Company: WELPM
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0000107815-25-000204
Chunk: 139

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 8
Chunk 139
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 this measure is not intended to replace gross margin as determined in accordance with GAAP as an indicator of operating performance. Our utility segment discussion below includes a table that provides the calculation of both gross margin as determined in accordance with GAAP and utility margin, as well as a reconciliation between the two measures.

Utility Segment Contribution to Net Income Attributed to Common Shareholder

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

Three Months Ended June 30(in millions)20252024B (W)Operating revenues$1,010.8 $902.0 $108.8 Operating expensesCost of sales (1)326.3 279.9 (46.4)Other operation and maintenance249.8 237.4 (12.4)Depreciation and amortization156.3 142.0 (14.3)Property and revenue taxes29.6 29.3 (0.3)Operating income248.8 213.4 35.4 Other income, net12.3 16.2 (3.9)Interest expense121.3 120.4 (0.9)Income before income taxes139.8 109.2 30.6 Income tax expense21.0 23.6 2.6 Preferred stock dividend requirements0.3 0.3 — Net income attributed to common shareholder$118.5 $85.3 $33.2 

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

06/30/2025 Form 10-Q30Wisconsin Electric Power Company

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

Three Months Ended June 30(in millions)20252024B (W)Operation and maintenance not included in line items below$91.1 $89.6 $(1.5)Transmission (1)94.4 89.5 (4.9)We Power (2)32.5 33.1 0.6 Regulatory amortizations and other pass through expenses (3)33.6 25.4 (8.2)Earnings sharing mechanism(1.8)(0.2)1.6 Total other