Utility Heavyweight Southern Stock Climbs On Strong Q4 Demand

Southern Company (NYSE:SO) stock rose after the company reported fourth-quarter fiscal 2025 results.

Earnings Snapshot

The company reported operating revenue growth of 10.1% year over year (Y/Y) to $6.98 billion, beating the consensus of $6.49 billion. 

Operating expenses rose to $6.06 billion from $5.28 billion in the quarter.

Adjusted EPS of 55 cents, missed the consensus of 57 cents。

Segment Operating Revenues

• Alabama Power $1.937 billion (+10.6% Y/Y)
• Georgia Power $2.713 billion (+4.9% Y/Y)
• Mississippi Power $394 million (+14.2% Y/Y)
• Southern Power $472 million (+13.2% Y/Y) and
• Southern Company Gas $1.492 billion (+20.7% Y/Y).

Key Metrics

Kilowatt-hour sales rose 4.9% year over year, with retail sales up 1.7% and wholesale sales up 14.5%, alongside growth in commercial (+3.0%), residential (+1.3%), and industrial (+0.7%) businesses.

As of the end of December, Total Regulated Utility Customers increased 0.8%, with Total Traditional Electric Operating Companies rising 0.9% and Southern Company Gas up 0.6%. 

“2025 was another outstanding year for Southern Company, and it was also a transformative one. Southern Company is meeting the growing demand responsibly, while continuing to deliver value and benefits to all of our customers,” said Chris Womack, chairman, president, and CEO.

Outlook

Southern projects fiscal 2026 adjusted earnings per share of $4.50 to $4.60, compared with the analyst consensus estimate of $4.56. For the first quarter of fiscal 2026, the company expects adjusted EPS of $1.20, versus the Street view of $1.28.

SO Price Action: Southern shares were up 3.49% at $94.21 at the time of publication on Thursday.

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