Business Context and Reporting Period
This Form 8-K is a combined current report filed on February 16, 2023, by The Southern Company and its subsidiaries: Alabama Power Company, Georgia Power Company, Mississippi Power Company, Southern Power Company, and Southern Company Gas. The filing reports earnings results for the three-month and twelve-month periods ended December 31, 2022.
Key Financial Metrics
The filing references detailed financial data contained in attached exhibits (99.01 through 99.07) but does not explicitly state specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity within the text of this summary document. The report includes both GAAP and non-GAAP earnings and earnings per share (EPS) measures.
Material Changes and Non-GAAP Adjustments
The filing highlights the use of non-GAAP financial measures to evaluate ongoing business activities by excluding specific items from GAAP earnings for the periods ended December 31, 2022, and 2021. Material exclusions include:
- Charges and credits (net of salvage proceeds), legal expenses (net of insurance recoveries), and tax impacts related to plants under construction.
- Acquisition and disposition impacts.
- Impairment charges associated with goodwill, investments in a gas pipeline project, and leveraged leases (for 2022 and 2021).
- Costs related to the extinguishment of debt at Southern Company (for 2021).
- Earnings from the Wholesale Gas Services business (for 2021).
Guidance, Outlook, and Risks
The filing does not contain specific forward-looking guidance, management commentary on future outlook, or a detailed discussion of risks and contingencies within the provided text. It notes that the information is furnished to provide investors with additional context to evaluate ongoing business performance but explicitly states it is not a substitute for GAAP measures. The report includes a standard disclaimer that the information is not deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934.
Investor Verification Checklist
- Verify specific GAAP and non-GAAP revenue, net income, and EPS figures in Exhibit 99.01 (Press Release) and Exhibit 99.02 (Financial Highlights).
- Review Exhibit 99.03 and 99.04 to understand the quantitative impact of the excluded items on earnings.
- Examine Exhibit 99.06 for details on kilowatt-hour sales and customer counts.
- Consult Exhibit 99.07 for a comprehensive financial overview including debt and liquidity positions.
- Confirm the reconciliation of non-GAAP measures to GAAP measures as required by SEC regulations.