Tokyo Electric Power Company Holdings, Incorporated · TSE:9501

Tokyo Electric Power — Q2 FY2012 Earnings Presentation

47 slides from Tokyo Electric Power's earnings presentation, Oct 31, 2012

  1. Slide 1: FY2012 2nd Quarter Earnings Results

    FY2012 2nd Quarter Earnings Results (April 1 – September 30, 2012) Presentation Material Mamoru Muramatsu Managing Executive Officer October 31, 2012 Tokyo Electric Power Company, Inc. All Rights Reserved ©2012

  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 FY2012 2nd Quarter Earnings Results

    Ⅰ．Overview of FY2012 2nd Quarter Earnings Results Tokyo Electric Power Company, Inc. All Rights Reserved ©2012

  4. Slide 4: Key points of FY2012 2nd Quarter Earnings Results and Full-year Outlook

    Key points of 1 FY2012 2nd Quarter Earnings Results and Full-year Performance Outlook Overview  Both consolidated and non-consolidated operating revenues increased due to year-on-year unit electricity sales prices rise resulting from fuel price adjustments and effects of rate revision, and increase

  5. Slide 5: FY2012 2nd Quarter Earnings Results Summary

    FY2012 2nd Quarter Earnings Results Summary (Consolidated and Non-consolidated) 2 (Upper and lower rows show consolidated and non-consolidated figures, respectively) (Unit: Billion Yen) FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B)(%) Electricity Sales Volume (billion kWh) 133.4

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

    FY2012 2nd Quarter Business Performance - 1 - Electricity Sales Volume, Total Power Generated and Purchased 3 (Units: Billion kWh, %) Electricity Electricity Sales Sales Volume Volume Full-year Outlook FY2012 for FY2012 1st 2nd 1st New Previous Quarter Quarter Half Projection Projection Regulated se

  7. Slide 7: Comparison with Previous Fiscal Year Results

    FY2012 2nd Quarter Business Performance - 2 - Comparison with Previous Fiscal Year Results 4 (Unit: Billion Yen) FY2012 1st Half Actual (A) FY2011 1st Half Actual (B) Comparison (A)-(B) Consolidated Non-consolidated Consolidated Non-consolidated Consolidated Non-consolidated Operating Revenues 2,875

  8. Slide 8: Financial Impact of March 11 Earthquake

    FY2012 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) FY2012 Cumulative Item FY2010 FY2011 1st Quarter 1st Half Amount ○G

  9. Slide 9: Full Year Outlook: Key Factors Affecting Performance

    FY2012 Business Performance Outlook [Full Year] - 1 - Key Factors Affecting Performance and Financial Impact 6 FY2012 Key Factors Affecting Performance 1st Half Actual Full Year Projection New Previous Performance (As of Oct. 31) (As of Aug. 1) Electricity Sales Volume (billion kWh) 133.4 272.7 272.

  10. Slide 10: Full Year Outlook: Comparison with Previous Outlook

    FY2012 Business Performance Outlook [Full Year] - 2 - Comparison with the Outlook of the Previous Fiscal Year 7 (Unit: Billion Yen) FY2012 New Projection FY2012 Previous Projection (A) (B) Comparison (A)-(B) (As of Oct. 31, 2012) (As of Aug. 1, 2012) Consolidated Non-consolidated Consolidated Non-co

  11. Slide 11: Full Year Outlook: Comparison with Previous Fiscal Year Results

    FY2012 Business Performance Outlook [Full Year] - 3 - Comparison with the Previous Fiscal Year Results 8 (Unit: Billion Yen) FY2012 Projection (A) FY2011 Actual (B) Comparison (A)-(B) (As of Oct. 31, 2012) Consolidated Non-consolidated Consolidated Non-consolidated Consolidated Non-consolidated Oper

  12. Slide 12: Fuel Consumption and Procurement

    【Reference】 9 Fuel Consumption and Procurement Fuel Fuel consumption consumption data data and and projection projection FY2009 FY2010 FY2011 FY2012 Full-year Outlook FY2012_1H [Reference] FY2011_1H Actual Actual Actual New Previous Actual Actual LNG (million tons) 18.51 19.46 22.88 23.95 23.27 11.4

  13. Slide 13: Implementation of the Streamlining Policy

    Implementation of the Streamlining Policy 10  Cost reduction: FY2012 targets for TEPCO and its subsidiaries & affiliated companies are 351.8 billion yen and 28.0 billion yen. The targets are going to be achieved this fiscal year.  Asset disposal: Actual results for real estates, securities and sub

  14. Slide 14: Framework for the Nuclear Reform

    Framework for the Nuclear Reform 11  For the purpose of promoting management and safety culture reforms, Nuclear Reform Monitoring Committee and Investigation/Verification Project Team were established as advisory bodies to the board of directors, along with Nuclear Reform Special Task Force to be

