Company: SOJE
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000092122-25-000076
Chunk: 303

Company: SOUTHERN CO
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 303
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 period in 2024. The increase was primarily due to a net increase related to the average cost of fuel and purchased power.

For year-to-date 2025, total fuel and purchased power expenses were $309 million compared to $229 million for the corresponding period in 2024. The increase was due to a $65 million increase related to the average cost of fuel and purchased power and a $15 million increase related to the volume of KWHs generated and purchased.

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

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.

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

Second Quarter 2025Second Quarter 2024Year-to-Date 2025Year-to-Date 2024Total generation (in millions of KWHs)3,9454,4568,4848,408Total purchased power (in millions of KWHs)403231591401Sources of generation (percent) –Gas89939092Coal117108Cost of fuel, generated (in cents per net KWH) –Gas3.262.243.392.44Coal5.035.834.985.25Average cost of fuel, generated (in cents per net KWH)3.472.523.572.68Average cost of purchased power (in cents per net KWH)3.884.894.484.36

Other Operations and Maintenance Expenses

Second Quarter 2025 vs. Second Quarter 2024Year-to-Date 2025 vs. Year-to-Date 2024(change in millions)(% change)(change in millions)(% change)$(1)(1.2)$(5)(2.9)

In the second quarter 2025, other operations and maintenance expenses were $82 million compared to $83 million for the corresponding period in 2024