Company: SCE-PL
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000827052-25-000074
Chunk: 69

Company: SOUTHERN CALIFORNIA EDISON Co
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 7
Chunk 69
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ization

An increase in depreciation and amortization expense of $100 million was primarily due to higher plant balances, $60 million of which were pass-through costs mainly associated with wildfire mitigation efforts (offset in "Operating Revenue" above). 

Property and Other Taxes

An increase in property and other taxes expense of $13 million was primarily due to higher assessed property values, $7 million of which were pass-through costs mainly associated with wildfire mitigation efforts (offset in "Operating Revenue" above).

Interest Expense

A net increase in interest expense of $13 million was primarily due to $19 million of higher pass-through expense mainly associated with wildfire mitigation efforts (offset in "Operating Revenue" above), partially offset by lower interest expense caused by lower balancing account overcollections.

Other Income, net

A decrease in other income, net of $30 million, was primarily due to lower interest income driven by lower balancing account undercollection balances and lower rates.

Income Taxes

A decrease in income tax expense of $69 million was primarily due to $46 million of lower tax expense on lower pre-tax income and $23 million higher flow-through tax benefits that are passed through to customers (offset the pre-tax amount in "Operating Revenue"). See "Notes to Condensed Consolidated Financial Statements—Note 8. Income Taxes" for a reconciliation of the federal statutory rate to the effective income tax rate.

Preference Stock Dividend Requirements

A decrease in preference stock dividend requirements of $16 million was primarily due to a lower amount of outstanding preference stock following redemptions in 2024.

10

Six months ended June 30, 2025 versus June 30, 2024

Six months endedJune 30,Favorable (Unfavorable)(in millions)202520242025 to 2024Operating revenue$8,334 $8,388 $(54)Purchased power and fuel2,204 2,242 38 Operation and maintenance2,515 2,549 34 Wildfire-related claims, net of (recoveries)(1,355)614 1,969 Wildfire Insurance Fund expense72 73 1 Depreciation and amortization1,566 1,426 (140)Property and other taxes332 307 (25)Other8 — (8)Total operating expenses5,342 7,211 1,869 Operating income2,992 1,177 1,815 Interest expense(641)(782)141 Other income