Chubu Electric Power Company,incorporated · TSE:9502

Chubu Electric Power Company,incorporated — Q3 FY2024 Earnings Presentation

38 slides from Chubu Electric Power Company,incorporated's earnings presentation, Feb 3, 2025

  1. Slide 1: Presentation Materials for Investors 3rd Quarter FY2024

    Presentation Materials for Investors 3rd Quarter FY2024 February 3, 2025

  2. Slide 2: INDEX

    INDEX Ⅰ Outline of Financial Results for Ⅲ Reference Data: Management Information Nine-Months ended December 31, 2024 Summary of Financial Results ･････････････01 Consolidated Ordinary Profit (Loss) and Profit (Loss) ･･･････16 Summary of Financial Results by Segments ･････････････04 Fund Raising and

  3. Slide 3: Outline of Financial Results for Nine-Months ended December 31, 2024

    Outline of Financial Results for Ⅰ Nine-Months ended December 31, 2024 Note: The company’s fiscal year (FY) is from April 1 to March 31 of the following year. FY2024 represents the fiscal year begun on April 1, 2024, and ending on March 31, 2025. 3rd Quarter (3Q) represents nine months period ended

  4. Slide 4: Summary of Financial Results <1>

    Summary of Financial Results <1> <Points of Financial Results> (Consolidated) ■ Operating revenue: 2,651.6 billion yen Operating revenue decreased by 45.5 billion yen compared with 2023/3Q, mainly due to a decrease in fuel cost adjustment charge (-141.1 billion yen*). * including government support

  5. Slide 5: Summary of Financial Results <2>

    Summary of Financial Results <2> <Factors contributing to change in consolidated operating revenue> (Operating revenue decreased by 45.5 billion yen) 28,000 2,800.0 (Billion yen) A decrease in fuel cost adjustment charge, etc.* 27,000 2,700.0 Others -141.1 2,600.0 26,000 95.6 2,500.0 25,000 2,697.1

  6. Slide 6: Summary of Financial Results <3>

    Summary of Financial Results <3> <Factors contributing to change in consolidated ordinary profit> (Ordinary profit decreased by 214.6 billion yen) (Billion yen) 5,000 500.0 4,500 450.0 Time lag income 4,000 400.0 -110.0 Miraiz 3,500 (Excluding 350.0 (118.0→8.0) time lag) Losses related to offshore w

  7. Slide 7: Summary of Financial Results by Segments <1>

    Summary of Financial Results by Segments <1> [Operating revenue] (Billion yen, %) 2024/3Q 2023/3Q Change (A) (B) (A-B) (A-B)/B Miraiz 2,142.6 2,166.5 (23.9) (1.1) Power Grid 684.1 665.4 18.6 2.8 Other (*1) 553.4 652.8 (99.4) (15.2) Adjustment (728.5) (787.7) 59.1 (7.5) Total 2,651.6 2,697.1 (45.5) (

  8. Slide 8: Summary of Financial Results by Segments <2>: Miraiz

    Summary of Financial Results by Segments <2>: Miraiz <Factors contributing to change in Ordinary profit> ■ Ordinary profit decreased by 53.2 billion yen compared with 2023/3Q, mainly due to a decrease in the percentage of power procurement through the wholesale power trading market, etc. [Reference]

  9. Slide 9: Summary of Financial Results by Segments <3>: Power Grid

    Summary of Financial Results by Segments <3>: Power Grid <Factors contributing to change in Ordinary profit> Ordinary profit decreased by 52.9 billion yen compared with 2023/3Q, mainly due to an increase in supply and demand adjustment costs in spite of an increase in transmission revenue by an incr

  10. Slide 10: Summary of Financial Results by Segments <4>: JERA

    Summary of Financial Results by Segments <4>: JERA <Factors contributing to change in Ordinary profit> Ordinary profit decreased by 93.5 billion yen compared with 2023/3Q, mainly due to a decrease of the time lag gain. [Reference] Ordinary profit excluding time lag: Approx. 44.0 billion yen (decreas

