Company: SOJE
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000092122-25-000042
Chunk: 212

Company: SOUTHERN CO
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 8
Chunk 212
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 on net income. Short-term opportunity sales are made at market-based rates that generally provide a margin above Georgia Power's variable cost of energy.

Wholesale revenues from sales to affiliated companies will vary depending on demand and the availability and cost of generating resources at each company. These affiliate sales are made in accordance with the IIC, as approved by the FERC. Energy revenues related to these transactions do not have a significant impact on earnings since this energy is generally sold at marginal cost.

Other Revenues

First Quarter 2025 vs. First Quarter 2024(change in millions)(% change)$7842.2

In the first quarter 2025, other revenues were $263 million compared to $185 million for the corresponding period in 2024. The increase was primarily due to $62 million in unregulated sales primarily associated with power delivery construction and maintenance, energy conservation, and renewables projects and $12 million in regulated sales associated with power delivery construction and maintenance projects.

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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 Expenses

First Quarter 2025 vs. First Quarter 2024(change in millions)(% change)Fuel$135 34.7 %Purchased power – non-affiliates21 15.0 Purchased power – affiliates83 45.9 Total fuel and purchased power expenses$239 

In the first quarter 2025, total fuel and purchased power expenses were $949 million compared to $710 million for the corresponding period in 2024. The increase was due to increases of $129 million related to the average cost of fuel and purchased power and $110 million related to the volume of KWHs generated and purchased.

Fuel and purchased power energy transactions do not have a significant impact on earnings since these fuel expenses are generally offset by fuel revenues through Georgia Power's fuel cost recovery mechanism. See Note 2 to the financial statements under "Georgia Power – Fuel Cost Recovery" in Item 8 of the Form 10-K for additional information.

Energy purchases from non-affiliates 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.

Energy purchases from affiliates will vary depending on the demand and the availability