Tokyo Gas (9531) Q4 2025 earnings summary

Executive summary

• Revenue and profit declined in FY2024 due to margin falloff, one-time costs, and lower raw material prices, but are expected to recover in FY2025 with overseas upstream gains and real estate sales.

• Net sales for FY2024 were ¥2,636.8B, down 1.0% year-over-year; operating profit fell 38.7% to ¥133.0B.

• Profit attributable to owners of parent dropped 55.2% to ¥74.1B, impacted by lower segment profits and extraordinary losses.

• Tokyo Gas shifted its U.S. subsidiaries from IFRS to U.S. GAAP from FY2024, impacting consolidated disclosures.

• Major asset portfolio moves included the sale of Eagle Ford shale gas assets and a new joint development agreement in East Texas.

Financial highlights

• FY2024 revenue: ¥2,636.8B (down 1.0%); operating profit: ¥133.0B (down 38.7%); net income: ¥74.1B (down 55.2%).

• FY2025 forecast: revenue ¥2,754.0B (+4.4%), operating profit ¥159.0B (+19.5%), net income ¥134.0B (+80.6%).

• FY2024 ROE: 4.3% (down from 10.2%); FY2025 forecast: 8.1%.

• Cash flows from operating activities: ¥363.1B; investing: -¥263.5B; financing: -¥256.0B.

• Equity ratio improved to 44.8% from 43.4% year-over-year.

Outlook and guidance

• FY2025 expects profit growth from overseas upstream business and real estate sales.

• Gas sales volume to decrease 1.7% year-over-year; power sales volume to rise 17.7%.

• Dividend forecast for FY2025: ¥80/share; up to ¥120B in share buybacks planned in H1.

• FY2025 guidance does not include potential impacts from U.S. tariff policy, which is under review.