Company: WELPM
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000107815-25-000207
Chunk: 83

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 1
Chunk 83
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 of both gross margin as determined in accordance with GAAP and utility margin, as well as a reconciliation between the two measures.

09/30/2025 Form 10-Q31Wisconsin Electric Power Company

Utility Segment Contribution to Net Income Attributed to Common Shareholder

The following table compares our utility segment's contribution to net income attributed to common shareholder for the third quarter of 2025, with the same quarter in 2024, including favorable or better, "B", and unfavorable or worse, "W", variances.

Three Months Ended September 30(in millions)20252024B (W)Operating revenues$1,201.9 $1,079.3 $122.6 Operating expensesCost of sales (1)401.2 353.9 (47.3)Other operation and maintenance271.2 241.6 (29.6)Depreciation and amortization160.4 145.5 (14.9)Property and revenue taxes29.7 17.0 (12.7)Operating income339.4 321.3 18.1 Other income, net15.5 19.5 (4.0)Interest expense121.3 123.3 2.0 Income before income taxes233.6 217.5 16.1 Income tax expense36.2 47.8 11.6 Preferred stock dividend requirements0.3 0.3 — Net income attributed to common shareholder$197.1 $169.4 $27.7 

(1)    Cost of sales includes fuel and purchased power and cost of natural gas sold.

The following table shows a breakdown of other operation and maintenance:

Three Months Ended September 30(in millions)20252024B (W)Operation and maintenance not included in line items below$111.0 $95.9 $(15.1)Transmission (1)94.5 89.4 (5.1)Regulatory amortizations and other pass through expenses (2)34.6 24.0 (10.6)We Power (3)31.9 32.5 0.6 Earnings sharing mechanism(0.8)(0.2)0.6 Total other operation and maintenance$271.2 $241.6 $(29.6)

(1)Represents transmission expense that we are authorized to