Company: SOJE
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000092122-25-000042
Chunk: 262

Company: SOUTHERN CO
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 2
Chunk 262
---
2024(change in millions)(% change)$2868.3

In the first quarter 2025, wholesale revenues from sales to affiliates were $69 million compared to $41 million for the corresponding period in 2024. The increase was primarily due to a 78.7% increase in the price of energy due to an increase in natural gas prices, partially offset by a 5.6% decrease in the volume of KWH sales due to affiliated company energy needs.

Wholesale revenues from sales to affiliated companies will vary depending on demand and the availability and cost of generating resources at each company. These affiliate sales are made in accordance with the IIC, as approved by the FERC. Energy revenues related to these transactions do not have a significant impact on earnings since this energy is generally sold at marginal cost and energy purchases are generally offset by energy revenues through Alabama Power's energy cost recovery clause.

90

    Table of Contents                                Index to Financial StatementsMANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONAND RESULTS OF OPERATIONS (Continued)

Other Revenues

First Quarter 2025 vs. First Quarter 2024(change in millions)(% change)$2929.0

In the first quarter 2025, other revenues were $129 million compared to $100 million for the corresponding period in 2024. The increase was primarily due to a $14 million increase in transmission revenue primarily associated with open access transmission tariff sales and an $11 million increase in regulated energy services revenues.

Fuel and Purchased Power Expenses

First Quarter 2025 vs. First Quarter 2024(change in millions)(% change)Fuel$55 16.6 %Purchased power – non-affiliates17 32.7 Purchased power – affiliates13 31.0 Total fuel and purchased power expenses$85 

In the first quarter 2025, total fuel and purchased power expenses were $510 million compared to $425 million for the corresponding period in 2024. The increase was due to a $50 million increase related to the volume of KWHs generated and purchased and a $35 million net increase related to the average cost of fuel and purchased power. 

Fuel and purchased power energy transactions do not have a significant impact on earnings since energy expenses are generally offset by energy revenues through Alabama Power's energy cost recovery clause. See Note 2 to the financial statements under "Alabama Power – Rate E