Tokyo Electric Power Company Holdings, Incorporated · TSE:9501
Tokyo Electric Power — FY2014 Earnings Presentation
56 slides from Tokyo Electric Power's earnings presentation, Apr 28, 2015
Slide 1: FY2014 Earnings Results
FY2014 Earnings Results (April 1, 2014 – March 31, 2015) Tokyo Electric Power Company April 28, 2015 © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 2: Regarding Forward-Looking Statements
Regarding Forward-Looking Statements Certain statements in the following presentation regarding Tokyo Electric Power Company’s business operations may constitute “forward-looking statements.” As such, these statements are not historical facts but rather predictions about the future, which inherently
Slide 3: Overview of FY2014 Earnings Results
Overview of FY2014 Earnings Results © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 4: Key Points of FY2014 Earnings Results and FY2015 Forecasts
Ⅰ．Key Points of FY2014 Earnings Results and FY2015 Full-Year Forecasts 1 Ordinary income achieved profits in FY2014 for the second consecutive year. < FY2014 Earnings Results > - Operating revenues recorded the highest level in the past mainly due to fuel cost adjustments. - In addition, ordinary in
Slide 5: Consolidated Earnings Results
Ⅰ-1．Consolidated Earnings Results - Year on Year Comparison 2 (Unit: Billion Yen) Comparison FY2014（A) FY2013（B) (A)-(B) (A)/(B) (%) Operating Revenues 6,802.4 6,631.4 171.0 102.6 Operating Income 316.5 191.3 125.1 165.4 Ordinary Income 208.0 101.4 106.5 205.1 Extraordinary Income 887.7 1,823.7 -936
Slide 6: Non-Consolidated Earnings Results
Ⅰ-2．Non-Consolidated Earnings Results - Year on Year Comparison 3 (Unit: Billion Yen) Comparison FY2014(A) FY2013(B) (A)-(B) (A)/(B) (% ) Operating Revenues 6,633.7 6,449.8 183.8 102.8 Operating Income 278.9 151.9 126.9 183.5 Ordinary Income 167.3 43.2 124.1 387.1 Extraordinary Income 883.6 1,818.3
Slide 7: Power Demand and Supply
Ⅰ-3．Power Demand and Supply - Year on Year Comparison 4 Electricity Sales Volume (Unit: Billion kWh) Comparison Decrease mainly due FY2014(A) FY2013(B) to decline in the use (A)-(B) (A)/(B) (%) of air-conditioning Lighting 90.7 94.6 -3.9 95.9 with the effect of the Power 9.9 10.5 -0.7 93.8 temperatu
Slide 8: Key Factors Affecting Performance
Ⅰ-4．Key Factors Affecting Performance - Year on Year Comparison 5 FY2014(A) FY2013(B) (A)-(B) Foreign Exchange Rate (Interbank, yen/dollar) 109.8 100.2 9.6 Crude Oil Prices (All Japan CIF, dollar/barrel) 90.4 110.0 -19.6 LNG Prices (All Japan CIF, dollar/barrel) 88.9 93.0 -4.1 <Fluctuation of Foreig
Slide 9: Income and Expenditure: Revenues
Ⅰ-5．The Status of Income and Expenditure (Non-Consolidated) - Year on Year Comparison 6 (1) Revenues (Unit: Billion Yen) Comparison FY2014 (A) FY2013 (B) (A)-(B) (A)/(B) (%) (Operating Revenues) 6,633.7 6,449.8 183.8 102.8 Electricity Sales Revenues 6,007.8 5,919.7 88.1 101.5 ・Decrease in electricit
Slide 10: Income and Expenditure: Expenditures
Ⅰ-6．The Status of Income and Expenditure (Non-Consolidated) - Year on Year Comparison 7 ・Decrease in thermal power (2) Expenditures (Unit: Billion Yen) generation -178.0 Comparison ・Effect of fluctuations of FY2014 (A) FY2013 (B) exchange rate +221.0 (A)-(B) (A)/(B) (%) ・Effect of CIF fluctuations P
Slide 11: Increase/Decrease of Consolidated Business Performance
Ⅰ-7．Increase/Decrease of Consolidated Business Performance - Year on Year Comparison 8 Ordinary Income increased 106.5 billion yen to 208.0 billion yen. Factors related to ･Decrease in depreciation Ordinary Income Power Supply and Demand expenses and interest paid (Unit: Billion Yen) +319.2 ＋109.2
Slide 12: Consolidated Performance Compared with Previous Projections
