Tokyo Electric Power Company Holdings, Incorporated · TSE:9501

Tokyo Electric Power — The Tokyo Electric Power Company — FY2011 Q2 Earnings Presentation

46 slides from Tokyo Electric Power's earnings presentation, Nov 4, 2011

  1. Slide 1: FY2011 2nd Quarter Earnings Results

    FY2011 2nd Quarter Earnings Results (April 1 – September 30, 2011) Presentation Material Toshio Nishizawa President November 4, 2011 The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  2. Slide 2: Regarding Forward-Looking Statements

    Regarding Forward-Looking Statements Certain statements in the following presentation regarding The 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 inhere

  3. Slide 3: Overview of FY2011 2nd Quarter Earnings Results

    Ⅰ．Overview of FY2011 2nd Quarter Earnings Results The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  4. Slide 4: Key points of FY2011 2nd Quarter Earnings Results and Full-year Performance Outlook

    Key points of 1 FY2011 2nd Quarter Earnings Results and Full-year Performance Outlook Overview  Both consolidated and non-consolidated operating revenues decreased. While unit sales prices rose year on year due to fuel price adjustments, electricity sales volume significantly dropped throughout the

  5. Slide 5: FY2011 2nd Quarter Earnings Results Summary (Consolidated and Non-consolidated)

    FY2011 2nd Quarter Earnings Results Summary (Consolidated and Non-consolidated) 2 (Upper and lower rows show consolidated and non-consolidated figures, respectively) (Unit: Billion Yen) FY2011 (A) FY2010 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B)(%) Electricity Sales Volume (billion kWh) 130.2

  6. Slide 6: Electricity Sales Volume, Total Power Generated and Purchased

    FY2011 2nd Quarter Business Performance - 1 - Electricity Sales Volume, Total Power Generated and Purchased 3 Electricity Electricity Sales Sales Volume Volume (Units: Billion kWh, %) FY2011 FY2011 1st Quarter 2nd Quarter 1st Half Projection 22.9 26.9 49.8 106.8 [1st Half of FY 2011 Results] Regulat

  7. Slide 7: Comparison with Previous Fiscal Year Results

    FY2011 2nd Quarter Business Performance – 2 - Comparison with Previous Fiscal Year Results 4 (Unit: Billion Yen) FY2011 1st Half Actual (A) FY2010 1st Half Actual (B) Comparison (A)-(B) Consolidated Non-consolidated Consolidated Non-consolidated Consolidated Non-consolidated Operating Revenues 2,502

  8. Slide 8: Financial Impact of March 11 Earthquake

    FY2011 2nd Quarter Business Performance – 3 - Financial Impact of March 11 Earthquake [Extraordinary Income/Loss] 5 ◇Grants–in-aid from Nuclear Damage Compensation Facilitation Corporation [Extraordinary Income] (Unit: billion yen) FY2011 Cumulative Item FY2010 Amount 1st Quarter 1st Half ○Grants-in

  9. Slide 9: Business Performance Outlook: Key Factors Affecting Performance

    FY2011 Business Performance Outlook [Full Year] - 1 - Key Factors Affecting Performance and Financial Impact 6 FY2011 1st Half Full Year Projection Key Factors Affecting Performance Actual Projection New Previous Performance (As of Aug. 9) (As of Nov. 4) (As of Aug. 9) Electricity Sales Volume (bill

  10. Slide 10: Business Performance Outlook: Comparison with Previous Fiscal Year

    FY2011 Business Performance Outlook [Full Year] - 2 - Comparison with the Results of the Previous Fiscal Year 7 (Unit: Billion Yen) FY2011 Projection (As of November 4, 2011) (A) FY2010 Actual (B) Comparison (A)-(B) Consolidated Non-consolidated Consolidated Non-consolidated Consolidated Non-consoli

  11. Slide 11: Fuel Consumption and Procurement

    【Reference】 Fuel Consumption and Procurement 8 Fuel Fuel Consumption Consumption Results Results 【Reference】 FY2007 FY2008 FY2009 FY2010 FY2011 FY2011 FY2010 Actual Actual Actual Actual Full-year Outlook 1st Half Actual 1st Half LNG (million tons) 19.87 18.97 18.51 19.46 22.60 11.34 9.70 Oil (millio