  11. Slide 11: Electrical Power Generation

    Electrical Power Generation <Electrical Power Generation> (Chubu Electric Power) ■ Hydro Increased by 1.1 TWh since the flow rate was higher than 2023/3Q ■ Renewable energy Same as 2023/3Q (TWh,%) Change 2024/3Q 2023/3Q (A) (B) (A-B) (A-B)/B Hydro 7.9 6.8 1.1 16.5 <flow rate> <110.2> <95.7> <14.5> N

  12. Slide 12: [Reference] Image of Time Lag (Result)

    [Reference] Image of Time Lag (Result) (Billion yen) ＜2023/3Q＞ ＜2024/3Q＞ 差益 差益 1,180 Income Income 80 億円 118.0 億円 8.0 収益の諸元 Elements of income （燃料調達からのタイムラグ） (time lag from fuel procurement) 費用の諸元 Elements of cost （燃料調達） (fuel procurement) 2023/4 2023/12 2024/4 2024/12 2024/12 2025/4 * The amount is

  13. Slide 13: Summary of Forecast for FY2024 <1>

    Summary of Forecast for FY2024 <1> <Forecast> (Consolidated) Forecast has not been revised from the previous announcement made on October 29, 2024. Consolidated operating revenue: 3,600.0 billion yen (forecast) Consolidated ordinary profit: 275.0 billion yen (forecast) ･ Operating revenue will decre

  14. Slide 14: Summary of Forecast for FY2024 <2>

    Summary of Forecast for FY2024 <2> [Principal Figures] Competitive impacts in sales <approx. 0.2> <Electrical Energy Sold by Miraiz> Impacts of temperature and market etc. <(approx. 1.1)> (TWh,%) Current October 29 Change (A) (B) (A-B) (A-B)/B Electrical Energy Sold 107.7 108.6 (0.9) (0.8) Electrica

  15. Slide 15: Reference Data: Financial Results

    Ⅱ Reference Data: Financial Results C opyri g h t © C hubu E l ec t ri c P ower C o. , Inc . A l l ri ght s res erv e d .

  16. Slide 16: Consolidated Statements of Income

    Consolidated Statements of Income (Billion yen,%) 2024/3Q 2023/3Q Change (A) (B) (A-B) (A-B)/B Operating revenue 2,651.6 2,697.1 (45.5) (1.7) Share of profit of entities accounted for using equity method 52.1 163.8 (111.6) (68.1) Other 12.8 7.8 5.0 63.9 Non-operating income 65.0 171.6 (106.5) (62.1)

  17. Slide 17: Consolidated Financial Standing

    Consolidated Financial Standing (Billion yen) Dec. 31, 2024 Mar. 31, 2024 Change (A) (B) (A-B) Assets 6,992.4 7,108.6 (116.1) Liabilities 4,197.0 4,413.5 (216.4) Net assets 2,795.3 2,695.0 100.2 Shareholders’ equity ratio (%) 39.0 36.4 2.6 Outstanding interest-bearing debt 3,068.4 3,079.1 (10.6) 13

  18. Slide 18: Forecast for FY2024 by Segments

    Forecast for FY2024 by Segments [Ordinary profit] (Billion yen, %) Change Current October 29 (A) (B) (A-B) (A-B)/B Miraiz - 110.0 110.0 - <ordinary profit <-> <approx. 110.0> <approx. 110.0> <-> excluding time lag> Power Grid 35.0 35.0 - - JERA 80.0 80.0 - - <ordinary profit <approx. 55.0> <approx.

