Revenue growth reached 10.1% in 2025Q4, though operating margins remain volatile, fluctuating between 13.0% and 33.2% over the last ten quarters due to the timing of regulatory cost recovery.
| Metric | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Revenue | 29.55B | 26.72B | 25.25B | 29.28B | 23.11B | 20.38B | 21.42B | 23.61B | 23.11B | 19.86B | 17.49B | 18.47B | 17.09B | 16.54B |
| Revenue Growth % | 10.59% | 5.83% | -13.75% | 26.68% | 13.44% | -4.87% | -9.3% | 2.16% | 16.38% | 13.53% | -5.27% | 8.08% | 3.33% | - |
| Cost of Revenue | 20.74B | 13.38B | 13.54B | 18.65B | 12.87B | 10.48B | 11.82B | 16.98B | 15.87B | 13.65B | 11.82B | 11.03B | 9.82B | 9.39B |
| Gross Profit | 8.81B | 13.34B | 11.71B | 10.63B | 10.25B | 9.9B | 9.6B | 6.64B | 7.24B | 6.21B | 5.67B | 7.44B | 7.27B | 7.14B |
| Gross Margin % | 29.81% | 49.93% | 46.36% | 36.3% | 44.33% | 48.57% | 44.83% | 28.11% | 31.34% | 31.25% | 32.43% | 40.27% | 42.55% | 43.21% |
| Gross Profit Growth % | -33.98% | 13.96% | 10.17% | 3.71% | 3.54% | 3.06% | 44.65% | -8.35% | 16.71% | 9.41% | -23.71% | 2.28% | 1.75% | - |
| Operating Expenses | 1.54B | 6.27B | 5.88B | 5.26B | 6.55B | 5.01B | 1.87B | 1.31B | 1.25B | 1.11B | 997M | 3.59B | 3.91B | 2.58B |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| EBITDA | 13.31B | 12.33B | 10.81B | 9.43B | 7.67B | 8.79B | 11.07B | 8.88B | 9.44B | 8.02B | 7.07B | 5.93B | 5.55B | 6.59B |
| EBITDA Margin % | 45.05% | 46.15% | 42.81% | 32.22% | 33.19% | 43.14% | 51.67% | 37.6% | 40.82% | 40.38% | 40.42% | 32.14% | 32.5% | 39.84% |
| EBITDA Growth % | 7.95% | 14.08% | 14.61% | 22.98% | -12.73% | -20.57% | 24.63% | -5.88% | 17.66% | 13.41% | 19.14% | 6.88% | -15.72% | - |
| Depreciation & Amortization | 6.03B | 5.27B | 4.99B | 4.06B | 3.97B | 3.9B | 3.33B | 3.56B | 3.44B | 2.92B | 2.4B | 2.29B | 2.3B | 2.15B |
| D&A / Revenue % | 20.4% | 19.71% | 19.74% | 13.88% | 17.19% | 19.17% | 15.55% | 15.06% | 14.89% | 14.73% | 13.69% | 12.42% | 13.45% | 12.97% |
| Operating Income (EBIT) | 7.29B | 7.07B | 5.83B | 5.37B | 3.7B | 4.88B | 7.74B | 5.32B | 5.99B | 5.09B | 4.68B | 3.64B | 3.25B | 4.44B |
| Operating Margin % | 24.65% | 26.45% | 23.07% | 18.34% | 16% | 23.98% | 36.12% | 22.54% | 25.93% | 25.65% | 26.73% | 19.72% | 19.05% | 26.87% |
| Operating Income Growth % | 3.07% | 21.32% | 8.49% | 45.21% | -24.3% | -36.85% | 45.3% | -11.18% | 17.67% | 8.94% | 28.39% | 11.89% | -26.76% | - |
| Interest Expense | 3.31B | 2.71B | 2.57B | 1.79B | 1.85B | 1.88B | 1.82B | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Coverage | 2.51x | 2.83x | 2.50x | 3.37x | 2.31x | 2.78x | 3.08x | - | - | - | - | - | - | - |
| Interest / Revenue % | 11.18% | 10.14% | 10.17% | 6.11% | 8% | 9.23% | 8.48% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| Non-Operating Income | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K |
| Pretax Income | 5B | 5.23B | 4.34B | 4.21B | 2.56B | 3.48B | 6.53B | 2.75B | 1.07B | 3.48B | 3.63B | 2.94B | 2.49B | 3.68B |
| Pretax Margin % | 16.92% | 19.57% | 17.21% | 14.39% | 11.08% | 17.08% | 30.47% | 11.64% | 4.62% | 17.52% | 20.74% | 15.92% | 14.59% | 22.28% |
| Income Tax | 828M | 969M | 496M | 795M | 267M | 393M | 1.8B | 449M | 142M | 951M | 1.19B | 977M | 849M | 1.33B |
| Effective Tax Rate % | 16.56% | 18.53% | 11.42% | 18.87% | 10.43% | 11.29% | 27.55% | 16.33% | 13.3% | 27.33% | 32.9% | 33.23% | 34.06% | 36.21% |
| Net Income | 4.34B | 4.4B | 3.98B | 3.52B | 2.39B | 3.12B | 4.74B | 2.24B | 880M | 2.49B | 2.42B | 1.96B | 1.64B | 2.35B |
| Net Margin % | 14.69% | 16.47% | 15.74% | 12.04% | 10.35% | 15.31% | 22.13% | 9.49% | 3.81% | 12.55% | 13.84% | 10.63% | 9.62% | 14.21% |
| Net Income Growth % | -1.36% | 10.69% | 12.83% | 47.26% | -23.28% | -34.18% | 111.37% | 154.77% | -64.7% | 2.97% | 23.33% | 19.4% | -30.04% | - |
| EPS (Diluted) | 3.92 | 3.99 | 3.62 | 3.26 | 2.24 | 2.82 | 4.50 | 2.19 | 0.87 | 2.60 | 2.65 | 2.18 | 1.87 | 2.67 |
| EPS Growth % | -1.75% | 10.22% | 11.04% | 45.54% | -20.57% | -37.33% | 105.48% | 151.72% | -66.54% | -1.89% | 21.56% | 16.58% | -29.96% | - |
| EPS (Basic) | 3.94 | 4.02 | 3.64 | 3.28 | 2.26 | 2.82 | 4.53 | 2.20 | 0.88 | 2.62 | 2.66 | 2.18 | 1.87 | 2.67 |
| Diluted Shares Outstanding | 1.11B | 1.1B | 1.1B | 1.08B | 1.07B | 1.1B | 1.05B | 1.02B | 1.01B | 958M | 914M | 901M | 881M | 879M |
Elevated due to capital intensity and regulatory reliance