  12. Slide 12: Progress status of Fukushima Daiichi: Key Points of Progress

    Progress status of Fukushima Daiichi Nuclear Power Station -1 9 - Key Points of Progress Status in the "Roadmap towards Restoration from the Accidents"  On October 17, progress status of "Roadmap towards Restoration from the Accident at Fukushima Daiichi Nuclear Power Station" was updated. We now a

  13. Slide 13: Roadmap towards Restoration from the Accidents

    Progress status of Fukushima Daiichi Nuclear Power Station -2 - "Roadmap towards Restoration from the Accidents at Fukushima Daiichi Nuclear Power Station" 10-1 The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  14. Slide 14: Roadmap towards Restoration (Cont'd)

    Progress status of Fukushima Daiichi Nuclear Power Station -2 - "Roadmap towards Restoration from the Accidents at Fukushima Daiichi Nuclear Power Station" (Cont’d) 10-2 The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  15. Slide 15: Current Situation and Status of Fukushima Daiichi

    Progress status of Fukushima Daiichi Nuclear Power Station -3 - Current Situation and Status of Fukushima Daiichi Nuclear Power Station (as of Nov. 2) 11  At Units 1 through 3, we continue circulatory water-cooling operations for the reactors to utilize contaminated water discharged into the Centra

  16. Slide 16: FY2011 2nd Quarter Earnings Results (Detailed Information)

    Ⅱ. FY2011 2nd Quarter Earnings Results (Detailed Information) The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  17. Slide 17: Statements of Income (Consolidated)

    Statements of Income (Consolidated) 12 (Unit: Billion yen) FY2011 (A) FY2010 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Operating Revenues 2,502.7 2,710.7 -207.9 92.3 Operating Expenses 2,563.3 2,474.9 88.4 103.6 Operating Income -60.6 235.8 -296.4 － Non-operating Revenues 47.3 44.1 3.1 10

  18. Slide 18: Revenues Breakdown (Non-consolidated)

    Revenues Breakdown (Non-consolidated) 13 (Unit: Billion yen) FY2011 (A) FY2010 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Ordinary Revenues 2,430.1 2,644.2 -214.1 91.9 Operating Revenues 2,389.1 2,606.4 -217.3 91.7 Operating Revenues from Electric Power Business 2,342.8 2,569.1 -226.3 91.2

  19. Slide 19: Expenses Breakdown (Non-consolidated)

    Expenses Breakdown (Non-consolidated) 14 (Unit: Billion yen) FY2011 (A) FY2010 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Ordinary Expenses 2,560.5 2,464.8 95.7 103.9 Operating Expenses 2,471.9 2,389.7 82.1 103.4 Operating Expenses for ElectricPower Business 2,426.4 2,353.9 72.4 103.1 Pers

  20. Slide 20: Year-on-Year Comparison of Ordinary Expenses – 1

    Year-on-Year Comparison of Ordinary Expenses – 1 (Non-consolidated) 15 Personnel Expenses (¥224.0 billion to ¥185.8 billion) -¥38.2 billion Salary and benefits (¥156.6 billion to ¥134.9 billion) -¥21.7 billion Retirement benefits (¥22.6 billion to ¥12.1 billion) -¥10.5 billion Decrease in amortizati

  21. Slide 21: Year-on-Year Comparison of Ordinary Expenses – 2

    Year-on-Year Comparison of Ordinary Expenses – 2 (Non-consolidated) 16 Maintenance Expenses (¥190.0 billion to ¥129.1 billion) -¥60.8 billion Generation facilities (¥82.1 billion to ¥46.4 billion) -¥35.7 billion Hydroelectric power (¥5.0 billion to ¥3.7 billion) -¥1.2 billion Thermal power (¥36.0 bi

  22. Slide 22: Year-on-Year Comparison of Ordinary Expenses – 3

    Year-on-Year Comparison of Ordinary Expenses – 3 (Non-consolidated) 17 Power Purchasing Cost (¥351.5 billion to ¥387.0 billion) +¥35.5 billion Factors for Increase/Decrease Power purchased from other utilities (¥91.0 billion to ¥101.2 billion) Power purchased from other utilities: Increase due to em

  23. Slide 23: Balance Sheets (Consolidated and Non-consolidated)

    Balance Sheets (Consolidated and Non-consolidated) 18 (Upper and lower rows show consolidated and non-consolidated figures, respectively) (Unit: Billion yen) Sep. 30, Mar. 31, Comparison 2011 (A) 2011 (B) (A)-(B) (A)/(B) (%) (Consolidated) 14,686.0 14,790.3 -104.3 99.3 Total Assets (Non-consolidated

