The Southern Company (SO) Q4 2024 earnings summary

Executive summary

• Achieved adjusted EPS of $4.05 for 2024, an 11% increase from 2023 and at the top of guidance.

• Strong operational and financial performance, with robust customer growth and resilience during major weather events.

• Significant economic development in the Southeast, with over 150 companies expanding or locating in the region, supporting 20,000+ new jobs.

• Data center growth is a major driver, with commitments for over 10,000 MW and advanced discussions for more; 80% of pipeline gigawatts attributed to data centers.

• $63B five-year capital plan, with $10B–$15B additional opportunity, focused on regulated investment and grid resilience.

Financial highlights

• 2024 reported EPS was $4.02; adjusted EPS (excluding non-recurring items) was $4.05, up from $3.65 in 2023.

• Q4 2024 adjusted EPS was $0.64, compared to $0.78 in Q4 2023.

• Weather-normalized total retail electricity sales up ~1% year-over-year; commercial sales, led by data centers, up 17%.

• Added 57,000 new residential electric and 26,000 new natural gas customers in 2024, the highest annual addition on record.

• Full-year 2024 operating revenues rose 5.8% to $26.7B, with net income up 10.7% to $4.4B.

Outlook and guidance

• 2025 adjusted EPS guidance range: $4.20–$4.30, midpoint of $4.25 (6% growth from 2024 guidance midpoint).

• Long-term adjusted EPS growth rate guidance remains 5%–7%, underpinned by 7% projected rate base growth.

• Projected consolidated retail electricity sales growth of 2%–3% in 2025; long-term average annual sales growth of ~8% from 2025–2029.

• Georgia Power retail electric sales projected to grow ~12% from 2025–2029.

• Over 90% of projected earnings from state-regulated electric and gas franchises.