  19. Slide 19: Consolidated Financial Indicators

    Consolidated Financial Indicators (%) FY2023 FY2024 FY2025 [Medium-term (Result) (Forecast) management plan] ROIC 5.5 approx. 4.0 3.2 or more ROA 5.8 approx. 4.0 - ROE 11.6 approx. 7.0 approx. 7.0 (Note) ROIC=Ordinary profit (loss)* before Interest Expenses and after Income Taxes / Average Invested

  20. Slide 20: Reference Data: Management Information

    Ⅲ Reference Data: Management Information C opyri g h t © C hubu E l ec t ri c P ower C o. , Inc . A l l ri ght s res erv e d .

  21. Slide 21: Consolidated Ordinary Profit (Loss) and Profit (Loss)

    Consolidated Ordinary Profit (Loss) and Profit (Loss) [Ordinary Profit (Loss)] [Profit (Loss)] (billion yen) (billion yen) 450.0 509.2 403.1 500.0 400.0 350.0 400.0 300.0 250.0 300.0 275.0 210.0 255.6 200.0 169.7 163.4 191.8 192.2 147.2 200.0 150.0 114.6 121.4 128.5112.9 100.0 74.3 79.4 100.0 65.1 5

  22. Slide 22: Fund Raising and Outstanding Interest-bearing Debt

    Fund Raising and Outstanding Interest-bearing Debt [Fund raising (Nonconsolidated) ] [Outstanding Interest-bearing debt (Consolidated) ] (billion yen) (billion yen) 900.0 3,400.0 approx. 3,300.0 800.0 3,200.0 700.0 3,079.1 Funding Plan 3,000.0 2,981.1 2,925.7 600.0 400.0 2,800.2 500.0 2,800.0 2,674.

  23. Slide 23: Consolidated Cash Flow

    Consolidated Cash Flow (billion yen) 800.0 Cash Flows from Operating Activities Cash Flows from Investing Activities FCF * Capital Investment 600.0 562.4 424.1 400.0 384.1 344.0 254.4 335.0 approx. 296.4 295.7 280.0 255.8 200.0 168.3 98.8 (25.1) 21.6 0.0 79.6 (71.9) approx. (240.3) (170.0) (44.2) (2

  24. Slide 24: Consolidated Financial Ratio and Credit Ratings

    Consolidated Financial Ratio and Credit Ratings (%) [Shareholders’ equity ratio] [Debt-Equity ratio] 40.0 (Times) approx. 38.0 36.4 2.5 35.7 35.0 34.4 32.7 31.9 2.0 31.1 31.3 1.7 29.7 1.6 1.6 30.0 28.9 1.5 1.5 1.4 1.4 1.3 approx. 1.2 1.2 1.1 25.0 1.0 20.0 0.5 （FY） （FY） 2015 2016 2017 2018 2019 2020

  25. Slide 25: Consolidated ROA and ROE

    Consolidated ROA and ROE (%) [ROA] *Figures excluding time lag (%) [ROE] *Figures excluding time lag 6.0 5.8 12.0 11.6 5.0 10.0 approx. 4.0 4.0 8.0 approx. 7.4 7.0 3.4 6.6 6.8 3.2 3.2 6.3 6.3 3.0 3.0 2.8 6.0 5.5 2.6 2.4 4.1 2.0 4.0 1.4 1.0 2.0 0.6 0.0 0.0 (1.0) (2.0) (2.0) (4.0) 2015 2016 2017 2018

  26. Slide 26: Consolidated ROIC and Total Shareholders Return (TSR)

    Consolidated ROIC and Total Shareholders Return (TSR) (%) [ROIC] *Figures excluding time lag [TSR] 6.0 Total Shareholders Return is a ratio that return earned 5.5 on equity investments (dividend and capital gain) (%) divided by investment amount (stock price). 5.0 210.0 approx. 180.0 196.2 4.0 4.0 3

  27. Slide 27: Realizing Management with an Awareness of Cost of Capital and Stock Price <1>

    From Chubu Electric Power Group Report 2024 Realizing Management with an Awareness of Cost of Capital and Stock Price (toward Improving PBR) <1> Chubu Electric Power is working on measures based on an analysis of current conditions to improve PBR and has positioned “deepening ROIC management” as a k

