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Segment and Related Information
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment and Related Information SEGMENT AND RELATED INFORMATION
See Note 16 to the financial statements in Item 8 of the Form 10-K for additional information.
Southern Company
The primary businesses of the Southern Company system are electricity sales by the traditional electric operating companies and Southern Power and the distribution of natural gas by Southern Company Gas. The traditional electric operating companies are vertically integrated utilities providing electric service in three Southeastern states. Southern Power develops, constructs, acquires, owns, operates, and manages power generation assets, including renewable energy and battery energy storage projects, and sells electricity at market-based rates in the wholesale market. Southern Company Gas distributes natural gas through its natural gas distribution utilities and is involved in several other complementary businesses including gas pipeline investments and gas marketing services.
Southern Company's reportable business segments are the sale of electricity by the traditional electric operating companies, the sale of electricity in the competitive wholesale market by Southern Power, and the sale of natural gas and other complementary products and services by Southern Company Gas. While the traditional electric operating companies represent three separate operating segments, they are vertically integrated utilities providing electric service to retail customers, as well as wholesale customers, in the Southeast and have been aggregated into one reportable segment. Revenues from sales by Southern Power to the traditional electric operating companies were $112 million and $341 million for the three and nine months ended September 30, 2025, respectively, and $102 million and $280 million for the three and nine months ended September 30, 2024, respectively. Revenues from sales of natural gas from Southern Company Gas to the traditional electric operating companies and Southern Power were immaterial for all periods presented. The "All Other" column includes the Southern Company parent entity, which does not allocate operating expenses to business segments. Also, this category includes segments below the quantitative threshold for separate disclosure. These segments include providing distributed energy and resilience solutions and deploying microgrids for commercial, industrial, governmental, and utility customers, as well as investments in telecommunications. All other inter-segment revenues are not material.
Southern Company's CODM utilizes segment net income, including variances to budget and forecasts, to assess performance and is not provided with segment expense information. To achieve the consolidated net income goal, Southern Company's CODM sets net income expectations for each operating segment, which is expected to monitor its expenses in order to achieve its assigned net income target. Therefore, Southern Company has no reportable significant segment expenses.
Financial data for business segments for the three and nine months ended September 30, 2025 and 2024 was as follows:
Electric Utilities
Traditional
Electric Operating
Companies		Southern
Power		EliminationsTotalSouthern Company Gas
Total Reportable Segments
All
Other		EliminationsConsolidated
(in millions)
Three Months Ended September 30, 2025
Operating revenues$6,438 $613 $(123)$6,928 $734 $7,662 $202 $(41)$7,823 
Other segment items(a)(b)
2,723 332 (123)2,932 464 3,396 209 (41)3,564 
Depreciation and amortization(c)
981 247 — 1,228 176 1,404 18 — 1,422 
Earnings from equity method investments2 — — 2 31 33 — — 33 
Interest expense
339 25 — 364 94 458 297 — 755 
Income taxes (benefit)477 6 — 483 6 489 (85)— 404 
Segment net income (loss)(b)(c)(d)
$1,920 $3 $— $1,923 $25 $1,948 $(237)$— $1,711 
Nine Months Ended September 30, 2025
Operating revenues$17,130 $1,726 $(368)$18,488 $3,552 $22,040 $656 $(124)$22,572 
Other segment items(a)(b)
8,191 930 (368)8,753 2,133 10,886 611 (120)11,377 
Depreciation and amortization(c)
2,885 576 — 3,461 517 3,978 52 — 4,030 
Earnings from equity method investments4 — — 4 93 97 (21)— 76 
Interest expense(e)
990 76 — 1,066 277 1,343 1,000 — 2,343 
Income taxes (benefit)1,074 3 — 1,077 169 1,246 (273)— 973 
Segment net income (loss)(b)(c)(d)(e)
$3,994 $141 $— $4,135 $549 $4,684 $(755)$(4)$3,925 
At September 30, 2025
Goodwill$— $2 $— $2 $5,015 $5,017 $144 $— $5,161 
Total assets111,734 13,595 (943)124,386 26,926 151,312 2,397 (461)153,248 
Electric Utilities
Traditional
Electric Operating
Companies		Southern
