Tokyo Gas (9531) investor relations material

Executive summary

• Net sales rose 10.6% year-over-year to ¥2,039,636 million, driven by higher electric power sales volume despite a slight decline in city gas sales volume.

• Segment profit increased, driven by higher Energy solution profits from city gas price adjustments and electric power sales, as well as increased Overseas business profits from higher US shale gas prices.

• Operating profit surged 87.5% to ¥138,257 million, and profit attributable to owners of parent jumped 395.8% to ¥166,268 million, aided by significant extraordinary gains.

• Extraordinary gains included ¥48,268 million from sales of non-current assets, ¥5,213 million from investment securities, and ¥68,013 million from reversal of foreign currency translation adjustments; impairment losses of ¥28,838 million were recorded.

• Segment profits are tracking well against the fiscal year plan.

Financial highlights

• Net sales for FY26/3 Q3 were 20,396 hundred million yen, up 10.6% year-over-year.

• Operating profit rose 87.5% to 1,382 hundred million yen; segment profit up 76.0% to 1,397 hundred million yen.

• Ordinary profit increased 105.1% to 1,333 hundred million yen; profit attributable to owners of parent surged 395.8% to 1,662 hundred million yen.

• Basic earnings per share rose to ¥474.54 from ¥85.96 year-over-year.

• Total assets decreased by ¥139,290 million (3.6%) from the prior fiscal year-end to ¥3,715,803 million.

Outlook and guidance

• Full-year net sales forecast is ¥2,890,000 million, up 9.6% year-over-year.

• Operating profit is projected at ¥185,000 million (+39.0%), ordinary profit at ¥171,000 million (+50.5%), and profit attributable to owners of parent at ¥194,000 million (+161.5%).

• FY26/3 segment profit forecast revised upward by 196 hundred million yen, reflecting higher US shale gas prices and improved gas gross margin.

• Basic earnings per share forecast is ¥560.15.

• ROE forecast at 11.4%, up from 4.3% in the previous year.