  24. Slide 24: Consolidated Statements of Cash Flows

    Consolidated Statements of Cash Flows 19 (Unit: Billion yen) FY2011 (A) FY2010 (B) Comparison 1st Half 1st Half (A)-(B) Cash flow from operating activities -106.3 479.4 -585.8 Income / loss before income taxes and minority interests -613.9 142.4 -756.4 Depreciation and amortization 339.0 359.7 -20.6

  25. Slide 25: Segment Information

    Segment Information 20 (Unit: Billion yen) Major subsidiaries in "Others" segment (Unit: Billion yen) FY2011 (A) FY2010 (B) Comparison Operating Revenues Operating Income YOY YOY 1st Half 1st Half (A)-(B) (A)/(B) (%) Increase Increase Operating Revenues 2,502.7 2,710.7 -207.9 92.3 TEPCO SYSTEMS CORP

  26. Slide 26: Gas Supply Business

    【Reference】 Gas Supply Business 21 Operating Operating Performance Performance (Billion yen) Revenues Operating Income 66.7 58.0 <FY2011/1H Actual Performance> Operating revenues: Increased 8.5 billion yen to 39.1 billion yen Undisclosed Undisclosed because of an increase in sales volume and a rise

  27. Slide 27: Schedules for Corporate Bond Redemption

    【Reference】 Schedules for Corporate Bond Redemption 22 Amount at Maturity (as of Mar.31, 2011) (billion yen) 800 747.9 Foreign currency-denominated 700 Domestic 625.9 585.5 600 548.9* 29.0 134.2 500 446.4 438.1 451.8 400 366.8 25.0 300 282.5 210.0 200 160.0 100 30.0 35.0 20.0 25.0 0 2011 2012 2013 2

  28. Slide 28: Seasonal Breakdown of Electricity Sales

    【Reference】 Seasonal Breakdown of Electricity Sales - Sales Volume, Total Power Generated and Purchased 23 (Units: Billion kWh, %) FY2010 FY2011 Electricity Electricity Sales Sales Volume Volume 1st Half 2nd Half Full Year Apr. May Jun. Jul. Aug. Sep. 1st Half 57.01 58.59 115.60 8.90 7.50 6.46 8.68

  29. Slide 29: Recent Demand Trend of Large-scale Industries

    【Reference】 24 Recent Demand Trend of Large-scale Industries  Electricity sales volume to large-scale industrial customers during 1st half shrank 9.8% year on year due to a significant drop in industrial production level caused by the Great East Japan Earthquake, power usage restriction by Governme

  30. Slide 30: Power Demand in This Summer

    【Reference】 Power Demand in This Summer 25  The highest daily maximum power demand in this summer was 49.22GW, recorded on Thursday, August 18 (Highest temperature in Tokyo area on the day: 36.1 degrees centigrade,) and 10.77GW smaller than that in the previous summer. ☆ Daily Maximum Power Demand

  31. Slide 31: Historical Prices of CIF Crude Oil, Fuel Coal and LNG

    【Reference】 Historical Prices of CIF Crude Oil, Fuel Coal and LNG 26 ($/b・t) ($/t) 160 900 Crude Oil 140 Fuel Coal 800 LNG (Right-hand Scale) 700 120 600 100 500 80 400 60 300 40 200 20 100 Note: The numbers above are calculated by TEPCO based on CIF stats and temporary exchange rates. 0 0 Apr- May

  32. Slide 32: Overview of Ongoing Discussions on Future Energy Policy

    【Reference】 Overview of Ongoing Discussions on Future Energy policy (as of Nov. 1) 27 Atomic Energy Commission Basic Issues Committee Energy and Environment Council Advisory Committee for Natural Resources and Energy Cabinet Office National Policy Unit Propositions on possible reform of electric pow

  33. Slide 33: The Current Status of Fukushima Daiichi & Daini Nuclear Power Stations and Compensation-related Issues

    【Reference】 The Current Status of Fukushima Daiichi & Daini Nuclear Power Stations and Compensation-related Issues The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  34. Slide 34: Overview of Incidents at Fukushima Daiichi Nuclear Power Station

    Overview of Incidents at Fukushima Daiichi Nuclear Power Station (as of Nov. 2) 28  All the operating units were automatically “shutdown” with all control rods inserted immediately after the earthquake occurred. Nuclear reaction was successfully stopped.  Almost all of the “Cooling” functions at r

