Southern Company (the) · NYSE:SO
Southern Company (the) — The Southern Company — Q4 2025 Earnings Presentation
50 slides from Southern Company (the)'s earnings presentation, Feb 19, 2026
Slide 1: Fourth Quarter 2025 Earnings Conference Call
Fourth Quarter 2025 Earnings Conference Call February 19, 2026
Slide 2: Cautionary Note Regarding Forward-Looking Statements
Cautionary Note Regarding Forward-Looking Statements Certain information contained in this presentation is forward-looking information based on current expectations and plans that involve risks and uncertainties. Forward-looking information includes, among other things, financial objectives, earning
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to including earnings per share (EPS) in accordance with generally accepted accounting principles (GAAP), this presentation also includes historical adjusted EPS excluding: (1) estimated loss on plants under construction, (2) accelerated depreciation from repo
Slide 4: Delivering Results, Strengthening Outlook
2025 Adjusted earnings at the top of 2025 guidance range Delivering Earnings 2025 Adjusted EPS of $4.30 – 9% annualized growth from 2023 adjusted EPS Results Large 10GWs signed contracts support growth across our footprint Load Another 10GW of projects are finalizing agreements or in late-stage nego
Slide 5: Recent Southern Company Recognition
Recent Southern Company Recognition 2025 World’s Most Trustworthy Companies Newsweek Magazine #1 Energy Company in America 2025 Best for Vets: Employers Military Times (No. 1 ranking) 2025 Top U.S. Utilities 2026 World’s Most for Economic 2025 National Key 2026 America’s Admired Companies Developmen
Slide 6: Serving our 9M+ customers with operational excellence
Serving our 9M+ customers with operational excellence Recent extreme winter weather Expanding and operating our fleet ➢ Deployed 15,000+ personnel across the Southeast to quickly respond to ➢ Vogtle Units 3 & 4 achieved top decile safety performance and extreme weather conditions exceptional reliabi
Slide 7: Financial Results
Financial Results 7
Slide 8: Regular, Predictable, and Sustainable Financial Results
Regular, Predictable, and Sustainable Financial Results Trusted to deliver Earnings Results Credit Metrics Dividends 2025 adjusted earnings of $4.30 FFO to Debt1 2025 Dividends per share o 6% growth from 2024 o 9% annualized growth from 2023 15.4% 14.8% Adjusted Earnings Per Share $4.30 Average Annu
Slide 9: 2025 Earnings Results
2025 Earnings Results Q4 YTD 2025 2024 2025 2024 Earnings Per Share As Reported $0.38 $0.49 $3.94 $4.02 Less: Estimated Loss on Plants Under Construction1 $0.01 - $0.03 ($0.01) Accelerated Depreciation from Repowering2 ($0.08) ($0.01) ($0.20) - Loss on Extinguishment of Debt3 ($0.08) - ($0.17) - Dis
Slide 10: 2025 Year-Over-Year Adjusted Drivers
2025 Year-Over-Year Adjusted Drivers1 34¢ 2¢ 1¢ (9¢) (3¢) $4.30 $4.05 Southern Southern Shares Parent & State- Company Power Other Regulated Gas Electrics 2025 Key Drivers + Investment in state-regulated utilities + Usage and customer growth + Other revenues - O&M and other2 - Depreciation and amort
Slide 11: 2026 Adjusted EPS Guidance
2026 Adjusted EPS Guidance1 = $4.50 to $4.60 >90% of projected earnings from premier state-regulated electric and gas franchises $0.12 $0.36 All Other ($0.90) Competitive power, $4.60 LDCs FERC-regulated to pipelines, and other Parent $0.53 $4.50 assets under long- term contract Q1 2026 Adjusted EPS
Slide 12: Retail Electricity Sales Growth vs. Prior Year
Retail Electricity Sales Growth vs. Prior Year Growth across all customer classes in 2025 Growth at every electric utility in 2025 ➢ Residential sales bolstered by strong customer growth ➢ Alabama Power weather-normal sales higher across all with the addition of 39,000 new customers customer classes
Slide 13: 120+ companies announced plans to locate/expand in Alabama, Georgia and Mississippi