Power		EliminationsTotalSouthern Company Gas
Total Reportable Segments
All
Other		EliminationsConsolidated
(in millions)
Three Months Ended September 30, 2024
Operating revenues$5,927 $600 $(105)$6,422 $682 $7,104 $215 $(45)$7,274 
Other segment items(a)(f)
2,691 322 (105)2,908 421 3,329 203 (41)3,491 
Depreciation and amortization898 133 — 1,031 162 1,193 17 — 1,210 
Earnings from equity method investments2 — — 2 34 36 (5)— 31 
Interest expense319 30 — 349 84 433 261 (2)692 
Income taxes (benefit)403 33 — 436 11 447 (70)— 377 
Segment net income (loss)(d)(f)
$1,618 $82 $— $1,700 $38 $1,738 $(201)$(2)$1,535 
Nine Months Ended September 30, 2024
Operating revenues$15,389 $1,597 $(293)$16,693 $3,220 $19,913 $598 $(128)$20,383 
Other segment items(a)(b)(f)
7,293 834 (293)7,834 1,866 9,700 548 (102)10,146 
Depreciation and amortization2,631 378 — 3,009 475 3,484 53 — 3,537 
Earnings from equity method investments4 — — 4 110 114 (8)1 107 
Interest expense954 89 — 1,043 250 1,293 769 (12)2,050 
Income taxes (benefit)885 32 — 917 184 1,101 (211)— 890 
Segment net income (loss)(b)(d)(f)
$3,630 $264 $— $3,894 $555 $4,449 $(569)$(13)$3,867 
At December 31, 2024
Goodwill$— $2 $— $2 $5,015 $5,017 $144 $— $5,161 
Total assets105,577 12,653 (1,025)117,205 26,177 143,382 2,371 (573)145,180 
(a)Primarily consists of fuel, purchased power, cost of natural gas, cost of other sales, other operations and maintenance, taxes other than income taxes, AFUDC equity, non-service cost-related retirement benefits income, and net income (loss) attributable to noncontrolling interests.
(b)For the traditional electric operating companies, includes pre-tax credits to income at Georgia Power related to the estimated probable loss associated with the completion of Plant Vogtle Units 3 and 4 of $33 million ($25 million after tax) for the three and nine months ended September 30, 2025 and $21 million ($16 million after tax) for the nine months ended September 30, 2024. Also includes a pre-tax gain at Georgia Power of approximately $114 million ($84 million after tax) for the nine months ended September 30, 2024 related to the sale of transmission line assets under the integrated transmission system agreement. See Note 2 to the financial statements under "Georgia Power" in Item 8 of the Form 10-K for additional information.
(c)For Southern Power, includes accelerated depreciation related to the repowering of the Kay Wind, Grant Plains, Grant Wind, and Wake Wind facilities of $112 million ($80 million after tax, net of noncontrolling interest impacts) and $181 million ($130 million after tax, net of noncontrolling interest impacts) for the three and nine months ended September 30, 2025, respectively. See Note (K) under "Southern Power – Wind Repowering Projects" herein and Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.
(d)Attributable to Southern Company.
(e)For All Other, includes a pre-tax loss of $129 million ($97 million after tax) associated with the extinguishment of debt at the parent company. See Note (F) under "Convertible Senior Notes" herein for additional information.
(f)For the traditional electric operating companies, includes a pre-tax impairment loss at Alabama Power of $36 million ($27 million after tax) related to Alabama Power discontinuing the development of a multi-use commercial facility, which was sold in July 2025. See Note 1 to the financial statements under "Impairment of Long-Lived Assets" in Item 8 of the Form 10-K for additional information.
Traditional Electric Operating Companies
Each of the traditional electric operating companies' single reportable business segment is the sale of electricity.
Alabama Power and Georgia Power have identified utility operations and maintenance expenses as significant segment expenses provided to their CODMs. Utility operations and maintenance expenses is calculated as other operations and maintenance, as reflected on the statements of income, less expenses from unregulated products and services, losses (gains) on asset dispositions, impairment charges, amortization of cloud software, and, for Georgia Power, charges (credits) for estimated loss on Plant Vogtle Units 3 and 4. Alabama Power's utility operations and maintenance expenses are disaggregated into expenses related to Rate RSE and Rate CNP Compliance. See Note 2 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.
During the third quarter 2025, Mississippi Power updated the information provided to its CODM. As a result, Mississippi Power has identified certain operational and environmental compliance expenses as significant segment expenses and has recast prior period information to conform to the current period presentation.
