Tokyo Electric Power Company Holdings, Incorporated · TSE:9501

Tokyo Electric Power — Q2 FY2020 Earnings Presentation

42 slides from Tokyo Electric Power's earnings presentation, Oct 28, 2020

  1. Slide 1: FY2020 2nd Quarter Financial Results

    FY2020 2nd Quarter Financial Results (April 1 – September 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 2nd Quarter Financial Results

    Overview of FY2020 2nd Quarter Financial Results (Released on October 28, 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 transl

  4. Slide 4: Key Points of FY2020 2nd Quarter Financial Results

    Key Points of FY2020 2nd Quarter Financial Results 1 < FY2020 2nd Quarter Financial Results >  Operating revenue decreased due to decreases in electricity sales volume resulting from increased competition for electricity sales and impact of the COVID-19 pandemic.  Ordinary income decreased due to

  5. Slide 5: Consolidated Financial Results

    1. Consolidated Financial Results 2 (Unit: Billion kWh) FY2020 FY2019 Comparison Apr-Sep (A) Apr-Sep (B) (A)-(B) (A)/(B) (%) Electricity Sales Volume 102.5 111.8 -9.3 91.7 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Sep (A) Apr-Sep (B) (A)-(B) (A)/(B) (%) Operating Revenue 2,834.2 3,175.6 -341.

  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 worsening performance in t

  7. Slide 7: Overview of Each Company

    3. Overview of Each Company 4 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Sep (A) Apr-Sep (B) (A)-(B) (A)/(B) (%) Operating Revenue 2,834.2 3,175.6 -341.4 89.2 TEPCO Holdings 267.9 * 321.7 -53.7 83.3 TEPCO Fuel & Power 3.8 4.3 -0.4 89.2 TEPCO Power Grid 862.8 862.9 -0 100.0 TEPCO Energy Partner

  8. Slide 8: Consolidated Extraordinary Income/Loss

    4. Consolidated Extraordinary Income/Loss 5 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Sep (A) Apr-Sep (B) (A)-(B) Extraordinary Income - ※2 367.2 -367.2 Extraordinary Loss 67.7 166.4 -98.7 Expenses for Nuclear Damage Compensation ※1 67.7 58.9 8.7 Other - ※3 107.5 -107.5 Extraordinary Income/L

  9. Slide 9: Consolidated Financial Position

    5. Consolidated Financial Position 6  Total assets balance increased by 172.2 billion yen primarily due to increases in cash and deposits.  Total liabilities balance increased by 38.0 billion yen primarily due to increases in corporate bonds.  Total net assets balance increased by 134.2 billion y

  10. Slide 10: Reference: Key Factors Affecting Performance

    <Reference> Key Factors Affecting Performance 7 Area Demand (Unit: Billion kWh) FY2020 FY2019 Comparison Apr-Sep(A) Apr-Sep(B) (A)–(B) (A)/(B) (％) Area Demand 131.3 134.5 -3.2 97.7 Foreign Exchange Rates/CIF FY2020 FY2019 (A)–(B) Apr-Sep(A) Apr-Sep(B) Foreign Exchange Rate 106.9 108.6 -1.7 (Interban

  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 -10.6 Ordinary income/loss and transmission revenue -14.4 (Units: Billion yen) Decrease in Related to sales(After deduct renewable energy ) Related to Area demand Profits:25.1

  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-Sep(A) Apr-Sep(B) Ordinary Income 224.8 249.9 -25.1 Power supply and demand, and transmission 962.7 977.2 -14.4 revenue Retail/wholesale power sales 1,378.3 1,731.8 -353.4 （△） El

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

    <Reference> Year-on-Year Comparisons for TEPCO Holdings 10 Ordinary income/loss (Units: 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 -42.0 Year-on-Yea

  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 (Units: Billion Yen) Main profit is JERA’s share of profit of entities accounted for using equity method. Worsening of power supply Year-on-Year and demand -13.1 –17.5 Timing Impact (JERA equity impa

  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 (Units: Billion Yen) Operating revenue is mainly transmission revenue, and this is fluctuated by area demand. Expenses is mainly for repairs and depreciation of transmission and distribution facilities

  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 Year-on-Year (Units: Billion Yen) ＋2.4 Operating revenue is mainly electricity sales revenue, and this is fluctuated by electricity sales volume. ＋5.3 Expenses are mainly power purchasing costs and

  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 Others Profit is mainly wholesale power sales of hydroelectric and -0.4 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 23 Consolidated Balance Sheets 16 Key points of the revised “the Mid-and-Long-Term Roadma

  20. Slide 20: FY2020 2nd Quarter Financial Results Detailed Information

    FY2020 2nd 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-Sep (A) Apr-Sep (B) (A)-(B) (A)/(B) (%) Operating Revenue 2,834.2 3,175.6 -341.4 89.2 Operating Expenses 2,652.8 2,979.0 -326.2 89.0 Operating Income / Loss 181.3 196.6 -15.2 92.3 Non-operating Revenue 68.4 85.5 -1

  22. Slide 22: Consolidated Balance Sheets

    Consolidated Balance Sheets 16 (Unit: Billion Yen) <Interest-bearing debt outstanding> (Unit: Billion Yen) Sep. 30 Mar. 31 Comparison Sep. 30 Mar. 31 (A)-(B) 2020 (A) 2020 (B) 2020 (A) 2020 (B) (A)-(B) (A)/(B) (%) Bonds 2,575.4 2,214.6 360.7 Total Assets 12,130.1 11,957.8 172.2 101.4 Long-term Debt

