Tokyo Electric Power Company Holdings, Incorporated · TSE:9501

Tokyo Electric Power — Q1 FY2020 Earnings Presentation

40 slides from Tokyo Electric Power's earnings presentation, Jul 29, 2020

  1. Slide 1: FY2020 1st Quarter Financial Results

    FY2020 1st Quarter Financial Results (April 1 – June 30, 2020) Tokyo Electric Power Company Holdings, Inc. ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  2. Slide 2: ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

    ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  3. Slide 3: Overview of FY2020 1st Quarter Financial Results

    Overview of FY2020 1st Quarter Financial Results (Released on July 29, 2020) (Note) Please note that the following is an accurate and complete translation of the original Japanese version prepared for the convenience of our English-speaking investors. In case of any discrepancy between the translati

  4. Slide 4: Key Points of FY2020 1st Quarter Financial Results

    Key Points of FY2020 1st Quarter Financial Results 1 < FY2020 1st Quarter Financial Results >  Operating revenue decreased due to increased competition for electricity sales and the impact of the COVID-19 pandemic and other factors.  Ordinary income decreased due to decreases in operating revenue

  5. Slide 5: Consolidated Financial Results

    1. Consolidated Financial Results 2 (Unit: Billion kWh) FY2020 FY2019 Comparison Apr-Jun (A) Apr-Jun (B) (A)-(B) (A)/(B) (% ) Electricity Sales Volume 47.4 52.2 -4.8 90.8 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Jun (A) Apr-Jun (B) (A)-(B) (A)/(B) (% ) Operating Revenue 1,341.3 1,504.0 -162.

  6. Slide 6: Points of Each Company

    2. Points of Each Company 3 <TEPCO Holdings>  Ordinary income decreased due to a decrease in wholesale power sales to TEPCO Energy Partner, Inc. and a decrease in received dividends from core operating companies,etc. <TEPCO Fuel & Power>  Ordinary income decreased due to the worsening impact of th

  7. Slide 7: Overview of Each Company

    3. Overview of Each Company 4 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Jun (A) Apr-Jun (B) (A)-(B) (A)/(B) (% ) Operating Revenue 1,341.3 1,504.0 -162.7 89.2 TEPCO Holdings 129.2 * 163.2 -33.9 79.2 TEPCO Fuel & Power 1.9 2.1 -0.2 89.0 TEPCO Power Grid 410.7 412.3 -1.5 99.6 TEPCO Energy Partn

  8. Slide 8: Consolidated Extraordinary Income/Loss

    4. Consolidated Extraordinary Income/Loss 5 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Jun (A) Apr-Jun (B) (A)-(B) Extraordinary Income - ※2 313.2 -313.2 Extraordinary Loss 36.5 125.7 -89.1 Expenses for Nuclear Damage Compensation ※1 36.5 30.0 6.4 Other - ※3 95.6 -95.6 Extraordinary Income/Los

  9. Slide 9: Consolidated Financial Position

    5. Consolidated Financial Position 6  Total assets balance decreased 176.2 billion yen primarily due to decreases in cash and deposits.  Total liabilities balance decreased by 195.3 billion yen primarily due to decrease in accounts payable and accrude expenses.  Total net assets balance increased

  10. Slide 10: Key Factors Affecting Performance (Results)

    <Reference> Key Factors Affecting Performance (Results) 7 Area Demand (Unit: Billion kWh) Comparison FY2020 FY2019 Apr-Jun(A) Apr-Jun(B) (A)–(B) (A)/(B) (％) Area Demand 59.5 62.3 -2.7 95.6 Foreign Exchange Rates / CIF FY2020 FY2019 (A)–(B) Apr-Jun(A) Apr-Jun(B) Foreign Exchange Rate 107.6 109.9 -2.3

  11. Slide 11: Consolidated Year-on-Year performance comparison: Increases/Decreases chart

    <Reference> Consolidated Year-on-Year performance comparison ① ~Increases/Decreases chart~ 8 Power supply and demand, Others -32.2 Ordinary income/loss and transmission revenue ＋2.1 (Units: Billion yen) Related to Sales (After deduct renewable energy) Related to Area demand Decrease in -0.3 Profits:

  12. Slide 12: Consolidated Year-on-Year performance comparison: Figures

    <Reference> Consolidated Year-on-Year performance comparison ② ~Figures~ 9 （Units: Billion yen) FY2020 FY2019 (A)–(B) Apr-Jun(A) Apr-Jun(B) Ordinary Income 68.5 98.5 -30.0 Power supply and demand, and transmission 444.6 442.5 +2.1 revenue Retail/wholesale power sales 886.0 1,067.6 -181.5 （△） Electri

