The Southern Company

Southern Company supplies electricity and natural gas through regulated utilities and owns power-generation and energy infrastructure businesses. Customer use, rates approved by regulators and investment in its networks and generating plants shape its earnings.

Earnings and operating history

For the third quarter ended September 30, 2026, Southern reported $8.84 billion of revenue and $2.05 billion of net income attributable to the company. Adjusted basic earnings per share rose to $1.94 from $1.60 a year earlier.

Southern Company: third-quarter results. Dollar amounts are millions except per-share figures; revenue, net income and basic EPS are GAAP. Adjusted basic EPS excludes the items described below.

Measure	2026	2025
Revenue	$8,843	$7,823
Net income attributable to Southern	$2,046	$1,711
Basic EPS	$1.77	$1.55
Adjusted basic EPS	$1.94	$1.60
Average basic shares, millions	1,157	1,102

The adjusted measure excludes wind-repowering depreciation and decommissioning costs, debt-extinguishment effects, certain regulatory and construction charges, and disposition effects. Third-quarter wind charges were $118 million before tax, or $92 million after tax. At September 30, Southern expected about $100 million of further pre-tax wind charges in the rest of 2026 and $135 million in 2027.

Expectations and investment

Southern's July presentation forecast $1.65 of third-quarter adjusted EPS and pointed toward the top of its $4.50–$4.60 annual range. After reporting $1.94 for the quarter, it raised the 2026 outlook to $4.70 and estimated fourth-quarter adjusted EPS of 30 cents.

The identified 2026–2030 capital plan is now approximately $85 billion, including about $4 billion beyond the $81 billion base. Further opportunities could take the plan toward $100 billion. Southern projects roughly $2 billion of equity funding still to arrange for the identified plan and assumes about 40% equity funding for incremental investment. Its July funding presentation showed about $1.1 billion remaining for the plan defined at that time, including previously announced gas upgrades. The financing mix includes common shares, securities that convert into shares and debt that receives partial equity credit from rating agencies.

Large-load contracts cover about 21 gigawatts of eventual demand, versus 17 gigawatts in July, under a framework that includes customer agreements subject to regulatory review. The demand ramps over time. Weather-adjusted retail electricity sales grew 3.5% in the third quarter, while commercial sales grew 7.3%.

Cash and financing

Southern Company: nine months ended September 30. GAAP cash-flow amounts in millions of dollars; construction contributions are shown separately from property additions.

Measure	2026	2025
Operating cash flow	$7,880	$7,205
Cash property additions	$10,200	$8,702
Contributions toward construction	$559	$250
Common-stock issuance cash	$3,841	$90
Common dividends paid	$2,399	$2,254

At September 30, 2026, cash and equivalents were $1.74 billion, with another $5 million of restricted cash. The balance sheet carried $69.50 billion of noncurrent long-term debt, $3.61 billion of securities due within a year and $890 million of notes payable. Unused committed bank credit totaled $8.91 billion; part supports commercial paper and other obligations.

Projects and regulatory developments

Southern Power completed the second phase of its Millers Branch solar facility in August 2026 and the Kay and Grant wind repowering projects in July and September, respectively. Other solar and wind work remains underway. Georgia Power's initial borrowing under its federal financing facility was approximately $1 billion in March 2026; the much larger facility authorization remains subject to conditions for future draws.

In October 2026, Illinois regulators approved an approximately $82 million annual base-rate revenue increase for Nicor Gas, effective November 16 and subject to further procedural actions. Alabama Power has requested a deferral of Lindsay Hill plant cost recovery until 2029; that request remains pending.

Read our analysis of Southern's higher earnings outlook and growth funding.