  35. Slide 35: Illustration of Circulatory Water-cooling Operations

    【Reference】 Illustration of Circulatory Water-cooling Operations 29 Accumulated water is injected into the reactor after being transferred and stored in the Centralized Radiation Waste Treatment Facility. Circulatory water-cooling operations started on Jun. 27. As of Nov.2, the cumulative amount o

  36. Slide 36: Additional Water Injection Line for More Effective Cooling

    【Reference】 Additional Water Injection Line for More Effective Cooling 30  In addition to the feed water line, water injection via the Core Spray (CS) has begun at Units 2 and 3. It needs less water to cool and enables reactor to be more stable situation.  RPV bottom temperatures in Units 1 and 3

  37. Slide 37: Our Commitment to Nuclear Damage Compensation

    【Reference】 Our Commitment to Nuclear Damage Compensation 31  To facilitate prompt and fair compensation for nuclear damages, TEPCO set and announced detailed compensation guidelines and procedures to individuals on the latest governmental "Interim Guideline" released on August 5, which comprehensi

  38. Slide 38: Financial Assistance of Nuclear Damage Compensation Facilitation Corporation

    【Reference】 Financial Assistance of Nuclear Damage Compensation Facilitation Corporation 32  After a "bill concerning Nuclear Damage Compensation Facilitation Corporation" passed the Diet on August 3, the Corporation was officially established on September 12. (Chair: Mr. Takehiko Sugiyama, the for

  39. Slide 39: Law concerning Formation of a Nuclear Damage Compensation Facilitation Corporation

    【Reference】 Law concerning Formation of a Nuclear Damage Compensation Facilitation Corporation 33  The bill was approved by the House of Representatives and the House of Councillors on July 28 and August 3, respectively. Key Points of the Law [Clarification of Government’s Responsibility; Article 2

  40. Slide 40: Establishment of Fukushima Nuclear Accidents Investigation Committee

    【Reference】 Establishment of "Fukushima Nuclear Accidents Investigation Committee" 34  As a party directly concerned in the nuclear accidents, TEPCO established our own “Fukushima Nuclear Accidents Investigation Committee” on June 11 to scrutinize a series of accidents and then appropriately reflec

  41. Slide 41: The Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives

    【Reference】 The Current Status of Kashiwazaki-Kariwa Nuclear Power Station and Future Initiatives (As of November 3, 2011 unless otherwise noted) The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  42. Slide 42: Earthquake-Resistance and Safety

    Overview of Status of Initiatives 35 Item Unit 1 Unit 2 Unit 3 Unit 4 Unit 5 Unit 6 Unit 7 Submission of inspection and Submitted Submitted Submitted Submitted Submitted Submitted Submitted evaluation plan Buildings （Initial submission date） (Jul. 18, 2008) (Sep. 18, 2008) (Jul. 18, 2008) (Sep. 18,

  43. Slide 43: Basic Equipment Inspections

    Status of Progress at Each Unit in Facility Soundness Evaluation 36 ◆ Status of Progress in Basic Inspections (Equipment-Level Inspection and Evaluation) －Confirm the impact of an earthquake through testing, inspection and other means according to the particular features of each facility. As of Oct.

  44. Slide 44: Reinforcement Work

    【Earthquake-Resistance and Safety Improvement Initiatives】 Reinforcement Work 37 ◆ TEPCO is conducting works as needed to reinforce earthquake-resistant capabilities of key facilities. ◆ Current schedule of works planned and in progress Note: Excludes preparatory work Year 2010 Year 2011 Apr. May Ju

  45. Slide 45: Outline of Measures to Secure Safety at Kashiwazaki-Kariwa NPS

    【Reference】 Outline of Measures to Secure Safety at Kashiwazaki-Kariwa NPS 38 The Tokyo Electric Power Company, Inc. All Rights Reserved ©2011

  46. Slide 46: Financial Impact of NPS Shutdown

    【Reference】 Financial Impact of NPS Shutdown 39 Substitute Substitute Power Power Generation Generation Cost Cost Aggregate Thermal Power Generation Cost (Actual, FY2011 1st Half) 10.5 yen / kWh － Nuclear Fuel Costs and Nuclear Back-end Costs 1.0 yen / kWh Substitute Power Generation Cost 9.5 yen /

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