  13. Slide 13: Year-on-Year Comparisons for TEPCO Holdings

    <Reference> Year-on-Year Comparisons for TEPCO Holdings 10 Ordinary Income/Loss （Unit：Billion Yen） Profit Structure Profit is dividend income, decommissioning charges profit, management consultation fees, wholesale power sales of nuclear power, etc. Decrease in received dividends -41.0 Decrease in w

  14. Slide 14: Year-on-Year Comparisons for TEPCO Fuel & Power

    <Reference> Year-on-Year Comparisons for TEPCO Fuel & Power 11 Ordinary Income/Loss Profit Structure （Unit：Billion Yen） Main profit is JERA’s share of profit of entities accounted for using equity method. Impact from worsening of time-lag Worsening -17.0 of power Timing Impact (JERA equity impact) s

  15. Slide 15: Year-on-Year Comparisons for TEPCO Power Grid

    <Reference> Year-on-Year Comparisons for TEPCO Power Grid 12 Ordinary Income/Loss Profit Structure （Unit：Billion Yen） Operating revenue is mainly transmission revenue, and this is fluctuated by area demand. Expenses is mainly for repairs and depreciation of Year-on- transmission and distribution fac

  16. Slide 16: Year-on-Year Comparisons for TEPCO Energy Partner

    <Reference> Year-on-Year Comparisons for TEPCO Energy Partner 13 Ordinary Income/loss Profit Structure (Units: Billion Yen) Operating revenue is mainly electricity sales revenue, and this is fluctuated by electricity sales volume. Expenses are mainly power purchasing costs and Decrease in FY2020 tra

  17. Slide 17: Year-on-Year Comparisons for TEPCO Renewable Power

    <Reference> Year-on-Year Comparisons for TEPCO Renewable Power 14 Ordinary Income/loss (Units: Billion Yen) Profit structure Profit is mainly wholesale power sales of Others -0.9 hydroelectric and new energies. Expenses is mainly for depreciation and repairs. Flow rate （Unit：%） Increase in FY2019 FY

  18. Slide 18: Supplemental Material

    Supplemental Material ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  19. Slide 19: Table of Contents

    Table of Contents Financial Results Detailed Information The Current Status of Fukushima Daiichi NPS and Future Initiatives Consolidated Statements of Income 15 Current Situation and Status of Units 1 through 4 21 Consolidated Balance Sheets 16 Key points of the revised “the Mid-and-Long-Term Roadma

  20. Slide 20: FY2020 1st Quarter Financial Results Detailed Information

    FY2020 1st Quarter Financial Results Detailed Information ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  21. Slide 21: Consolidated Statements of Income

    15 Consolidated Statements of Income (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Jun (A) Apr-Jun (B) (A)-(B) (A)/(B) (%) Operating Revenue 1,341.3 1,504.0 -162.7 89.2 Operating Expenses 1,283.7 1,452.7 -169.0 88.4 Operating Income / Loss 57.5 51.2 6.3 112.4 Non-operating Revenue 23.3 61.1 -37.8

  22. Slide 22: Consolidated Balance Sheets

    Consolidated Balance Sheets 16 (Unit: Billion Yen) <Interest-bearing debt outstanding> (Unit: Billion Yen) Jun. 30 Mar. 31 Comparison Jun. 30 Mar. 31 (A)-(B) 2020 (A) 2020 (B) (A)-(B) (A)/(B) (%) 2020 (A) 2020 (B) Bonds 2,395.4 2,214.6 180.7 Total Assets 11,781.6 11,957.8 -176.2 98.5 Long-term Debt

  23. Slide 23: Key Factors Affecting Performance

    Key Factors Affecting Performance 17 Key Factors Affecting Performance（Results） FY2020 Apr-Jun FY2019 Apr-Jun ［Reference］ FY2019 Electricity Sales Volume (Billion kWh) 47.4 52.2 222.3 Gas Sales Volume (Million ton) 0.46 0.39 2.17 F o r e i g n E x c h a n g e R a t e (Interbank; yen per dollar) 107.

  24. Slide 24: Seasonal Breakdown of Electricity Sales Volume and Total Power Generated

    Seasonal Breakdown of Electricity Sales Volume and Total Power Generated 18 Electricity Sales Volume Unit: Billion kWh FY2020 Apr May Jun Apr-Jun Lighting 5.96 4.63 4.31 14.90 Power 11.04 10.00 11.43 32.47 Total 17.00 14.63 15.74 47.37 FY2019 [Ref.]Year-on-year Apr May Jun Apr-Jun Comparison (Apr-Ju

  25. Slide 25: Feed-in Tariff Scheme for Renewable Energy

    Feed-in Tariff Scheme for Renewable Energy 19 （FY2020 Apr. – Jun. ) Avoidable Cost 49.8 billion yen * Renewable Subsidy Purchase Cost Energy 142.0 billion yen 191.9 billion yen Generators Cost Bearing Adjustment (Recorded as (Recorded as Power Organization Other Revenues) Purchasing Costs) (Green In

