8-KEarnings & Results

SOUTHERN CO 8-K Report, Financial Results (Jul 31, 2019)

Filed July 31, 2019For Securities:SOSOJESOJFSOJCSOJDSOMN

Summary

Southern Company (SO) filed an 8-K on July 31, 2019, to report its financial results for the three-month and six-month periods ended June 30, 2019. The filing primarily contains a press release and supplementary financial information (Exhibits 99.01-99.07) detailing earnings, earnings per share (EPS), segment performance, and customer/sales data. Of particular note for investors is Southern Company's presentation of both GAAP and non-GAAP financial measures. The non-GAAP figures exclude items such as acquisition, disposition, and integration impacts, charges related to plants under construction, and earnings from the Wholesale Gas Services business. The company asserts these adjusted figures provide a clearer view of ongoing business performance, a perspective management also uses for evaluation. Investors should carefully review the reconciliations provided in the exhibits to understand the adjustments made.

Key Highlights

  • 1Southern Company released its Q2 2019 earnings report on July 31, 2019.
  • 2The filing includes detailed financial results for the three-month and six-month periods ending June 30, 2019.
  • 3Both GAAP and non-GAAP financial measures are presented, with non-GAAP measures excluding certain items to reflect ongoing operations.
  • 4Key excluded items for non-GAAP reporting include acquisition/disposition impacts, charges for plants under construction, and specific business segment earnings.
  • 5Historical adjustments for 2018, such as settlement proceeds from a Deepwater Horizon claim and tax reform benefits, are also detailed.
  • 6Exhibits provide segment information for major subsidiaries like Alabama Power, Georgia Power, Mississippi Power, Southern Power, and Southern Company Gas.
  • 7Kilowatt-hour sales and customer data are also furnished as part of the financial overview.

Frequently Asked Questions

The main purpose of this 8-K filing is to announce and provide details on Southern Company's financial results for the second quarter and the first half of 2019, including earnings, EPS, and segment performance.

Southern Company presents non-GAAP measures because management believes they offer investors a more useful view of the company's ongoing business performance by excluding certain items that may not be representative of regular operations. These exclusions can include acquisition/disposition impacts and charges related to construction projects.

For the periods ended June 30, 2019, the non-GAAP earnings and EPS exclude acquisition, disposition, and integration impacts, charges related to plants under construction, and earnings from Southern Company Gas's Wholesale Gas Services business.

The detailed financial information, including reconciliations of non-GAAP measures to the most comparable GAAP measures, is provided in the exhibits to this 8-K filing, specifically Exhibits 99.01 through 99.07.