Company: SCE-PL
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000827052-25-000074
Chunk: 96

Company: SOUTHERN CALIFORNIA EDISON Co
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 7
Chunk 96
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885 and 1,899,476 shares of common stock for the three months ended June 30, 2025 and 2024, respectively, 9,041,783 and 3,051,134 shares of common stock for the six months ended June 30, 2025 and 2024, respectively, were outstanding, but were not included in the computation of diluted earnings per share because the effect would have been antidilutive.

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Revenue RecognitionRevenue is recognized by Edison International and SCE when a performance obligation to transfer control of the promised goods is satisfied or when services are rendered to customers. This typically occurs when electricity is delivered to customers, which includes amounts for services rendered but unbilled at the end of a reporting period.Regulatory Proceedings2025 General Rate CaseIn July 2025, the CPUC issued a proposed decision on the 2025 GRC that, if adopted, would result in a base rate revenue requirement of $9.8 billion in 2025, an increase of $1,174 million over revenue requirement authorized for 2024.Since January 1, 2025, SCE is recognizing revenue based on the 2024 authorized revenue requirement, adjusted to reflect the 2025 CPUC-authorized ROE, until a final GRC decision is issued. The CPUC has also approved the establishment of a memorandum account to track changes in the authorized revenue requirement effective January 1, 2025. SCE cannot predict the revenue requirement the CPUC will ultimately authorize or forecast the timing of a final decision.FERC 2025 Formula Rate UpdateIn November 2024, SCE filed its 2025 annual transmission revenue requirement update with the FERC, with rates effective January 1, 2025. The update reflects a 2025 transmission revenue requirement of $1.3 billion, which is a $220 million, or 20%, increase from the 2024 annual revenue requirement. The lower revenue in 2024 was due to a return of prior year overcollections. Pending resolution of the FERC formula rate proceedings, SCE recognized revenue in the first six months of 2025 based on the FERC 2025 annual update rate, subject to refund.New Accounting GuidanceAccounting Guidance AdoptedNo material accounting standards were adopted in the six months ended June 30, 2025. Accounting Guidance Not Yet AdoptedIn December 2023, the FASB issued an accounting standards update requiring public entities to provide more disclosures primarily related to the income tax rate reconciliation