  26. Slide 26: Schedules for Public Bond Redemption

    Schedules for Public Bond Redemption 20 (Billion Yen) Amount at Maturity (As of Jun. 30, 2020) TEPCO Public Bond TEPCO Power Grid Public Bond (FY) Note: The amount redeemed for Apr. - Jun. of fiscal 2020 totaled 100.0 billion yen. ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  27. Slide 27: The Current Status of Fukushima Daiichi Nuclear Power Station and Future Initiatives

    The Current Status of Fukushima Daiichi Nuclear Power Station and Future Initiatives ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  28. Slide 28: Current Situation and Status of Units 1 through 4

    Current Situation and Status of Units 1 through 4 21 - At Units 1, 2 and 3, it was evaluated that the comprehensive cold shutdown condition had been maintained, judging from the temperatures of the reactors and spent fuel pools as well as the density of radioactive materials. Fuel removal from the s

  29. Slide 29: Key points of the revised Mid-and-Long-Term Roadmap

    Key points of the revised “the Mid-and-Long-Term Roadmap” 22 ●Please visit the company webpage for the revised Mid-and-Long-Term Roadmap.  Setting out a basic principle of “coexistence of reconstruction and decommissioning”, while there has been gradual progress of residents’ return and reconstruct

  30. Slide 30: Major milestones of Mid-and-Long-Term Roadmap

    Major milestones of Mid-and-Long-Term Roadmap 23 Maintain Overall Framework of Decommissioning Schedule 30 ～ 40 years after cold Dec. 2011 Nov. 2013 Now Dec. 2021 End of 2031 shutdown Hold Hold Phase 1 Phase 2 Phase 3-(1) Phase 3 Period until start of spent Period until start of fuel debris retrieva

  31. Slide 31: Fuel Debris Retrieval Schedule and Process

    Fuel Debris Retrieval Schedule and Process Based upon the Mid-to-Long Term Decommissioning Implementation Plan 2020 24  By 2031, the scale of retrieval will be gradually enlarged at Unit 2 and preparations will be made to further enlarge the scale of retrieval. Commencement of fuel debris retrieval

  32. Slide 32: Contaminated Water Management

    Contaminated Water Management 25 − In December 2013, the government’s Nuclear Disaster Response Headquarters arranged a set of preventative and multi-tiered measures based on the three basic policies for addressing contaminated water issues. <Main countermeasures> < Major Progress> Please visit our

  33. Slide 33: The Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives

    The Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  34. Slide 34: Main Measures to Secure Safety - 1 [Outline]

    Main Measures to Secure Safety – 1 [Outline] 26  We promote the following measures to secure further safety after the Great East Japan Earthquake. I. Installation of flooding embankment III. Further enhancement of heat removal and III. Further enhancement of heat III. Further enhancement of heat re

  35. Slide 35: Main Measures to Secure Safety - 2 [Implementation Status]

    Main Measures to Secure Safety - 2 [Implementation Status] 27 As of July 8, 2020 Item Unit 1 Unit 2 Unit 3 Unit 4 Unit 5 Unit 6 Unit 7 Ⅰ. Installation of flooding embankment [banks] Completed *2 Completed Ⅱ. Countermeasures against inundation into buildings (1) Installation of tide embankments (floo

  36. Slide 36: Compliance Review under the New Regulatory Requirements

    Compliance Review under the New Regulatory Requirements 28 Latest Review Status ・On September 27, 2013, the applications for permission changes in reactor installation were presented to receive the regulatory standard compliance examination for Units 6 and 7. ・After the application for permission ch

  37. Slide 37: Key License/Permit Steps in Enforcement of New Regulatory Requirements

    Key License/Permit Steps in Enforcement of New Regulatory Requirements 29 Current point NRA TEPCO Verification of compliance Application Construction plan & safety regulations(※1) Pre-use inspection(※2) (of safety designs including safety measures) ※Amended version reflects content of installation l

  38. Slide 38: Other Initiatives

    Other Initiatives ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  39. Slide 39: Main Efforts to Increase Corporate Value-1

    Main Efforts to Increase Corporate Value-1 30 <TEPCO Holdings> June 3, 2020 Established a company jointly with Toshiba Energy Systems & Solutions Corporation to conduct Kashiwazaki Kariwa Nuclear Power Station Unit 6 safety measures work and signed a memorandum on operating and designing projects re

  40. Slide 40: Main Efforts to Increase Corporate Value-2

    Main Efforts to Increase Corporate Value-2 31 <TEPCO Energy Partner> May 21, 2020 Established the “e5 Consortium” with six other companies including Mitsui O.S.K. Lines, Ltd. and Mitsubishi Corporation. Its aim is to build a new shipping infrastructure service through various initiatives to develop,

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