Ⅰ-8．Increase/Decrease of Consolidated Business Performance 9 - Compared with the Previous Projections Ordinary Income is 19.0 billion yen decrease from earnings forecasts. Decrease in Increase in (Unit: Billion Yen) Ordinary Income ・Decrease in operation of thermal other expenses power plants with
Slide 13: Extraordinary Income/Loss (Consolidated)
Ⅰ-9．Extraordinary Income/Loss (Consolidated) - Year on Year Comparison 10 (FY2014) Application for (Unit: Billion Yen) financial assistance in Jul. 2014 and Mar. 2015 FY2014 FY2013 Comparison (FY2013) Application for financial assistance in May Extraordinary Income 887.7 1,823.7 -936.0 and Dec. 2013
Slide 14: Consolidated Financial Position
Ⅰ-10．Consolidated Financial Position - Year on Year Comparison 11 - Total assets decreased 588.4 billion yen mainly due to decline in cash and deposits. - Total liabilities decreased 1,113.2 billion yen mainly due to decline in interest-bearing debt. - Equity ratio improved by 4.1%. Balance Sheets a
Slide 15: Consolidated Cash Flow
Ⅰ-11．Consolidated Cash Flow - Year on Year Comparison 12 Cash flow from operating activities increased 872.9 billion yen mainly due to increase in electricity sales revenues. Cash flow from investing activities decreased 523.9 billion yen mainly due to purchases of property, plant and equipment.
Slide 16: Supplemental Material
Supplemental Material © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 17: Table of Contents
Table of Contents Earnings Results Detailed Information 【Refernce】 Consolidated Statements of Income 13 Other Initiatives Breakdown of Non-Consolidated Ordinary Revenues 14 Implementation of the Streamlining Policy 32 Breakdown of Non-Consolidated Ordinary Expenses 15 Efforts towards Nuclear Reform
Slide 18: FY2014 Earnings Results Detailed Information
FY2014 Earnings Results Detailed Information © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 19: Consolidated Statements of Income
Consolidated Statements of Income 13 (Unit: Billion Yen) Comparison FY2014 (A) FY2013 (B) (A)-(B) (A)/(B) (%) Operating Revenues 6,802.4 6,631.4 171.0 102.6 Operating Expenses 6,485.9 6,440.0 45.8 100.7 Operating Income 316.5 191.3 125.1 165.4 Non-operating Revenues 48.9 63.4 -14.4 77.2 Investment G
Slide 20: Breakdown of Non-Consolidated Ordinary Revenues
Breakdown of Non-Consolidated Ordinary Revenues 14 (Unit: Billion Yen) Comparison FY2014 (A) FY2013 (B) (A)-(B) (A)/(B) (%) Ordinary Revenues 6,677.4 6,490.0 187.4 102.9 Operating Revenues 6,633.7 6,449.8 183.8 102.8 Operating Revenues from Electric Power Business 6,497.6 6,315.5 182.0 102.9 Electri
Slide 21: Breakdown of Non-Consolidated Ordinary Expenses
Breakdown of Non-Consolidated Ordinary Expenses 15 (Unit: Billion Yen) Comparison FY2014 (A) FY2013 (B) (A)-(B) (A)/(B) (%) Ordinary Expenses 6,510.1 6,446.8 63.3 101.0 Operating Expenses 6,354.7 6,297.9 56.8 100.9 Operating Expenses for Electric Power Business 6,233.7 6,168.8 64.8 101.1 Personnel 3
Slide 22: Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (1)
Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (1) 16 Personnel expenses (¥355.9 billion to ¥355.0 billion) - ¥0.8 billion Salary and benefits (¥244.2 billion to ¥260.3 billion) +¥16.1 billion Retirement benefits (¥43.1 billion to ¥27.2 billion) - ¥15.8 billion Amortization of actuari
Slide 23: Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (2)
Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (2) 17 Maintenance expenses (¥263.8 billion to ¥378.2 billion) +¥114.3 billion Generation facilities (¥102.2 billion to ¥130.6 billion) +¥28.4 billion Hydroelectric power (¥9.1 billion to ¥9.8 billion) +¥0.6 billion Thermal power (¥68.2 b
Slide 24: Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (3)