  23. Slide 23: Consolidated Statements of Cash Flows

    Consolidated Statements of Cash Flows 17 (Unit: Billion Yen) FY2020 FY2019 Comparison Apr-Sep (A) Apr-Sep (B) (A)-(B) Cash flow from operating activities 14.5 86.2 -71.6 Income / loss before income taxes and minority interests 156.7 450.6 -293.9 Depreciation and amortization 205.0 209.5 -4.4 Increas

  24. Slide 24: Overview of Consolidated Cash Flows

    Overview of Consolidated Cash Flows - Year on Year Comparison 18 Cash and cash equivalents as of September 30, 2020 increased 121.9 billion yen to 934.1 billion yen. - Cash flows from operating activities increased 14.5 billion yen mainly due to income before income taxes and minority interests - Ca

  25. Slide 25: Key Factors Affecting Performance

    Key Factors Affecting Performance 19 Key Factors Affecting Performance（Results） FY2020 Apr-Sep FY2019 Apr-Sep ［Reference］ FY2019 Electricity Sales Volume (Billion kWh) 102.5 111.8 222.3 Gas Sales Volume (Million ton) 0.87 0.88 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) 10

  26. Slide 26: Seasonal Breakdown of Electricity Sales Volume and Total Power Generated

    Seasonal Breakdown of Electricity Sales Volume and Total Power Generated 20 Electricity Sales Volume Unit: Billion kWh FY2020 Apr-Jun Jul Aug Sep Jul-Sep Apr-Sep Lighting 14.90 4.60 5.70 6.31 16.61 31.51 Power 32.47 12.23 13.12 13.19 38.53 71.00 Total 47.37 16.83 18.82 19.50 55.14 102.51 Unit: Billi

  27. Slide 27: Feed-in Tariff Scheme for Renewable Energy

    Feed-in Tariff Scheme for Renewable Energy 21 （FY2020 Apr. – Sep. ) Avoidable Cost 88.7 billion yen * Renewable Subsidy Purchase Cost Energy 265.0 billion yen 353.7 billion yen Generators Cost Bearing Adjustment (Recorded as (Recorded as Power Organization Other Revenues) Purchasing Costs) (Green In

  28. Slide 28: Schedules for Public Bond Redemption

    Schedules for Public Bond Redemption 22 Amount at Maturity (As of Sep. 30, 2020) (Billion Yen) TEPCO Public Bond TEPCO Power Grid Public Bond (FY) Note: The amount redeemed for Apr. - Sep. of fiscal 2020 totaled 210.0 billion yen. ©Tokyo Electric Power Company Holdings, Inc. All Rights Reserved.

  29. Slide 29: 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.

  30. Slide 30: Current Situation and Status of Units 1 through 4

    Current Situation and Status of Units 1 through 4 23 - 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

  31. Slide 31: Key points of the revised Mid-and-Long-Term Roadmap

    Key points of the revised “the Mid-and-Long-Term Roadmap” 24 ●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

  32. Slide 32: Major milestones of Mid-and-Long-Term Roadmap

    Major milestones of Mid-and-Long-Term Roadmap 25 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

  33. Slide 33: Fuel Debris Retrieval Schedule and Process

    Fuel Debris Retrieval Schedule and Process Based upon the Mid-to-Long Term Decommissioning Implementation Plan 2020 26  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

  34. Slide 34: Contaminated Water Management

    Contaminated Water Management 27 − 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

  35. Slide 35: 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.

  36. Slide 36: Main Measures to Secure Safety - 1 [Outline]

    Main Measures to Secure Safety – 1 [Outline] 28  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

  37. Slide 37: Main Measures to Secure Safety - 2 [Implementation Status]

    Main Measures to Secure Safety - 2 [Implementation Status] 29 As of October 7, 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 (f

  38. Slide 38: Compliance Review under the New Regulatory Requirements

    Compliance Review under the New Regulatory Requirements 30 Latest Review Status ・On September 27, 2013, the application for permission changes in reactor installation, application for authorization of design and construction plan, and application for authorization of safety regulation revision were

  39. Slide 39: Key License/Permit Steps under New Regulatory Requirements

    31 Pre-use inspection(※2) Termination of pre-use inspection TEPCO Application for pre-use inspection Key License/Permit Steps in Enforcement of New Regulatory Requirements design and Construction plan Safety regulation revision authorization authorization Design and construction plan & NRA safety re

  40. Slide 40: Other Initiatives

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

  41. Slide 41: Main Efforts to Increase Corporate Value-1

    Main Efforts to Increase Corporate Value-1 32 <TEPCO Holdings> July 14, 2020 TEPCO Holdings applied for and was selected for the program for “business for the development of generic technology development business for a multiuse multi-terminal DC transmission system” hosted by the New Energy and Ind

  42. Slide 42: Main Efforts to Increase Corporate Value-2

    Main Efforts to Increase Corporate Value-2 33 <TEPCO Energy Partner> August 28, 2020 TEPCO Energy Partners signed an “Agreement related to the Promotion of Local Production and Consumption of Energy” with Saitama Prefecture. It has built a local electricity production and consumption model for busin

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