120+ companies announced plans to locate/expand in Alabama, Georgia and Mississippi in 2025, representing 21K jobs and $23B of investment Recent Announcements Across Diversified Industries 120+ companies announced 21,000 new jobs led by manufacturing, warehouse, headquarters and office expansions Co
Slide 14: Business Outlook Update
Business Outlook Update 14
Slide 15: Extraordinarily positioned to capture growth
Extraordinarily positioned to capture growth Our Approach To Delivering Value For Customers and Investors Market Structure Business Profile Scale Vertically integrated Utilities & competitive power To deliver Balance Sheet Regulation Location Size & durability Constructive & orderly Growing economie
Slide 16: Large Load Customer Update
Large Load Customer Update 10GW of contracts across Alabama, Georgia, and Mississippi ➢ 10GW of contracted large load customers Combined Large Load Outlook increase of 2GW vs. prior quarter Projects Ultimate Ramp ➢ Finalizing 3GW of additional agreements across three projects in Alabama and Georgia
Slide 17: Protecting customers and delivering benefits
Protecting customers and delivering benefits Approach To Contracting Large Loads Recent Regulatory Actions Contract Length At least 15 years for data centers and July Rate plan extension freezes 10 years for all others 2025 base rates1 until at least 2029 Pricing & Minimum Bills December All compone
Slide 18: Robust Sales Outlook
Robust Sales Outlook Large load customers materializing into higher projected sales 2025 Retail Sales Large Load Customers Sales Forecast Electric sales growth in 2025 was 10GW of contracts with large load Projected Retail Electric Sales Growth more than double the cumulative customers represents a
Slide 19: Investing capital to reliably serve customers
Investing capital to reliably serve customers 2026 Base Capex Plan: $81B (2026-2030) Base capital plan has increased $18B, or 30%, from the prior year’s 5-year total, and supports $19B 9% projected state-regulated rate base growth $18B $16B $16B $15B Additional Opportunities Above Base Plan $13B Sta
Slide 20: Over half of the $81B 5-year capital plan allocated to serving growth
Over half of the $81B 5-year capital plan allocated to serving growth in our service territory $42B Growth-Related Capital in 5-year Base Capital Plan (2026-2030) $21B new generation resources, $17B transmission and uprates, and modernization distribution growth ➢ 5 combined cycles, 3 combustion tur
Slide 21: New infrastructure to reliably serve growth
New infrastructure to reliably serve growth 10GW of state-regulated company-owned new generation underway, with assets projected to be placed in-service each year 2026 2027 2028 2029 2030 1.2GW 1.5GW 1.9GW 2.3GW 2.8GW Bowen Unit 8 (CC) Bowen Unit 7 (CC) 780 MW 780 MW Wansley Unit 11 (CC) Yates Unit
Slide 22: Equipped to execute large-scale build outs
Equipped to execute large-scale build outs To reliably serve our growing customer base ➢ All necessary equipment reserved for the portfolio of BESS, combined cycle, solar, and transmission projects ➢ Turnkey fixed-price EPC agreements in place for project work being performed by external contractors
Slide 23: Addressing equity needs consistent with credit objectives
Addressing equity needs consistent with credit objectives Proactive approach through 2025 in addressing $9B of equity provides $2B flexibility for remaining $2B projected Remaining equity need through 2030 Internal Need Equity Units $1.4B $350M annually $9B ATM $2.0B through 2029 Equity Issued in 20
Slide 24: Strengthening Long-term Outlook
Strengthening Long-term Outlook Recognizing transformative growth over the next 5 years 8% Average Annual Growth from 2026 to 2030 $6.30 Adjusted Earnings Per Share Guidance $5.80 $5.45 $5.30 9% $5.25 $4.95 $4.80 $4.60 8% $4.85 $4.30 7% $4.50 $4.30 $4.20 2026 2027 2028 2029 2030 2025 2026 2027 2028
Slide 25: Business Outlook Update: By the Numbers
