
|
|
(3.7) %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Wholesale
Sales
|
11,825
|
|
11,534
|
|
2.5 %
|
|
N/A
|
|
50,132
|
|
50,976
|
|
(1.7) %
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period Ended
December
|
|
|
|
|
|
|
|
|
|
|
|
2024
|
|
2023
|
|
% Change
|
|
|
|
|
|
|
|
|
|
|
|
(in
thousands)
|
|
|
|
|
|
Regulated Utility
Customers
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Regulated Utility
Customers
|
|
|
|
|
|
8,936
|
|
8,861
|
|
0.8 %
|
|
|
|
Traditional Electric
Operating Companies
|
|
|
|
4,549
|
|
4,487
|
|
1.4 %
|
|
|
|
Southern Company
Gas
|
|
|
|
|
|
4,387
|
|
4,374
|
|
0.3 %
|
|
|
|
Southern
Company
|
|
Financial
Overview
|
|
As
Reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
December
|
|
Year-To-Date
December
|
|
2024
|
|
2023
|
|
% Change
|
|
2024
|
|
2023
|
|
% Change
|
|
(in
millions)
|
|
|
|
(in
millions)
|
|
|
|
Southern Company
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$
6,341
|
|
$
6,045
|
|
4.9 %
|
|
$
26,724
|
|
$
25,253
|
|
5.8 %
|
|
Earnings Before Income
Taxes
|
545
|
|
800
|
|
(31.9) %
|
|
5,229
|
|
4,345
|
|
20.3 %
|
|
Net Income Available to
Common
|
534
|
|
855
|
|
(37.5) %
|
|
4,401
|
|
3,976
|
|
10.7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Alabama Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$
1,751
|
|
$
1,630
|
|
7.4 %
|
|
$
7,554
|
|
$
7,050
|
|
7.1 %
|
|
Earnings Before Income
Taxes
|
246
|
|
216
|
|
13.9 %
|
|
1,763
|
|
1,451
|
|
21.5 %
|
|
Net Income Available to
Common
|
208
|
|
238
|
|
(12.6) %
|
|
1,403
|
|
1,370
|
|
2.4 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Georgia Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$
2,586
|
|
$
2,313
|
|
11.8 %
|
|
$
11,331
|
|
$
10,118
|
|
12.0 %
|
|
Earnings Before Income
Taxes
|
381
|
|
636
|
|
(40.1) %
|
|
3,146
|
|
2,528
|
|
24.4 %
|
|
Net Income Available to
Common
|
294
|
|
533
|
|
(44.8) %
|
|
2,543
|
|
2,080
|
|
22.3 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mississippi Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$ 345
|
|
$ 337
|
|
2.4 %
|
|
$
1,463
|
|
$
1,474
|
|
(0.7) %
|
|
Earnings Before Income
Taxes
|
13
|
|
16
|
|
(18.8) %
|
|
246
|
|
224
|
|
9.8 %
|
|
Net Income Available to
Common
|
13
|
|
15
|
|
(13.3) %
|
|
199
|
|
188
|
|
5.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern Power
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$ 417
|
|
$ 503
|
|
(17.1) %
|
|
$
2,014
|
|
$
2,189
|
|
(8.0) %
|
|
Earnings (Loss) Before
Income Taxes
|
(49)
|
|
(16)
|
|
N/M
|
|
174
|
|
242
|
|
(28.1) %
|
|
Net Income Available to
Common
|
64
|
|
69
|
|
(7.2) %
|
|
328
|
|
357
|
|
(8.1) %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Southern Company Gas
–
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Revenues
|
$
1,236
|
|
$
1,285
|
|
(3.8) %
|
|
$
4,456
|
|
$
4,702
|
|
(5.2) %
|
|
Earnings Before Income
Taxes
|
259
|
|
191
|
|
35.6 %
|
|
998
|
|
826
|
|
20.8 %
|
|
Net Income Available to
Common
|
185
|
|
140
|
|
32.1 %
|
|
740
|
|
615
|
|
20.3 %
|
|
|
N/M - Not
Meaningful
|
|
|
See Financial
Highlights pages for discussion of certain significant items
occurring during the periods.
|
View original content to download
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SOURCE Southern Company