Financial data for significant segment expenses and other segment information for the three and nine months ended September 30, 2025 and 2024 was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
(in millions)
Alabama Power
Operating revenues$2,318 $2,138 $6,298 $5,803 
Utility operations and maintenance
Rate RSE expenses346 365 1,085 1,028 
Rate CNP Compliance expenses69 72 211 202 
Total utility operations and maintenance415 437 1,296 1,230 
Other segment items(a)(b)
641 594 1,794 1,628 
Depreciation and amortization380 366 1,121 1,091 
Interest expense119 113 343 337 
Income taxes175 135 401 322 
Segment net income(b)
$588 $493 $1,343 $1,195 
Capital expenditures$537 $483 $1,696 $1,404 
Georgia Power
Operating revenues$3,770 $3,472 $9,918 $8,745 
Utility operations and maintenance576 549 1,680 1,510 
Other segment items(a)(c)
942 981 3,048 2,593 
Depreciation and amortization526 462 1,541 1,334 
Interest expense200 184 585 543 
Income taxes278 246 612 516 
Segment net income(c)
$1,248 $1,050 $2,452 $2,249 
Capital expenditures$1,961 $1,557 $5,273 $3,910 
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
(in millions)
Mississippi Power
Operating revenues$480 $412 $1,301 $1,118 
Operational expenses(d)
46 45 134 127 
Environmental compliance expenses(e)
3 3 9 9 
Other segment items(a)
251 200 686 550 
Depreciation and amortization53 48 157 141 
Interest expense19 19 59 58 
Income taxes24 22 58 47 
Segment net income
$84 $75 $198 $186 
Capital expenditures$86 $133 $225 $259 
(a)Primarily consists of fuel, purchased power, expenses from unregulated products and services, losses (gains) on asset dispositions, amortization of cloud software, taxes other than income taxes, AFUDC equity, and non-service cost-related retirement benefits income. For Alabama Power, includes impairment charges. For Georgia Power, includes credits for estimated loss on Plant Vogtle Units 3 and 4. For Mississippi Power, includes employee benefit expenses and affiliate billings. Also includes earnings from equity method investments, which were immaterial for all periods presented.
(b)For the three and nine months ended September 30, 2024, includes a pre-tax impairment loss of $36 million ($27 million after tax) related to Alabama Power discontinuing the development of a multi-use commercial facility, which was sold in July 2025. See Note 1 to the financial statements under "Impairment of Long-Lived Assets" in Item 8 of the Form 10-K for additional information.
(c)Includes pre-tax credits to income related to the estimated probable loss associated with the completion of Plant Vogtle Units 3 and 4 of $33 million ($25 million after tax) for the three and nine months ended September 30, 2025 and $21 million ($16 million after tax) for the nine months ended September 30, 2024. Also includes a pre-tax gain of approximately $114 million ($84 million after tax) for the nine months ended September 30, 2024 related to the sale of transmission line assets under the integrated transmission system agreement. See Note 2 to the financial statements under "Georgia Power" in Item 8 of the Form 10-K for additional information.
(d)Consists of certain operations and maintenance expenses related to PEP and the MRA tariff, including labor costs, materials, contract services, and other normal operational costs. See Note (B) under "Mississippi Power" herein and Note 2 to the financial statements under "Mississippi Power" in Item 8 of the Form 10-K for additional information regarding PEP and the MRA tariff.
(e)Consists of environmental compliance expenses related to ECO Plan and the MRA tariff. See Note (B) under "Mississippi Power" herein and Note 2 to the financial statements under "Mississippi Power" in Item 8 of the Form 10-K for additional information regarding ECO Plan and the MRA tariff.
Southern Power
Southern Power's single reportable business segment is the sale of electricity in the competitive wholesale market. Southern Power's CODM utilizes segment expense information in the form of variances to budget to assess performance; therefore, Southern Power has no reportable significant segment expenses.
Financial data for segment information for the three and nine months ended September 30, 2025 and 2024 was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
(in millions)
Operating revenues
$613 $600 $1,726 $1,597 
Other segment items(a)
332 322 930 834 
Depreciation and amortization(b)
247 133 576 378 
Interest expense25 30 76 89 
Income taxes6 33 3 32 
Segment net income(b)(c)
$3 $82 $141 $264 
(a)Primarily consists of fuel, purchased power, other operations and maintenance, taxes other than income taxes, and net income (loss) attributable to noncontrolling interests.