Business Outlook Update: By the Numbers Economic Investment Financial 10% Sales Growth 9% Rate Base Growth 8% EPS Growth to ‘301 Forecasted Annually through 2030 Forecasted Annually through 2030 7% to 8% long-term from ‘28 base vs. 8% on prior Q4 call vs. 7% on prior Q4 call vs. 5% to 7% on prior Q4
Slide 26: Southern Company Value Proposition
Southern Company Value Proposition: Objective of Regular, Predictable and Sustainable Strategy: Maximize long-term value to shareholders through a customer-, community-, and relationship-focused business model that produces sustainable levels of return for investors Objective of maintaining a high d
Slide 27: Business Overview
Business Overview 27
Slide 28: State-Regulated Electric Utilities: Premier Vertically-integrated Franchises
State-Regulated Electric Utilities: Premier Vertically-integrated Franchises Serving 4.6 million customers A customer-focused and growing business model delivering clean, safe, reliable and affordable power Providing value to all customers Delivering reliable and resilient service to all customers,
Slide 29: State-Regulated Electric Utilities Overview
State-Regulated Electric Utilities Overview $120B Projected Capital Investment Composition 2026 - 2030 $77B (Consistent with Base Capital Investment Plan) 8% 2025 2026 2027 2028 2029 2030 6% 2025 2025 Invested Allowed Retail 12% Customers Capital1 Equity Ratio $68B Georgia Power 2.8M $47B 56%2 57% A
Slide 30: State-Regulated Natural Gas Utilities: Premier Local Distribution Companies
State-Regulated Natural Gas Utilities: Premier Local Distribution Companies Serving 4.4 Million Customers A customer-focused business model delivering clean, safe, reliable and affordable natural gas 6% projected rate base growth Pipeline modernization enhancing resilience and reliability while also
Slide 31: State-Regulated Gas LDCs Overview
State-Regulated Gas LDCs Overview $18B Projected Capital Investment Composition $13B 2026 - 2030 (Consistent with Base Capital Investment Plan) 19% 15% 2025 2026 2027 2028 2029 2030 7% 2025 2025 Rate Allowed Customers Base1 Equity Ratio $9B Nicor Gas (IL) 2.3M $6B 50% Atlanta Gas Light (GA) 1.7M $5B
Slide 32: Competitive Power Business: Disciplined, Long-Term Contract Model
Competitive Power Business: Disciplined, Long-Term Contract Model Recent Activities Growth Opportunities Industry leading portfolio Technology and geographic diversity delivering ➢ Re-contracted 1GW of gas assets ➢ Pursuing up to 700MW of capacity since ’23 at 2x-3x historical pricing uprates on exi
Slide 33: FERC-Regulated Pipelines and Southern Telecom
FERC-Regulated Pipelines Southern Telecom ➢ 78,500 miles of FERC-regulated, interstate pipeline ➢ Provides fiber, colocation and ancillary services with a across the Southeastern U.S. and Illinois regional focus in the Southeastern U.S. ➢ 50% owner of Southern Natural Gas Pipeline ➢ Operates and mai
Slide 34: Leading Distributed Energy Innovation Company
Leading Distributed Energy Innovation Company 3GW+ Installed microgrid capacity 2,500 microgrid customer sites Distinctively positioned to meet growing load management and Industry-leading reliability 96 MW fuel cell portfolio capacity bridge power demand Designs, builds, and manages microgrids that
Slide 35: Capital Investment Update
Capital Investment Update 35
Slide 36: $81B base capital investment plan: 95% at state-regulated utilities
$81B base capital investment plan: 95% at state-regulated utilities $18 billion or ~30% increase from previous 5-year total Base capital plan supports projected state-regulated rate base growth of 9% and underpins 8% projected adjusted EPS growth through 2030 $9.5B State-regulated Gas (6% avg. annua
Slide 37: Investing to deliver clean, safe, reliable and affordable energy
Investing to deliver clean, safe, reliable and affordable energy to customers State-Regulated Electric Utilities State-Regulated Gas Utilities billions billions $38.3 Growth $1.4 $11.4 Maintenance $0.7 $8.2 Resilience $2.9 $67.7B $4.1 Compliance $2.7 $9.5B 2026-2030 2026-2030 Capital Investment Plan
Slide 38: ~$81 billion in projected capital investment through 2030 (Company View)
