10-Q - DOMINION ENERGY SOUTH CAROLINA, INC. (0000091882) (Filer)

Thu, May 1, 3:50 PM (10 days ago)

**Dominion Energy South Carolina, Inc. (DMSN) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $986 million, up 27% from Q1 2024 ($775 million). - **Net Income:** $150 million, an 88% increase from Q1 2024 ($80 million). - **Operating Income:** $238 million, up from $164 million in Q1 2024. - **Profit Margins:** Improved due to increased revenues and controlled expenses. - **Cash Flow:** Net cash provided by operating activities was $54 million, down from $166 million in Q1 2024 due to higher investments. **Key Metrics and Trends:** - **Operating Revenues:** Increased by $211 million, driven by higher fuel-related revenues, non-fuel base rates, and sales to utility customers. - **Operating Expenses:** Increased by $137 million, primarily due to higher fuel costs, purchased power, and gas purchased for resale. - **Capital Expenditures:** $297 million, up from $268 million in Q1 2024, reflecting ongoing investments in infrastructure and regulatory compliance. - **Debt:** Long-term debt increased to $4,666 million, with a significant portion used for general corporate purposes and to repay short-term debt. - **Equity:** Received a $250 million equity contribution from Dominion Energy, primarily for working capital needs. **Regulatory and Operational Impact:** - **Rate Adjustments:** Approved increases in fuel cost components and other regulatory adjustments, impacting revenue and cash flow. - **Environmental Compliance:** Ongoing costs related to environmental regulations, including wastewater treatment and CCR management. - **Legal and Regulatory Proceedings:** Various legal and regulatory matters are ongoing, with potential impacts on future financial performance. **Future Operations and Uncertainties:** - **Weather and Market Conditions:** Unusual weather conditions and market fluctuations can affect energy sales and commodity prices. - **Regulatory Changes:** Potential changes in federal, state, and local regulations could impact operating costs and revenue recovery mechanisms. - **Capital Projects:** Continued investment in infrastructure and compliance projects, with associated risks and uncertainties. **Conclusion:** Dominion Energy South Carolina, Inc. (DMSN) demonstrated strong financial performance in Q1 2025, driven by increased revenues and controlled expenses. However, the company faces ongoing regulatory and operational challenges that could impact future financial health and performance. Investors should monitor regulatory developments, environmental compliance costs, and capital investment trends to assess the company's long-term prospects.