Revenue from Contracts with Customers and Lease Income (Tables)

6 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

The following table disaggregates revenue from contracts with customers for the three and six months ended June 30, 2024 and 2023:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended June 30, 2024
Operating revenues
Retail electric revenues
Residential	$	2,049	$	736	$	1,236	$	77	$	—	$	—
Commercial	1,613		508		1,023		82		—		—
Industrial	962		445		434		83		—		—
Other	30		3		25		2		—		—
Total retail electric revenues	4,654		1,692		2,718		244		—		—
Natural gas distribution revenues
Residential	287		—		—		—		—		287
Commercial	69		—		—		—		—		69
Transportation	304		—		—		—		—		304
Industrial	5		—		—		—		—		5
Other	63		—		—		—		—		63
Total natural gas distribution revenues	728		—		—		—		—		728
Wholesale electric revenues
PPA energy revenues	265		55		22		1		192		—
PPA capacity revenues	153		23		32		15		99		—
Non-PPA revenues	54		27		2		95		50		—
Total wholesale electric revenues	472		105		56		111		341		—
Other natural gas revenues
Gas marketing services	68		—		—		—		—		68
Other	6		—		—		—		—		6
Total other natural gas revenues	74		—		—		—		—		74
Other revenues	419		62		185		10		11		—
Total revenue from contracts with customers	6,347		1,859		2,959		365		352		802
Other revenue sources(*)	116		14		(84)		(1)		172		29
Total operating revenues	$	6,463	$	1,873	$	2,875	$	364	$	524	$	831


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Six Months Ended June 30, 2024
Operating revenues
Retail electric revenues
Residential	$	3,900	$	1,501	$	2,252	$	147	$	—	$	—
Commercial	3,084		976		1,955		153		—		—
Industrial	1,834		855		817		162		—		—
Other	60		6		50		4		—		—
Total retail electric revenues	8,878		3,338		5,074		466		—		—
Natural gas distribution revenues
Residential	1,032		—		—		—		—		1,032
Commercial	245		—		—		—		—		245
Transportation	666		—		—		—		—		666
Industrial	21		—		—		—		—		21
Other	176		—		—		—		—		176
Total natural gas distribution revenues	2,140		—		—		—		—		2,140
Wholesale electric revenues
PPA energy revenues	537		112		40		2		394		—
PPA capacity revenues	304		46		64		31		196		—
Non-PPA revenues	112		68		2		187		110		—
Total wholesale electric revenues	953		226		106		220		700		—
Other natural gas revenues
Gas marketing services	300		—		—		—		—		300
Other	11		—		—		—		—		11
Total other natural gas revenues	311		—		—		—		—		311
Other revenues	746		114		337		22		21		—
Total revenue from contracts with customers	13,028		3,678		5,517		708		721		2,451
Other revenue sources(*)	81		(14)		(244)		(2)		276		87
Total operating revenues	$	13,109	$	3,664	$	5,273	$	706	$	997	$	2,538


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended June 30, 2023
Operating revenues
Retail electric revenues
Residential	$	1,647	$	648	$	928	$	71	$	—	$	—
Commercial	1,370		465		830		75		—		—
Industrial	864		429		353		82		—		—
Other	27		3		22		2		—		—
Total retail electric revenues	3,908		1,545		2,133		230		—		—
Natural gas distribution revenues
Residential	330		—		—		—		—		330
Commercial	82		—		—		—		—		82
Transportation	284		—		—		—		—		284
Industrial	6		—		—		—		—		6
Other	51		—		—		—		—		51
Total natural gas distribution revenues	753		—		—		—		—		753
Wholesale electric revenues
PPA energy revenues	253		58		24		2		175		—
PPA capacity revenues	149		44		13		2		91		—
Non-PPA revenues	61		12		6		70		83		—
Total wholesale electric revenues	463		114		43		74		349		—
Other natural gas revenues
Gas marketing services	73		—		—		—		—		73
Other	8		—		—		—		—		8
Total other natural gas revenues	81		—		—		—		—		81
Other revenues	327		43		145		10		16		—
Total revenue from contracts with customers	5,532		1,702		2,321		314		365		834
Other revenue sources(*)	216		(13)		70		(3)		160		18
Total operating revenues	$	5,748	$	1,689	$	2,391	$	311	$	525	$	852