~$81 billion in projected capital investment through 2030 Company View (in billions) Total 2026 2027 2028 2029 2030 '26-'30 Alabama Power $2.3 $2.3 $2.3 $2.3 $2.1 $11.3 Georgia Power 10.4 13.0 12.4 10.4 8.1 54.3 Mississippi Power 0.4 0.4 0.4 0.4 0.3 1.9 State-Regulated Electrics1 $13.2 $15.9 $15.1 $
Slide 39: ~$81 billion in projected capital investment through 2030 (Functional View)
~$81 billion in projected capital investment through 2030 Functional View (in billions) Total 2026 2027 2028 2029 2030 26-'30 New Generation - Thermal $2.4 $2.8 $3.1 $2.3 $0.5 $11.1 New Generation - Battery Storage 1.3 2.7 1.8 0.9 0.3 6.9 New Generation - Renewables 0.1 0.4 0.2 0.0 0.2 1.0 New Gener
Slide 40: Planned State-Regulated Company-Owned New Generation
Planned State-Regulated Company-Owned New Generation Nominal Capacity Nominal Capacity Projected Technology Resource (MW) (MW) In-Service Year Hammond Phase I 58 2026 McGrau Ford Phase I 265 2026 McGrau Ford Phase II 265 2026 Moody AFB 50 2026 Robins AFB 128 2026 Twiggs County 200 2027 Gorgas 150 20
Slide 41: Capital Markets / Financing
Capital Markets / Financing 41
Slide 42: Long-term Debt Financings
Long-term Debt Financings1 as of February 19, 2026 Projected Total (in millions) 2026 2027 2028 2026-2028 Alabama Power - 1,125 300 1,425 Georgia Power 3,600 6,100 3,500 13,200 Mississippi Power 200 125 325 650 Total State-Regulated Electrics $3,800 $7,350 $4,125 $15,275 Southern Power 600 300 - 900
Slide 43: Long-term Maturity Schedule
Long-term Maturity Schedule1 as of February 19, 2026 Actual Projected Total Remaining Long-term Debt (in millions) YTD 2026 2026 2027 2028 2026-2028 Alabama Power 45 550 107 702 Georgia Power 1,224 986 1,586 3,796 Mississippi Power 65 9 356 431 Total State-Regulated Electrics 2 - $1,404 $1,545 $2,04
Slide 44: Long-term Debt Maturity Tower
Long-term Debt Maturity Tower1 $8,000 as of February 19, 2026 Long-term Debt1 Alabama Power $12.1B $7,000 Georgia Power $20.9B Mississippi Power $1.8B $6,000 Southern Company Gas Capital 2 $6.1B Nicor Gas $2.9B $5,000 4800 Southern Power $2.9B Parent Company $23.4B $4,000 Total Long-term Debt Maturi
Slide 45: Liquidity and Credit
Liquidity and Credit as of December 31, 2025 $8.9 billion in committed credit facilities and available liquidity of $8.3 billion (in millions) 20263 2027 2028 2029 2030 Total Credit Facility Expirations $30 $625 - $650 $7,600 $8,905 Alabama Georgia Mississippi Southern Southern Parent (in millions)
Slide 46: Internal FFO to Debt Calculation
Internal FFO to Debt Calculation 2024 Actual 2025 Actual Numerator (in millions) (in millions) (using 2025 Form 10-K Statements of Cash Flow) $9,788 $9,802 • Net cash provided from operating activities 1,421 399 • Less: Changes in certain current assets and liabilities (566) (634) • Less: Settlement
Slide 47: State-Regulated Utilities Regulatory Mechanisms and Schedules
State-Regulated Utilities Regulatory Mechanisms and Schedules 47
Slide 48: Other Regulatory Mechanisms
Regulatory Recovery Mechanisms – Electric Subsidiaries1 Annual base rate (Rate RSE) Three-year base rate case cycle Annual base rate (PEP-6) Base Rates and clause filings with annual compliance filings and clause filings Fuel ECR Fuel Rates Fuel Rates Purchased Power Energy ECR Fuel Rates Fuel Rates
Slide 49: Regulatory Mechanisms – Gas LDCs
Regulatory Mechanisms – Gas LDCs1 Rate Decoupling (Revenue Normalization) (Straight –Fixed –Variable) (Revenue Normalization)2 Weather Normalization Bad Debt Recovery3 Energy Efficiency Plan Recovery Annual Base Rate Adjustment Mechanisms (GRAM) (ARM) Infrastructure Programs
Slide 50: Georgia Power Storm and Fuel Case Timelines
Georgia Power Storm and Fuel Case Timelines – 2026 Fuel Case (Docket No. 56765) Storm Case (Docket No. 44280) February 17 – File application and testimony February 17 – File application and testimony April 9 – Staff/Intervenors file testimony April 17 – Staff/Intervenors file testimony April 23 – Co