EX-99.02 3 ex9902-financialhighlights.htm EX-99.02 Document

Exhibit 99.02
Page 1
Southern Company
Financial Highlights
(In Millions of Dollars Except Earnings Per Share)
 Three Months Ended JuneYear-To-Date June
Net Income–As Reported (See Notes)2022202120222021
  Traditional Electric Operating Companies$1,036 $511 $1,811 $1,267 
  Southern Power98 36 170 133 
Southern Company Gas115 (65)433 333 
  Total1,249 482 2,414 1,733 
  Parent Company and Other(142)(110)(275)(225)
  Net Income–As Reported$1,107 $372 $2,139 $1,508 
  Basic Earnings Per Share1
$1.04 $0.35 $2.01 $1.42 
  Average Shares Outstanding (in millions)
1,065 1,061 1,064 1,060 
  End of Period Shares Outstanding (in millions)
1,063 1,059 
Non-GAAP Financial MeasuresThree Months Ended JuneYear-To-Date June
Net Income–Excluding Items (See Notes)2022202120222021
  Net Income–As Reported$1,107 $372 $2,139 $1,508 
Less:
Estimated Loss on Plants Under Construction2
(54)(462)(55)(507)
Tax Impact13 118 13 130 
Acquisition and Disposition Impacts5 1 5 1 
Tax Impact(1)— (1)— 
Wholesale Gas Services3
— (147)— 19 
Tax Impact— 35 — (5)
Asset Impairments4
— (89)— (89)
Tax Impact— 25 — 25 
  Net Income–Excluding Items$1,144 $891 $2,177 $1,934 
  Basic Earnings Per Share–Excluding Items$1.07 $0.84 $2.05 $1.82 
- See Notes on the following page.




Exhibit 99.02
Page 2
Southern Company
Financial Highlights

Notes
(1)Dilution is not material in any period presented. Diluted earnings per share was $1.03 and $2.00 for the three and six months ended June 30, 2022 and was $0.35 and $1.41 for the three and six months ended June 30, 2021, respectively.
(2)Earnings for the three and six months ended June 30, 2022 include a charge of $52 million pre tax ($39 million after tax), earnings for the three months ended June 30, 2021 include a charge of $460 million pre tax ($343 million after tax), and earnings for the six months ended June 30, 2021 include charges totaling $508 million pre tax ($379 million after tax) for estimated probable losses on Georgia Power Company's construction of Plant Vogtle Units 3 and 4. Further charges may occur; however, the amount and timing of any such charges are uncertain. Earnings for the three and six months ended June 30, 2022 and 2021 also include charges (net of salvage proceeds), associated legal expenses (net of insurance recoveries), and tax impacts related to Mississippi Power Company's integrated coal gasification combined cycle facility project in Kemper County, Mississippi. Mississippi Power Company expects to incur additional pre-tax period costs to complete dismantlement of the abandoned gasifier-related assets and site restoration activities, including related costs for compliance and safety, asset retirement obligation accretion, and property taxes, net of salvage, totaling $10 million to $20 million annually through 2025.
(3)Earnings for the three and six months ended June 30, 2021 include results of the Wholesale Gas Services business, which was sold on July 1, 2021. Presenting earnings and earnings per share excluding Wholesale Gas Services provided an additional measure of operating performance that excluded the volatility resulting from mark-to-market and lower of weighted average cost or current market price accounting adjustments.
(4)Earnings for the three and six months ended June 30, 2021 include pre-tax impairment charges of $82 million ($58 million after tax) related to Southern Company Gas' investment in the PennEast Pipeline project and $7 million ($6 million after tax) related to a leveraged lease investment. Impairment charges may occur in the future; however, the amount and timing of any such charges are uncertain.