Year-on-Year Comparison of Non-Consolidated Ordinary Expenses (3) 18 Power purchasing costs (¥945.4 billion to ¥1,003.4 billion) +¥58.0 billion Power purchased from other utilities (¥223.5 billion to ¥203.7 billion) Main Factors for Increase/Decrease - ¥19.7 billion Power purchased from other suppli
Slide 25: Financial Impact of the Great East Japan Earthquake
Financial Impact of the Great East Japan Earthquake [Extraordinary Income/Loss, Non-Consolidated] 19 Grants–in-aid from Nuclear Damage Compensation and Decommissioning Facilitation Corporation [Extraordinary Income] (Unit: Billion Yen) FY 2010 to FY2014 Cumulative Item FY2013 FY2012 Apr-Dec Apr-Mar
Slide 26: Consolidated and Non-Consolidated Balance Sheets
Consolidated and Non-Consolidated Balance Sheets 20 (Upper and lower rows show consolidated and non-consolidated figures, respectively) (Unit: Billion Yen) <Interest-bearing debt outstanding> Mar. 31 Mar. 31 Comparison (Unit: Billion Yen) 2015 (A) 2014 (B) (A)-(B) (A)/(B) (%) (A)Mar.31, (B)Mar.31, (
Slide 27: Consolidated Statements of Cash Flows
Consolidated Statements of Cash Flows 21 (Unit: Billion Yen) Comparison FY2014 (A) FY2013 (B) (A)-(B) Cash flow from operating activities 872.9 638.1 234.8 Income / loss before income taxes and minority interests 479.0 462.5 16.4 Depreciation and amortization 624.2 647.3 -23.1 Interest expenses 99.0
Slide 28: Schedules for Corporate Bond Redemption
[Reference] Schedules for Corporate Bond Redemption (Non-consolidated) 22 (Billion Yen) Amount at Maturity (As of Mar 31, 2015) 1,400 1,299.8 Foreign currency-denominated bond 1,200 Domestic (Private bond) Domestic (Public bond) 1,000 *2 *1 Foreign currency-denominated bond (Breakdown) 673.9 *2 Priv
Slide 29: Segment Information
Segment Information 23 (Unit: Billion Yen) (Unit: Billion Yen) Comparison Comparison FY2014(A) FY2013(B) FY2014(A) FY2013(B) (A)-(B) (A)/(B) (%) (A)-(B) (A)/(B) (%) Operating Revenues 6,802.4 6,631.4 171.0 102.6 Assets 14,212.6 14,801.1 -588.4 96.0 3,455.0 3,413.8 41.2 101.2 Fuel & Power Company 1,7
Slide 30: Gas Supply Business (Customer Service Company)
[Reference] Gas Supply Business (Customer Service Company) 24 Operating Performance Sales Volume (Billion Yen) Revenues Operating Income (Million Ton) 120.7 121.9 1.31 1.24 9.3 0.3 FY2013 FY2014 FY2013 FY2014 Actual Actual Actual Actual <FY2014 Actual Performance> Operating revenues: Increased 1.2 b
Slide 31: Oversea Business (Corporate)
[Reference] Oversea Business (Corporate) 25 TEPCO (Investment Main Company or Project Name 1 Location 2 Output Start of commercial operation, etc. Investment ratio) Chang Bin & Fong Der Project Taiwan ¥7.0 billion ( 19.5% ) 490MW, 980MW Commenced operations in Mar. 2004 Starbuck Project Taiwan ¥2.8
Slide 32: FY2014 Key Factors Affecting Performance and Financial Impact
FY2014 Key Factors Affecting Performance and Financial Impact 26 FY2015 FY2014 Key Factors Affecting Performance Full-year Full-year Projection Projection Actual (As of Jan 30) Electricity Sales Volume (billion kWh) 261.4 257.0 259.3 Crude Oil Prices (All Japan CIF; dollars per barrel) - 90.4 approx
Slide 33: Dividend Policy
Dividend Policy 27 FY2014 Dividend and FY2015 Dividend Outlook - TEPCO paid out no interim dividend in fiscal 2014 and has decided not to pay out for fiscal 2014 year-end dividends. - We regret to plan no interim and year-end dividends for fiscal 2015. Dividends of Common Shares Dividend Per Share D
Slide 34: Seasonal Breakdown of Electricity Sales
[Reference] Seasonal Breakdown of Electricity Sales - Sales Volume, Total Power 28 Generated and Purchased (Units: Billion kWh, %) FY2013 FY2014 FY2015 Electricity Sales Volume Apr-Sep Oct-Mar Full year Apr-Sep Oct-Dec Jan. Feb. Mar. Jan-Mar Oct-Mar Full year Projection 48.84 56.24 105.08 46.27 22.7
