Southern Company reports first-quarter 2018 earnings
ATLANTA, May 2, 2018 -- Southern Company reported first-quarter 2018 earnings of $938 million, or 93 cents per share, compared with earnings of $658 million, or 66 cents per share, in the first quarter of 2017.
Excluding the items described in the "Net Income – Excluding Items" table below, Southern Company earned $893 million, or 88 cents per share, during the first quarter of 2018, compared with $652 million, or 66 cents per share, during the first quarter of 2017.
| Non-GAAP Financial Measure |
Three Months Ended March |
||||
Net Income - Excluding Items (in millions) |
2018 |
2017 |
|||
Net Income - As Reported |
$938 |
$658 |
|||
Estimated Loss on Kemper IGCC |
44 |
108 |
|||
Tax Impact |
(11) |
(41) |
|||
Loss on Plant Scherer Unit 3 |
- |
33 |
|||
Tax Impact |
- |
(13) |
|||
Acquisition, Integration, and Disposition Costs |
62 |
4 |
|||
Tax Impact |
(5) |
(1) |
|||
Wholesale Gas Services |
(139) |
(114) |
|||
Tax Impact |
35 |
46 |
|||
Earnings Guidance Comparability Items: |
|||||
Equity Return Related to Kemper IGCC Schedule Extension |
- |
(23) |
|||
Tax Impact |
- |
(5) |
|||
Adoption of Tax Reform |
(31) |
- |
|||
Net Income – Excluding Items |
$893 |
$652 |
|||
Average Shares Outstanding – (in millions) |
1,011 |
993 |
|||
Basic Earnings Per Share – Excluding Items |
$0.88 |
$0.66 |
|||
NOTE: For more information regarding these non-GAAP adjustments, see the footnotes accompanying the Financial Highlights page of the earnings package. |
|||||
Earnings drivers year-over-year for the first quarter of 2018 were positively influenced by revenue effects primarily driven by weather at our state-regulated electric utilities and by infrastructure investments at Southern Company Gas, as well as the optimization of Southern Power's state tax positions. These impacts were partially offset by increased depreciation and amortization.
"Each of our major business units had a tremendous start to the year," said Chairman, President and CEO Thomas A. Fanning. "Our premier, state-regulated electric and gas utilities, as well as our other businesses, have performed exceptionally well and are on track to deliver on their targets for 2018."
First quarter 2018 operating revenues were $6.37 billion, compared with $5.77 billion for the first quarter of 2017, an increase of 10.4 percent.
Southern Company's first quarter earnings slides with supplemental financial information are available at http://investor.southerncompany.com.
Southern Company's financial analyst call will begin at 1 p.m. Eastern Time today, during which Fanning and Chief Financial Officer Art P. Beattie will discuss earnings and provide a general business update. Investors, media and the public may listen to a live webcast of the call and view associated slides at http://investor.southerncompany.com/webcasts. A replay of the webcast will be available on the site for 12 months.
