Southern Co: Another Solid Quarter Of Execution

研报英文原文证据摘录

Southern Co: Another Solid Quarter Of Execution

Global Research

30 July 2026ab

First Read

EquitiesSouthern Co

Another Solid Quarter Of Execution United States

Electric Utilities

12-month rating Neutral

Q: How did the results compare vs expectations?

A: In the second quarter the company reported adj EPS of $1.03 vs consensus of $1.00. 12m price target US$104.00

This is an increase from the prior year's quarter of $0.80.

Price (29 Jul 2026) US$96.05

Q: What were the most noteworthy areas in the results?

RIC: SO.N BBG: SO USA: Results in the quarter were supported by +20c from stat regulated electrics, +2c from

strong results at Southern Gas, +3c from parent & other, offset by higher share count Trading data and key metrics

dilution of -4c. 52-wk range US$99.72-84.08

Market cap. US$105b

Q: Has the company's outlook/guidance changed?

Shares o/s 1,092m (COM)

A: The company now expects to be at or near the high end of its 2026 guidance range of Free float 100%

$4.50-$4.60 while also reiterating its growth outlook, including 8%-9% adjusted EPS Avg. daily volume ('000) 1,944

growth through 2028, long-term adjusted EPS growth of 7%-8%, and ~10% projected

Avg. daily value (m) US$183.3

electric sales growth from 2026 to 2030. Since the 1Q call, the company has added 6

Common s/h equity (12/26E) US$38.1b

GW of incremental large-load contracts, bringing total contracted large load to 17 GW.

P/BV (12/26E) 2.8x

Southern also further de-risked its equity financing plan by completing additional ATM

forward issuance during the quarter, increasing priced equity to $2.3B and leaving only Net debt to EBITDA (12/26E) 5.4x

$1.1B of projected equity needs through 2030 unpriced. EPS (UBS, diluted) (USD)

12/26E

Q: How would we expect investors to react? UBS Cons.

A: Neutral/Positive.