Tokyo Gas Co., Ltd. · TSE:9531

Tokyo Gas — Q3 FY2020 Earnings Presentation

26 slides from Tokyo Gas's earnings presentation, Jan 28, 2021

  1. Slide 1: FY2020 3Q Financial Results

    TSE:9531 FY2020 3Q Financial Results ended December, 2020 January 28, 2021

  2. Slide 2: FY2020 Consolidated Financial Results

    01 FY2020 Consolidated Financial Results ended December, 2020 Copyright© TOKYO GAS Co., Ltd. All Rights Reserved.

  3. Slide 3: Highlights: Sales Down, Profit Up

    FY2020 3Q Consolidated Results (Apr. 1, 2020 – Dec. 31, 2020) vs. FY2019 3Q 3 Highlights: Sales Down, Profit Up (+/- indicate impact on profit, billion yen) Decrease in city gas unit price due to resource costs adjustment, decrease in city gas sales volume Net sales -128.5 from the impact of COVID-1

  4. Slide 4: City Gas sales volume and number of customers

    FY2020 3Q Consolidated Gas Sales Volume/ Number of Customers vs. FY2019 3Q 4 City Gas sales volume: Number of customers(City Gas), LNG sales volume,Average temperature （ Unit： mil. ㎥） FY2020 FY2019 9,923 Change -1,011mil.㎥ (-10.2%) 10,000 Number of customers for 3Q 3Q including temperature effect -3

  5. Slide 5: Electricity sales volume and number of customers

    FY2020 3Q Consolidated Electricity Sales Volume/ Number of Customers vs. FY2019 3Q 5 Electricity sales volume： New electricity retail customers won by Tokyo Gas （ Unit：mil. kWh ） Quarter (1,000s) Cumulative (1,000s) 18,000 17,685 300 3,000 +3,527mil. kWh 2,522 2,629 2,457 (+24.9%) 250 2,350 2,500 2,

  6. Slide 6: 3Q Results: Sales and Operating Profit by Business Segments

    FY2020 3Q Results : Sales and Operating Profit/Loss by Business Segments vs. FY2019 3Q 6 (unit : billion yen) Segment Profit(Operating profit Net sales + Equity income/loss of subsidiary) FY2020 3Q FY2019 3Q FY2020 3Q FY2019 3Q Results Results Change ％ Results Results Change ％ Gas 795.8 955.3 -159.5

  7. Slide 7: 3Q Results: Ordinary Profit Analysis

    FY2020 3Q Results: Ordinary Profit Analysis  City Gas +¥13.5bn vs. FY2019 3Q 7 ・Increase in gross margin +¥1.7bn: Change in sales volume, etc. -22.0 (incl. change due to temp effect +1.0), sliding time lag effect +8.1, third-party access revenue +10.7, etc. Gas (Net sales) -¥135.2bn: Change in volu

  8. Slide 8: FY2020 Full Year Forecast

    02 FY2020 Full Year Forecast Copyright© TOKYO GAS Co., Ltd. All Rights Reserved.

  9. Slide 9: Highlights: Sales Up, Profit Down (vs. previous forecast)

    FY2020 Consolidated Forecast (Apr. 1, 2020 – Mar. 31, 2021) 9 Highlights: Sales UP, Profit Down (vs. previous forecast) (+/- indicate impact on profit, billion yen) vs. Previous Forecast Net sales +27.0 Increase in city gas sales volume from the impact of low temperatures Operating -35.0 Impact from

  10. Slide 10: Full Year Forecast: City Gas sales volume

    FY2020 Full Year Forecast Consolidated Gas Sales Volume/ Number of Customers 10 City Gas sales volume: Number of customers(City Gas), LNG sales volume,Average temperature （ Unit： mil. ㎥） VS. Previous Forecast Previous FY2019 15,000 +370mil.㎥ (+2.9%) Forecast Forecast Change Results Change including

  11. Slide 11: Full Year Forecast: Electricity sales volume

    FY2020 Full Year Forecast Consolidated Electricity Sales Volume/ Number of Customers 11 Electricity sales volume： New electricity retail customers won by Tokyo Gas （ Unit：mil. kWh ） Cumulative (1,000s) VS. Previous Forecast 25,000 24,615 24,146 3,800 （As of Mar.2023 ） +469mil. kWh 4,000 (+1.9%) 20,6

  12. Slide 12: Full Year Forecast by Business Segments vs. Previous Forecast

    FY2020 Full Year Forecast: Sales and Operating Profit/Loss by Business Segments vs. Previous Forecast 12 (unit : billion yen) Segment Profit(Operating profit Net sales + Equity income/loss of subsidiary) FY2020 Previous FY2020 Previous Forecast Forecast Change ％ Forecast Forecast Change ％ Gas 1,152.