(b)For the three and nine months ended September 30, 2025, includes accelerated depreciation of $112 million ($80 million after tax, net of noncontrolling interest impacts) and $181 million ($130 million after tax, net of noncontrolling interest impacts), respectively, related to the repowering of the Kay Wind, Grant Plains, Grant Wind, and Wake Wind facilities. See Note (K) under "Southern Power – Wind Repowering Projects" herein and Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.
(c)Southern Power had no earnings from equity method investments for any period presented.
Southern Company Gas
Southern Company Gas manages its business through three reportable segments – gas distribution operations, gas pipeline investments, and gas marketing services. The non-reportable segments are combined and presented as all other.
The gas distribution operations segment is the largest component of Southern Company Gas' business and includes natural gas local distribution utilities that construct, manage, and maintain intrastate natural gas pipelines and gas distribution facilities in four states.
The gas pipeline investments segment consists of joint ventures in natural gas pipeline investments including a 50% interest in SNG and a 50% joint ownership interest in the Dalton Pipeline. These natural gas pipelines enable the provision of diverse sources of natural gas supplies to the customers of Southern Company Gas. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.
The gas marketing services segment provides natural gas marketing to end-use customers primarily in Georgia through SouthStar.
The "All Other" column includes segments and subsidiaries that fall below the quantitative threshold for separate disclosure.
Southern Company Gas' CODM utilizes segment expense information in the form of variances to budget to assess performance; therefore, Southern Company Gas has no reportable significant segment expenses.
Financial data for business segments for the three and nine months ended September 30, 2025 and 2024 was as follows:
Gas Distribution OperationsGas
Pipeline Investments		Gas Marketing Services
Total Reportable Segments
All
Other
EliminationsConsolidated
(in millions)
Three Months Ended September 30, 2025
Operating revenues$668 $8 $58 $734 $1 $(1)$734 
Other segment items(*)
409 1 50 460 5 (1)464 
Depreciation and amortization171 1 3 175 1 — 176 
Earnings from equity method investments— 31 — 31 — — 31 
Interest expense89 10 1 100 (6)— 94 
Income taxes(13)7 1 (5)11 — 6 
Segment net income$12 $20 $3 $35 $(10)$— $25 
Nine Months Ended September 30, 2025
Operating revenues$3,122 $24 $403 $3,549 $11 $(8)$3,552 
Other segment items(*)
1,842 3 284 2,129 12 (8)2,133 
Depreciation and amortization502 4 10 516 1 — 517 
Earnings from equity method investments— 93 — 93 — — 93 
Interest expense252 28 2 282 (5)— 277 
Income taxes (benefit)
109 20 30 159 10 — 169 
Segment net income
$417 $62 $77 $556 $(7)$— $549 
Total assets at September 30, 2025
$25,200 $1,468 $1,667 $28,335 $10,845 $(12,254)$26,926 
Three Months Ended September 30, 2024
Operating revenues$616 $8 $53 $677 $6 $(1)$682 
Other segment items(*)
366 1 50 417 5 (1)421 
Depreciation and amortization156 1 4 161 1 — 162 
Earnings from equity method investments— 34 — 34 — — 34 
Interest expense75 8 1 84 — — 84 
Income taxes(2)8 — 6 5 — 11 
Segment net income (loss)$21 $24 $(2)$43 $(5)$— $38 
Nine Months Ended September 30, 2024
Operating revenues$2,828 $24 $358 $3,210 $19 $(9)$3,220 
Other segment items(*)
1,612 3 244 1,859 16 (9)1,866 
Depreciation and amortization459 4 11 474 1 — 475 
Earnings from equity method investments— 110 — 110 — — 110 
Interest expense229 26 2 257 (7)— 250 
Income taxes (benefit)
125 24 29 178 6 — 184 
Segment net income$403 $77 $72 $552 $3 $— $555 
Total assets at December 31, 2024
$24,067 $1,573 $1,696 $27,336 $10,047 $(11,206)$26,177 
(*)Primarily consists of cost of natural gas, other operations and maintenance, taxes other than income taxes, AFUDC equity, and non-service cost-related retirement benefits income.