  15. Slide 15: FY2012 2nd Quarter Earnings Results (Detailed Information)

    Ⅱ. FY2012 2nd Quarter Earnings Results (Detailed Information) Tokyo Electric Power Company, Inc. All Rights Reserved ©2012

  16. Slide 16: Statements of Income (Consolidated)

    Statements of Income (Consolidated) 12 (Unit: Billion yen) FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Operating Revenues 2,875.9 2,502.7 373.1 114.9 Operating Expenses 2,980.4 2,563.3 417.1 116.3  Gains on sales of fixed asset Operating Income -104.5 -60.6 -43.9 － : 27.5

  17. Slide 17: Revenues Breakdown (Non-consolidated)

    Revenues Breakdown (Non-consolidated) 13 (Unit: Billion yen) FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Ordinary Revenues 2,799.6 2,430.1 369.4 115.2 Operating Revenues 2,772.3 2,389.1 383.2 116.0 Operating Revenues from Electric Power Business 2,721.3 2,342.8 378.5 116.2

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

    Expenses Breakdown (Non-consolidated) 14 (Unit: Billion yen) FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half (A)-(B) (A)/(B) (%) Ordinary Expenses 2,988.9 2,560.5 428.3 116.7 Operating Expenses 2,901.2 2,471.9 429.3 117.4 Operating Expenses for Electric Power Business 2,854.2 2,426.4 427.7 117.6

  19. Slide 19: Year-on-Year Comparison of Ordinary Expenses - 1

    Year-on-Year Comparison of Ordinary Expenses - 1 (Non-consolidated) 15 Personnel expenses (¥185.8 billion to ¥184.3 billion) -¥1.5 billion Salary and benefits (¥134.9 billion to ¥127.0 billion) -¥7.8 billion Retirement benefits (¥12.1 billion to ¥18.6 billion) +¥6.5 billion Decrease in amortization

  20. Slide 20: Year-on-Year Comparison of Ordinary Expenses - 2

    Year-on-Year Comparison of Ordinary Expenses - 2 (Non-consolidated) 16 Maintenance expenses (¥129.1 billion to ¥158.4 billion) +¥29.2 billion Generation facilities (¥46.4 billion to ¥53.1 billion) +¥6.7 billion Hydroelectric power (¥3.7 billion to ¥3.4 billion) -¥0.3 billion Thermal power (¥31.3 bil

  21. Slide 21: Year-on-Year Comparison of Ordinary Expenses - 3

    Year-on-Year Comparison of Ordinary Expenses - 3 (Non-consolidated) 17 Power purchasing costs (¥387.0 billion to ¥421.9 billion) +¥34.9 billion Power purchased from other utilities (¥101.2 billion to ¥76.3 billion) Factors for Increase/Decrease -¥24.8 billion Power purchased from other suppliers (¥2

  22. Slide 22: 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 2012 (A) 2012 (B) (A)-(B) (A)/(B) (%) (Consolidated) 15,503.6 15,536.4 -32.8 99.8 Total Assets (Non-consolidated)

  23. Slide 23: Consolidated Statements of Cash Flows

    Consolidated Statements of Cash Flows 19 (Unit: Billion yen) FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half (A)-(B) Cash flow from operating activities -24.7 -106.3 81.6 Income / loss before income taxes and minority interests -287.3 -613.9 326.6 Depreciation and amortization 313.8 339.0 -25.1 P

  24. Slide 24: Segment Information

    Segment Information 20 Major subsidiaries in "Others" segment (Unit: Billion yen) Operating Revenues Operating Income YOY YOY Increase Increa se Toden Kogyo Co., Ltd. 26.8 2.3 0.6 -0.1 (Unit: Billion yen) Fuel TEPCO Limited 33.2 15.2 0.6 0.3 FY2012 (A) FY2011 (B) Comparison 1st Half 1st Half Tokyo T

  25. Slide 25: Gas Supply Business

    【Reference】 21 Gas Supply Business Operating Operating Performance Performance (Billion yen) Revenues Operating Income 97.0 88.8 <FY2012/1H Actual Performance> 66.7 Operating revenues: Increased 4.2 billion yen to 43.3 billion yen due to a rise in LNG prices although sales volume was decreased. 2.0

  26. Slide 26: Schedules for Corporate Bond Redemption

    【Reference】 Schedules for Corporate Bond Redemption 22 (billion yen) Amount at Maturity (as of March 31, 2012) 800 747.9 Foreign currency-denominated 700 625.9 Domestic 585.5 600 134.2 500 446.4 438.1 451.8 400 366.8 25.0 300 282.5 210.0 200 160.0 100 30.0 35.0 25.0 20.0 0 2012 1 2013 2 2014 3 2015

