Chubu Electric Power Company (9502) Q2 2025 earnings summary

Executive summary

• Operating revenues for the six months ended September 30, 2024, were ¥1,766.4–1,766.5 billion, down 4.1% year-over-year, mainly due to a decrease in fuel cost adjustment charges and government support for electricity bills.

• Ordinary income dropped by ¥189.3 billion to ¥187.9 billion, primarily from a significant decrease in time lag gain and higher supply and demand adjustment costs.

• Net income attributable to owners of parent was ¥146.9–146.98 billion, a decrease of ¥164.5 billion or 52.8% year-over-year.

• Comprehensive income dropped 62.2% year-over-year to ¥189.8 billion.

• Both revenues and income declined for the first time in three years.

Financial highlights

• Operating income was ¥142.7–142.75 billion, down ¥102.9 billion (41.9%) year-over-year.

• Extraordinary income was ¥6.4 billion, compared to none in the prior year.

• Operating expenses increased by ¥27.8 billion (1.7%) year-over-year.

• Shareholders' equity ratio stood at 38.9% as of September 30, 2024, up from 36.4% at March 31, 2024.

• Outstanding interest-bearing debt increased by ¥21.5 billion to ¥3,100.7 billion.

Outlook and guidance

• FY2024 consolidated operating revenues are forecast at ¥3,600.0 billion, nearly flat year-over-year and unchanged from the previous forecast.

• Ordinary income forecast revised upward to ¥275.0 billion, down 46% year-over-year, driven by higher air conditioning demand and lower procurement and adjustment costs.

• Net income attributable to owners of parent is projected at ¥210.0 billion, down ¥193.0 billion (47.9%) year-over-year.

• Net income per share forecasted at ¥277.74 for the fiscal year ending March 31, 2025.

• Annual dividend forecast raised to ¥60 per share, up from ¥55 in the previous year.