Strong residential growth helped Southern Company, operator of Georgia Power and other utility suppliers, to a profitable second quarter, despite cheaper natural gas prices.
The company reported net income of $629 million or 69 cents a share in the quarter, compared to $611 million or 68 cents a share during the same period a year ago.
The Atlanta-based giant said warmer weather and a strong uptick in residential hookups, including those in its home base, helped earnings surge.
“Also, for the first time since 2004, we have experienced two consecutive quarters of weather-normalized growth in all three customer classes - residential, commercial and industrial - as our region continues to grow faster than the U.S. as a whole,” CEO and President Tom Fanning said in a statement.
Operating revenues, however, fell 2.9 percent in the quarter, down from $4.47 billion to $4.34 billion, mostly on lower natural gas prices. The company also took a $14 million charge on increased construction estimates on its delayed Kemper County, Miss., power plant. Excluding that charge and one related to its former Mirant business, earnings per share were 71 cents for the quarter.
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