Company: SOJE
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000092122-25-000084
Chunk: 326

Company: SOUTHERN CO
Filing Date: 2025-10-30
Form: 10-Q
Item: Item 8
Chunk 326
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8 %$116 34.7 %Purchased power1 9.1 9 31.0 Total fuel and purchased power expenses$45 $125 

In the third quarter 2025, total fuel and purchased power expenses were $179 million compared to $134 million for the corresponding period in 2024. The increase was primarily due to a $24 million net increase related to the average cost of fuel and purchased power and a $21 million increase related to the volume of KWHs generated and purchased.

For year-to-date 2025, total fuel and purchased power expenses were $488 million compared to $363 million for the corresponding period in 2024. The increase was due to an $89 million net increase related to the average cost of fuel and purchased power and a $36 million increase related to the volume of KWHs generated and purchased.

Fuel and purchased power energy transactions do not have a significant impact on earnings since energy expenses are generally offset by energy revenues through Mississippi Power's fuel cost recovery clause.

Energy purchases will vary depending on the market prices of wholesale energy as compared to the cost of the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. These purchases are made in accordance with the IIC or other contractual agreements, as approved by the FERC.

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

Details of Mississippi Power's generation and purchased power and the related costs were as follows:

Third Quarter 2025Third Quarter 2024Year-to-Date 2025Year-to-Date 2024Total generation (in millions of KWHs)5,6274,90514,11013,313Total purchased power (in millions of KWHs)264232855633Sources of generation (percent) –Gas88898991Coal1211119Cost of fuel, generated (in cents per net KWH) –Gas2.952.253.212.37Coal4.355.394.705.31Average cost of fuel, generated (in cents per net KWH)3.132.623.392.66Average cost of purchased power (in cents per net KWH)4.454.714.474.49

Other Operations and Maintenance Expenses

Third Quarter 2025 vs.