Southern Company reported lower first quarter profit Wednesday, in part because more "normal" winter weather than the year before led to a decline in demand for electricity, the Atlanta-based utility owner said.
Southern, which owns Georgia Power and electric utilities in three other states, had earnings of $422 million in the first quarter, compared with $494 million for the same period in 2010. Revenue was $4 billion in the first quarter, down from $4.2 billion a year earlier.
The company's performance in the first quarter of 2010 was affected by what it called "abnormally cold weather" in that period.
Southern found reason for optimism, however, in "better-than-expected growth" in its industrial business.
"Activity among our industrial customers has nearly reached pre-recession levels, and we expect that momentum to continue as the year progresses," chairman, president and CEO Thomas Fanning said.
"While the overall pace of economic recovery remains measured," Fanning said, "we are confident in the fundamental strength of our service territory and in our core business strategy ..."
Southern said full-year industrial sales rose 7.7 percent in 2010 over 2009. Industrial sales in the first quarter of 2011 gained 6.7 percent over the same period in 2010.
It also said that a recent survey shows that one-third of its largest industrial customers in Georgia expect increased employment this year, and 60 percent expect increased production.
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