  28. Slide 28: Realizing Management with an Awareness of Cost of Capital and Stock Price <2>

    From Chubu Electric Power Group Report 2024 Realizing Management with an Awareness of Cost of Capital and Stock Price (toward Improving PBR) <2> Direction of Responses to Improve PBR and Initiatives Raise ROE: Strengthening of ROIC management ●We aim to achieve capital efficiency that exceeds cost o

  29. Slide 29: Sales Figures of Miraiz Group

    Sales Figures of Miraiz Group 2024/3Q Target The number of entries; Approx. 2.45 million - New electric tariff menu (As of January, 2025) Chubu region The number of sales; Approx. 81 thousand Acquire 100 thousand customers Services in a set with electric power or gas (As of January, 2025) early from

  30. Slide 30: Monthly Breakdown of Electrical Energy Sold of Miraiz

    Monthly Breakdown of Electrical Energy Sold of Miraiz (TWh) FY2024 Apr. May June July Aug. Sep. Oct. Nov. Dec. 1-3Q Low voltage 2.5 2.0 1.9 2.1 3.2 2.9 2.2 2.1 2.4 21.1 High voltage・ Extra-high 6.0 5.9 6.3 7.1 6.9 7.1 6.7 6.0 5.9 57.9 voltage Total 8.4 7.8 8.1 9.2 10.1 10.0 9.0 8.1 8.3 79.1 (TWh) FY

  31. Slide 31: Structure of Power Procured (definite results)

    Structure of Power Procured (definite results) Structure of Power Procured Usage status of non-fossil fuel certificate Other *2 Not Specified 10% 13% Nuclear Specified in renewable JEPX *1 energy 15% Coal Coal Renewable 12% 3% 9% 26% 19% Oil FIT*3*4 4% 8% Renewable*5 Not Used LNG LNG 3% 84% 44% 46%

  32. Slide 32: Overview of Renewable Energy Business

    Overview of Renewable Energy Business At present, the capacity of our entire group is approx. 1,040 MW, against the target of expanding renewable energy capacity* to 3.2 GW or more by around 2030. * In addition to the renewable energy facilities owned by our group, this includes the capacity of faci

  33. Slide 33: Expansion of Global Business <1>

    Expansion of Global Business <1> In the global business (overseas business), we will form an optimized portfolio by combining four segments (Green Field, Blue Field, Retail / Transmission and Distribution (T&D) / New Services and Frontier Field) to become a decarbonized energy company mainly in Euro

  34. Slide 34: Expansion of Global Business <2>

    Expansion of Global Business <2> In Europe, we use Eneco as platform for European strategy to expand growth areas (renewable, retail, new services). About acquisition of Eneco Investment 4.1 billion euros (approx. 500 billion yen) (Mar. 2020) (Investment ratio : Mitsubishi 80%, Chubu 20%) Business C

  35. Slide 35: Expansion of Global Business <3>

    Expansion of Global Business <3> For Consulting and Cooperation Project, please click here. 30 C opyri g h t © C hubu E l ec t ri c P ower C o. , Inc . A l l ri ght s res erv e d .

  36. Slide 36: Current status of the Hamaoka Nuclear Power Station

    Current status of the Hamaoka Nuclear Power Station Responding to the Inspection with New Regulatory Standards by the Nuclear Regulation Authority at the Hamaoka Nuclear Power Plant acting with the resolve never to repeat an accident similar to the Fukushima Daiichi Nuclear Power Station The standar

  37. Slide 37: DISCLAIMER

    DISCLAIMER This presentation contains assumptions and forward-looking statements with respect to the financial conditions, and forecasts of the company, which are based on information currently available. These assumptions involve certain risks and uncertainties, and may cause actual results materia

  38. Slide 38: C opyri g h t © C hubu E l ec t ri c

    C opyri g h t © C hubu E l ec t ri c P ower C o. , Inc . A l l ri ght s res erv e d .

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