  13. Slide 13: Forecast: Segment Profit Analysis vs. Previous Forecast

    FY2020 Forecast: Segment Profit Analysis vs. Previous Forecast 13  City Gas +¥10.1bn ・Increase in gross margin +¥8.9bn: Change in sales volume, etc. +10.0 (incl. change due to Gas temp effect -1.3), sliding time lag effect -1.1 +¥3.9bn (Net sales) +¥21.3bn: Change in volume, etc. +28.4, sliding tim

  14. Slide 14: Full Year Forecast by Business Segments vs. FY2019

    FY2020 Full Year Forecast: Sales and Operating Profit/Loss by Business Segments vs. FY2019 Results 14 (unit : billion yen) Segment Profit(Operating profit Net sales + Equity income/loss of subsidiary) FY2020 FY2019 FY2020 FY2019 Forecast Results Change ％ Forecast Results Change ％ Gas 1,152.8 1,355.4

  15. Slide 15: Forecast: Ordinary Profit Analysis vs. FY2019

    FY2020 Forecast: Ordinary Profit Analysis  City Gas +¥8.6bn vs. FY2019 Results 15 ・Increase in gross margin +¥2.3bn: Change in sales volume, etc.+4.7 (incl. change due to temp effect +8.7), sliding time lag effect -2.4 Gas (Net sales) -¥167.5bn: Change in volume, etc. -25.0, sliding time lag effect

  16. Slide 16: Factors for Changes from FY2019

    Factors for Changes from FY2019 16 (+/- indicate impact on profit, billion yen) Forecast as of Forecast as of Forecast as of Item Main contents 1Q Impact*1 2Q Impact*2 3Q Impact*3 (+) Sliding time lag Sliding time lag (+) City gas temperature affect Approx. +22.0 Approx. +17.0 Approx. +15.0 effect,

  17. Slide 17: Uses of Cash Flow (Capex, Investment and financing)

    FY2020 Uses of Cash Flow（Capex , Investment and financing） 17 (Unit: billion yen) Previous FY2019 Forecast Main Items Change ％ Change ％ Forecast Results Capital Expenditure Production facilities : 14.0（vs. Previous-4.5） Hitachi LNG terminal expansion, etc. Gas 156.6 Distribution facilities : 100.3（v

  18. Slide 18: Key Indicators (Consolidated)

    Key Indicators (Consolidated) 18 (Unit: billion yen) FY2020 FY2019 FY2018 Forecast Results Results Total assets (a) 2,694.0 2,539.9 2,428.1 Shareholders’ equity (b) 1,151.0 1,147.7 1,159.0 Shareholders’ equity ratio (b)/(a) 42.7% 45.2％ 47.7％ Interest-bearing debt (c) 1,072.0 905.0 803.2 D/E ratio (c

  19. Slide 19: Reference Materials

    03 Reference Materials Copyright© TOKYO GAS Co., Ltd. All Rights Reserved.

  20. Slide 20: Gas Gross Margin Sensitivity to Crude Oil Price and Exchange Rate

    Gas Gross Margin Sensitivity to Change in Crude Oil Price and Exchange Rate 20 Impact of rising JCC by $1/bbl (Unit: billion yen) Impact on earnings 4Q Period 4Q -0.1 Impact of depreciation by ¥1/$ (Unit: billion yen) Impact on earnings 4Q Period 4Q -0.8 Copyright© TOKYO GAS Co., Ltd. All Rights Res

  21. Slide 21: Crude oil price, Exchange rate vs. FY2019 Results

    Crude oil price・Exchange rate vs. FY2019 Results 21 Crude oil price（Japan Crude Cocktail Prices） ($/bbl) 80.00 70.00 60.00 50.00 40.00 30.00 20.00 FY2020 FY2019 Exchange rate (¥/$) 115.0 110.0 105.0 100.0 FY2020 FY2019 Copyright© TOKYO GAS Co., Ltd. All Rights Reserved.

  22. Slide 22: Key Topics in FY2020 (Excerpted from Press Releases)

    Key Topics in FY2020 (Excerpted from Press Releases up to 28th Jan.) 22 Management ・Management Reform Initiatives of the Tokyo Gas Group in View of the COVID-19 Pandemic (Nov.30) Strategy ・Notice of Transition to a Company with a Nominating Committee, etc. (Nov.30) (Including ・Notice regarding Compa

  23. Slide 23: Key Topics in FY2020 (Excerpted from Press Releases)

    Key Topics in FY2020 (Excerpted from Press Releases up to 28th Jan.) 23 ◆ Others ・Integration of Tokyo Gas Living Engineering Co., Ltd. and Tokyo Gas Remodeling Co., Ltd. (Apr.6)*3 ・Tokyo Gas venture Sumilena Co., Ltd. initiates “fixed monthly fees appliances rental services” and implements “Rest HO

  24. Slide 24: Overseas Projects

    Overseas Projects 24 1 2 4 5 7 3 6 8 Area No Country Subject Main Business Participation year Barnett Upstream Shale gas 2013 Eagle Ford Upstream Shale gas 2016 East Texas Upstream Shale gas 2017 1 U.S.A TGES America Downstream Energy Service 2015 Birdsboro Power Plant Downstream Natural gas power 2

  25. Slide 25: Trends in city gas/electricity switching and customer numbers

    Trends in city gas/electricity switching(published data), Number of customers for city gas retail sales(Tokyo gas consolidated) 25 Electricity switchers (based on applications) City gas switchers (based on applications) Monthly(1,000s) Cumulative(1,000s) Monthly(1,000s) Cumulative(1,000s) 500 20,000

  26. Slide 26: Cautionary Statement regarding Forward-looking Statements

    < Cautionary Statement regarding Forward‐looking Statements > Statements made in this presentation with respect to Tokyo Gas’s present plans, forecasts, strategies and beliefs, and other statements herein that are not expressions of historical fact are forward‐looking statements about the future per

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