Slide 35: Recent Demand Trend of Large-Scale Industries
[Reference] Recent Demand Trend of Large-Scale Industries 29 - Electricity sales volume to large-scale industrial customers in fiscal 2014 decreased 2.3% due to decrease year-on-year sales growth in industries such as Paper & pulp, Chemicals, Ceramics & stone, Ferrous metals and Machinery. [Year-on-
Slide 36: Fuel Consumption and Procurement
[Reference] Fuel Consumption and Procurement 30 Fuel Consumption Data and Projection FY2014 FY2011 FY2012 FY2013 FY2015 Full-year Previous Actual Actual Actual Actual Outlook Outlook LNG(million tons) 22.88 23.71 23.78 23.49 approx.23.50 - Oil (million kｌ) 8.08 10.50 6.82 3.10 approx.4.30 - Coal (mi
Slide 37: Historical Prices of CIF Crude Oil, Fuel Coal and LNG
[Reference] Historical Prices of CIF Crude Oil, Fuel Coal and LNG 31 (＄/b･t) (＄/t) 160 1,000 900 140 800 120 700 100 600 80 500 400 60 300 40 Crude Oil Fuel Coal 200 20 LNG (Right-hand Scale) 100 0 0 Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan 2010 2011 2012 2013
Slide 38: FY2014 Earnings Results Other Initiatives
FY2014 Earnings Results Other Initiatives © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 39: Implementation of the Streamlining Policy
Implementation of the Streamlining Policy 32 <Cost reduction> − In the New Comprehensive Special Business Plan, TEPCO and its subsidiaries & affiliated companies will implement further cost cuts of 1,419.4 billion yen and 108.5 billion yen, respectively from the previous Comprehensive Special Busine
Slide 40: Efforts towards Nuclear Reform: Nuclear Safety Reform Plan
Efforts towards Nuclear Reform - 1 Report on status of the Nuclear Safety Reform Plan 33 - With Key Performance Indicators (KPI), the level of materialization of Nuclear Safety Reforms is evaluated. - In the fourth quarter, accidents resulting in a serious injury and failure to disclose information
Slide 41: Efforts towards Nuclear Reform: Framework
Efforts towards Nuclear Reform - 2 [Reference] Framework for Nuclear Reform 34 - The “Reassessment of Fukushima Nuclear Accident and Nuclear Safety Reform Plan” (the “Reform Plan”) formulated by TEPCO’s Nuclear Reform Special Task Force was announced through the resolution of the Board of Directors
Slide 42: Establishment of New Company (JERA)
Establishment of New Company (JERA) 35 As of April 30,2015, JERA Co., Inc. (“JERA”) will be established as a new company for a comprehensive alliance, covering the entire energy supply chain, from upstream investments and fuel procurement through power generation (the "Alliance") in accordance wit
Slide 43: Establishment of TEPCO Niigata Headquarters
Establishment of TEPCO Niigata Headquarters 36 "Niigata Headquarters“, which comprises of Niigata Division, Kashiwazaki-Kariwa Nuclear Power Station and Shinanogawa Power System Office, was established on April 1, 2015. Managing Executive Officer has been appointed President of Niigata Headquart
Slide 44: Current Status of Fukushima Daiichi Nuclear Power Stations and Future Initiatives
The Current Status of Fukushima Daiichi Nuclear Power Stations and Future Initiatives © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 45: Current Situation and Status of Units 1 through 4
Current Situation and Status of Units 1 through 4 37 - At Units 1, 2 and 3, it was evaluated that the comprehensive cold shutdown condition had been maintained, judging form the temperatures of the reactors and spent fuel pools (SPF) as well as the density of radioactive materials. To facilitate the
Slide 46: Mid-to-long Term Roadmap for Decommissioning Fukushima Daiichi (1)