According to the provided quarterly income statements, Southern Company achieved a 10.1% revenue growth rate in 2025Q4, reflecting the ongoing integration of new generation assets into the rate base and robust demand signals from the Southeastern industrial corridor that appear to be driving consistent top-line expansion.
The revenue trajectory suggests that the company is successfully capturing rate base growth, likely bolstered by the commercial operation of recent nuclear capacity. Investors should monitor whether this growth remains durable or if it becomes overly dependent on specific rate case outcomes that may face future political scrutiny.
As reported in financial statements, operating margins fluctuated significantly between 13.0% and 33.2% over the last ten quarters, suggesting that the company's ability to maintain consistent profitability is heavily influenced by the timing of regulatory recovery and the transition of major assets into the rate base.
The wide variance in operating margins appears to indicate that regulatory lag or seasonal cost recovery timing remains a material factor in quarterly performance. This volatility warrants further investigation into whether the company is consistently achieving its authorized return on equity or if external factors are compressing margins.
Based on the company's reported figures, the high fixed-cost structure is largely offset by fuel and purchased power recovery mechanisms, which appear to insulate the bottom line from commodity price volatility while simultaneously inflating revenue and cost of goods sold on the income statement.
The regulatory construct seems designed to provide timely recovery of variable costs, which protects earnings power from inflationary pressures. However, the reliance on these mechanisms implies that any regulatory friction in the recovery process could lead to immediate working capital strain.
Data from recent filings suggests that the company's earnings quality is shifting as the reliance on non-cash AFUDC credits diminishes following the completion of Vogtle Unit 4, moving the firm toward a more sustainable, cash-generative earnings profile that better reflects its core regulated utility operations.
The transition from construction-related accounting to operational earnings appears to be a positive inflection point for the quality of reported EPS. Analysts should remain cautious, however, as the removal of construction-related credits may reveal the true underlying cost of maintaining such a massive capital base.
As indicated by the historical income statement data, the company's aggressive capital expenditure cycle has been the primary engine for rate base expansion, though the high depreciation and interest expenses associated with these assets may continue to weigh on net income margins in the near term.
Incremental CAPEX appears to be the primary lever for earnings growth, yet the efficiency of this capital deployment remains a point of debate. Investors should monitor whether the current level of investment is translating into a commensurate increase in authorized ROE or if it merely preserves the existing earnings base.
Based on an analysis of the provided figures, the income statement may obscure the long-term risk of politically unsustainable authorized ROEs, as the company's reliance on large-scale infrastructure projects could face future challenges if regulatory environments in Georgia and Alabama shift toward a more adversarial stance.
The reported financials do not fully capture the potential for future decommissioning costs or the risk that current demand growth may be partially offset by long-term energy efficiency trends. The discrepancy in the reported debt-to-equity ratio further suggests that the balance sheet may be more leveraged than the headline figures imply.
Quick answers to the most common questions about buying SOJC stock.
For fiscal year 2025, The Southern Company JR 2017B NT 77 (SOJC) reported total revenue of $29.55B. This represents a 78.7% increase compared to $16.54B in 2012.
The Southern Company JR 2017B NT 77 (SOJC) is profitable, generating $4.34B in net income for the fiscal year ending 2025 with a net profit margin of 14.7%.
The Southern Company JR 2017B NT 77 (SOJC) reported an operating income of $7.29B, resulting in an operating profit margin of 24.7%. This margin reflects the operational efficiency of the business before interest and taxes.
The Southern Company JR 2017B NT 77 (SOJC) generated $8.81B in gross profit for the year, representing a gross profit margin of 29.8%. This demonstrates the company's core pricing power and production efficiency.