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Six Months Ended June 30, 2023
Operating revenues
Retail electric revenues
Residential	$	3,174	$	1,308	$	1,730	$	136	$	—	$	—
Commercial	2,619		894		1,582		143		—		—
Industrial	1,653		827		666		160		—		—
Other	54		6		44		4		—		—
Total retail electric revenues	7,500		3,035		4,022		443		—		—
Natural gas distribution revenues
Residential	1,226		—		—		—		—		1,226
Commercial	314		—		—		—		—		314
Transportation	603		—		—		—		—		603
Industrial	29		—		—		—		—		29
Other	168		—		—		—		—		168
Total natural gas distribution revenues	2,340		—		—		—		—		2,340
Wholesale electric revenues
PPA energy revenues	534		129		35		5		376		—
PPA capacity revenues	341		105		25		34		179		—
Non-PPA revenues	98		32		10		178		187		—
Total wholesale electric revenues	973		266		70		217		742		—
Other natural gas revenues
Gas marketing services	304		—		—		—		—		304
Other	20		—		—		—		—		20
Total other natural gas revenues	324		—		—		—		—		324
Other revenues	640		103		276		22		27		—
Total revenue from contracts with customers	11,777		3,404		4,368		682		769		2,664
Other revenue sources(*)	451		(68)		199		20		264		64
Total operating revenues	$	12,228	$	3,336	$	4,567	$	702	$	1,033	$	2,728

(*)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs at Southern Company Gas, and cost recovery mechanisms and revenues (including those related to fuel costs) that meet other scope exceptions for revenues from contracts with customers at the traditional electric operating companies.

Schedule of Contract Balances

The following table reflects the closing balances of receivables, contract assets, and contract liabilities related to revenues from contracts with customers at June 30, 2024 and December 31, 2023:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At June 30, 2024	$	3,090	$	864	$	1,448	$	102	$	141	$	387
At December 31, 2023	2,820		821		1,011		90		122		684
Contract Assets
At June 30, 2024	$	304	$	—	$	130	$	—	$	—	$	67
At December 31, 2023	271		2		121		—		—		56
Contract Liabilities
At June 30, 2024	$	235	$	2	$	42	$	—	$	1	$	—
At December 31, 2023	116		—		1		—		4		—

Schedule of Remaining Performance Obligations

Revenues from contracts with customers related to these performance obligations remaining at June 30, 2024 are expected to be recognized as follows:


	2024 (remaining)		2025		2026		2027		2028		Thereafter
	(in millions)
Southern Company	$	641	$	931	$	374	$	336	$	325	$	2,180
Alabama Power	12		12		—		—		—		—
Georgia Power	41		57		21		17		17		17
Mississippi Power(*)	30		63		66		69		73		—
Southern Power(*)	196		312		299		306		297		2,169
Southern Company Gas	9		—		—		—		—		—

(*)Includes performance obligations related to affiliate PPAs with Georgia Power. See Note 1 to the financial statements under "Affiliate Transactions" in Item 8 of the Form 10-K for additional information.

Schedule of Lease Income

Lease income for the three and six months ended June 30, 2024 and 2023 is as follows:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
For the Three Months Ended June 30, 2024
Lease income - interest income on sales-type leases	$	7	$	—	$	—	$	5	$	2	$	—
Lease income - operating leases	35		2		9		1		22		9
Variable lease income	129		—		—		—		139		—
Total lease income	$	171	$	2	$	9	$	6	$	163	$	9

For the Six Months Ended June 30, 2024
Lease income - interest income on sales-type leases	$	14	$	—	$	—	$	9	$	5	$	—
Lease income - operating leases	71		5		16		2		43		18
Variable lease income	201		—		—		—		218		—
Total lease income	$	286	$	5	$	16	$	11	$	266	$	18

For the Three Months Ended June 30, 2023
Lease income - interest income on sales-type leases	$	6	$	—	$	—	$	4	$	2	$	—
Lease income - operating leases	42		11		7		1		21		9
Variable lease income	123		—		—		—		132		—
Total lease income	$	171	$	11	$	7	$	5	$	155	$	9

For the Six Months Ended June 30, 2023
Lease income - interest income on sales-type leases	$	12	$	—	$	—	$	7	$	5	$	—
Lease income - operating leases	92		29		14		2		42		18
Variable lease income	192		—		—		—		207		—
Total lease income	$	296	$	29	$	14	$	9	$	254	$	18