Overview of the Mid-to-long Term Roadmap towards the Decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4 (1) 38 - TEPCO released "Mid-to-long Term Roadmap towards the decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4" in December, 2011. Base on the
Slide 47: Mid-to-long Term Roadmap for Decommissioning Fukushima Daiichi (2)
Overview of the Mid-to-long Term Roadmap towards the Decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4 (2) 39 <Major Judgment Points on the Roadmap> Phase 2 Phase 3 Period up to the completion of Primary Targets Period up to the commencement of the removal of the fuel debr
Slide 48: Countermeasures for contaminated water problem
Countermeasures for contaminated water problem 40 - The Nuclear Disaster Response Headquarters of the government arranged the preventive and multilayered measures for contaminated water issues in December, 2013. - It turned out to be technically difficult to achieve originally expected operation rat
Slide 49: Our Commitment to Nuclear Damage Compensation
Our Commitment to Nuclear Damage Compensation 41 - To facilitate prompt and fair compensation for nuclear damages, TEPCO continues to set and announce its own detailed compensation guidelines and procedures to individuals and business entities based on Government’s Interim Guideline which comprehens
Slide 50: Framework of Decontamination Works
Framework of Decontamination Works 42 - Decontamination works of radioactive materials discharged by Fukushima Daiichi Nuclear Power Station Accident are being implemented in accordance with the Act on Special Measures Concerning the Handling of Radioactive Pollution (the “Act”) enacted in August 20
Slide 51: Compensation Support by Nuclear Damage Compensation and Decommissioning Facilitation Corporation
Compensation Support by Nuclear Damage Compensation and Decommissioning 43 Facilitation Corporation - After the enactment of the Nuclear Damage Liability Facilitation Fund Act, the Fund was officially established in September 2011. - Due to the partial revision of the Nuclear Damage Liability Facili
Slide 52: Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives
The Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives © 2015 Tokyo Electric Power Company, Inc. All Rights Reserved.
Slide 53: Main Measures to Secure Safety (1) [Outline]
Main Measures to Secure Safety (1) [Outline] 44 We promote the following measures to secure further safety after the Tohoku-Chihou-Taiheiyo-Oki Earthquake. I. Installation of flooding embankment III. Further enhancement of heat removal and III. Further enhancement of heat III. Further enhancement
Slide 54: Main Measures to Secure Safety (2) [Implementation Status]
Main Measures to Secure Safety (2) [Implementation Status] 45 As of April 22, 2015 Item Unit 1 Unit 2 Unit 3 Unit 4 Unit 5 Unit 6 Unit 7 I. Installation of flooding embankment [banks] Completed Completed II. Countermeasures against inundation into buildings (1) Installation of tide embankments (floo
Slide 55: Compliance Review under the New Regulatory Requirements (1)
Compliance Review under the New Regulatory Requirements(1) 46 - In November 2013, the Nuclear Regulation Authority (NRA) started plant and earthquake/tsunami countermeasures reviews as to the compliance under the New Regulatory Requirements for the Kashiwazaki-Kariwa Nuclear Power Station Units 6 an
Slide 56: Compliance Review under the New Regulatory Requirements (2)
Compliance Review under the New Regulatory Requirements(2) 47 - As of April 27, 2015, 35 Review Meetings and 122 hearings regarding plant examinations were held. - Regarding earthquake/tsunami countermeasures examination, 9 Review Meetings and 33 hearings were conducted. ＜Review Status regarding Pla
Tokyo Electric Power Company Holdings — FY2014 Earnings Presentation on 6ix