Revenue from Contracts with Customers and Lease Income (Tables)

3 Months Ended

Mar. 31, 2026

Revenue from Contract with Customer [Abstract]

The following table disaggregates revenue from contracts with customers for the three months ended March 31, 2026 and 2025:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)





























Three Months Ended March 31, 2026
Operating revenues
Retail electric revenues
Residential	$	2,003	$	773	$	1,150	$	80	$	—	$	—
Commercial	1,663		477		1,104		82		—		—
Industrial	942		414		438		90		—		—
Other	31		3		25		3		—		—
Total retail electric revenues	4,639		1,667		2,717		255		—		—
Natural gas distribution revenues
Residential	1,028		—		—		—		—		1,028
Commercial	253		—		—		—		—		253
Transportation	440		—		—		—		—		440
Industrial	24		—		—		—		—		24
Other	145		—		—		—		—		145
Total natural gas distribution revenues	1,890		—		—		—		—		1,890
Wholesale electric revenues
PPA energy revenues	496		46		64		4		392		—
PPA capacity revenues	149		18		44		21		83		—
Non-PPA revenues	89		119		44		169		44		—
Total wholesale electric revenues	734		183		152		194		519		—
Other natural gas revenues
Gas marketing services	281		—		—		—		—		281
Other	3		—		—		—		—		3
Total other natural gas revenues	284		—		—		—		—		284
Other revenues	493		78		236		15		4		—
Total revenue from contracts with customers	8,040		1,928		3,105		464		523		2,174
Other revenue sources(*)	357		164		37		8		158		17
Total operating revenues	$	8,397	$	2,092	$	3,142	$	472	$	681	$	2,191


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended March 31, 2025
Operating revenues
Retail electric revenues
Residential	$	2,065	$	805	$	1,186	$	74	$	—	$	—
Commercial	1,612		482		1,055		75		—		—
Industrial	915		390		444		81		—		—
Other	31		3		26		2		—		—
Total retail electric revenues	4,623		1,680		2,711		232		—		—
Natural gas distribution revenues
Residential	845		—		—		—		—		845
Commercial	199		—		—		—		—		199
Transportation	406		—		—		—		—		406
Industrial	18		—		—		—		—		18
Other	112		—		—		—		—		112
Total natural gas distribution revenues	1,580		—		—		—		—		1,580
Wholesale electric revenues
PPA energy revenues	415		54		84		3		284		—
PPA capacity revenues	149		28		39		17		82		—
Non-PPA revenues	71		69		9		134		62		—
Total wholesale electric revenues	635		151		132		154		428		—
Other natural gas revenues
Gas marketing services	256		—		—		—		—		256
Other	4		—		—		—		—		4
Total other natural gas revenues	260		—		—		—		—		260
Other revenues	493		83		230		20		4		—
Total revenue from contracts with customers	7,591		1,914		3,073		406		432		1,840
Other revenue sources(*)	184		98		(36)		14		135		(1)
Total operating revenues	$	7,775	$	2,012	$	3,037	$	420	$	567	$	1,839

(*)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs primarily 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 March 31, 2026 and December 31, 2025:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At March 31, 2026	$	3,083	$	649	$	1,179	$	119	$	94	$	925
At December 31, 2025	3,139		716		1,278		115		132		864
Contract Assets
At March 31, 2026	$	338	$	5	$	196	$	—	$	—	$	67
At December 31, 2025	294		3		160		—		—		67
Contract Liabilities
At March 31, 2026	$	257	$	9	$	76	$	2	$	1	$	—
At December 31, 2025	213		6		75		—		2		—

Schedule of Remaining Performance Obligations

Revenues from contracts with customers related to these performance obligations remaining at March 31, 2026 are expected to be recognized as follows:


	2026 (remaining)		2027		2028		2029		2030		Thereafter
	(in millions)
Southern Company	$	875	$	679	$	452	$	412	$	416	$	3,130
Alabama Power	8		5		4		2		1		6
Georgia Power	48		60		43		22		22		146
Mississippi Power(*)	49		69		73		12		—		—
Southern Power(*)	270		349		389		393		393		2,978
Southern Company Gas	31		21		—		—		—		—

(*)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 months ended March 31, 2026 and 2025 was as follows:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)






Three Months Ended March 31, 2026
Lease income - interest income on sales-type leases	$	5	$	—	$	—	$	3	$	2	$	—
Lease income - operating leases	34		3		7		1		37		9
Variable lease income	79		—		—		—		87		—
Total lease income	$	118	$	3	$	7	$	4	$	126	$	9







Three Months Ended March 31, 2025
Lease income - interest income on sales-type leases	$	6	$	—	$	—	$	4	$	2	$	—
Lease income - operating leases	33		2		7		1		37		9
Variable lease income	81		—		—		—		89		—
Total lease income	$	120	$	2	$	7	$	5	$	128	$	9