  27. Slide 27: Seasonal Breakdown of Electricity Sales

    【Reference】 Seasonal Breakdown of Electricity Sales - Sales Volume, Total Power Generated and Purchased 23 (Units: Billion kWh, %) FY2011 FY2012 Electricity Electricity Sales Sales Volume Volume 1st Half 2nd Half Full Year Apr. May Jun. Jul. Aug. Sep. 1st Half 49.79 57.17 106.96 8.52 7.96 6.66 7.36

  28. Slide 28: Recent Demand Trend of Large-scale Industries

    【Reference】 24 Recent Demand Trend of Large-scale Industries  Electricity sales volume to large-scale industrial customers in the first half of FY2012 grew 1.2% year on year and was increased from the previous half in the former four halves due to a bounce-back from significant damages on industrie

  29. Slide 29: Electricity Supply and Demand this Summer

    【Reference】 25 Electricity Supply and Demand this Summer The highest demand this summer was 50,780MW recorded on Thursday, August 30, which was 1,560MW more than the previous year. This highest demand was 4,420MW less than our initial estimate due to power-saving effects. Meanwhile, electricity supp

  30. Slide 30: Historical Prices of CIF Crude Oil, Fuel Coal and LNG

    【Reference】 26 Historical Prices of CIF Crude Oil, Fuel Coal and LNG ($/b・t) ($/t) 160 1000 900 140 800 120 700 100 600 80 500 400 60 300 40 Crude Oil Fuel Coal 200 20 LNG (Right-hand Scale) 100 Note: The numbers above are calculated by TEPCO based on CIF stats and temporary exchange rates. 0 Apr- M

  31. Slide 31: Schedule of Energy and Environmental Policy Review

    【Reference】 Schedule of Energy and Environmental Policy Review 27  Measures to strengthen human resources and technology in nuclear power policy will be decided by the end of 2012. Status of study about nuclear fuel-cycle policies and other items will be reported to the Energy and Environment Counc

  32. Slide 32: Nuclear Regulation Authority

    【Reference】 28 Nuclear Regulation Authority  Nuclear Regulation Authority was established as a highly independent affiliated agency of Ministry of the Environment (MOE) on September 19, 2012.  In addition to affairs of Nuclear Safety Commission of Agency and Nuclear and Industrial Safety Agency, a

  33. Slide 33: The Current Status of Fukushima Daiichi Nuclear Power Stations and Future Initiatives

    【Reference】 The Current Status of Fukushima Daiichi Nuclear Power Stations and Future Initiatives Tokyo Electric Power Company, Inc. All Rights Reserved ©2012

  34. Slide 34: Current Situation and Status of Fukushima Daiichi Nuclear Power Station

    Current Situation and Status of Fukushima Daiichi Nuclear Power Station 29  At Units 1 through 3, we continue circulatory water-cooling operations for the reactors. The temperature of the bottom of each of Units 1 and 3 reactor pressure vessels (directly measured from outside) has been kept between

  35. Slide 35: Mid-to-long Term Roadmap towards Decommissioning (1)

    【Reference】 Mid-to-long Term Roadmap towards the Decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4 (1) 30  On December 21, 2011, TEPCO released "Mid-to-long Term Roadmap" for Fukushima Nuclear Power Station, following an accomplishment of STEP 2 shown on the "Roadmap towa

  36. Slide 36: Mid-to-long Term Roadmap towards Decommissioning (2)

    【Reference】 Mid-to-long Term Roadmap towards the Decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4 (2) 31 2. Mid-to-long Term Roadmap (1) Primary Targets ・This roadmap divides the term of decommissioning into the following three phases and will detail the main onsite work

  37. Slide 37: Mid-to-long Term Roadmap towards Decommissioning (3)

    【Reference】 Mid-to-long Term Roadmap towards the Decommissioning of Fukushima Daiichi Nuclear Power Station Units 1 through 4 (3) 32 3. Major Judgment Points on the Roadmap ・On this roadmap, we have set several judgment points up in order to consider necessity of additional R&D, or re-scheduling the

  38. Slide 38: Our Commitment to Nuclear Damage Compensation

    Our Commitment to Nuclear Damage Compensation 33  To facilitate prompt and fair compensation for nuclear damages, TEPCO continues to set and announce our own detailed compensation guidelines and procedures to individuals and business entities based on Government’s "Interim Guideline" released in Au

  39. Slide 39: Decontamination Works in the Surrounding Areas

    Decontamination Works in the Surrounding Areas 34  "Act on Special Measures for Coping with Radioactive Pollution" was approved last August and fully came into force on January 1, 2012. Government budgets several hundreds of billion yen every year for funding decontamination works.  Based on the e

  40. Slide 40: Financial Assistance of Nuclear Damage Compensation Facilitation Corporation

    Financial Assistance of Nuclear Damage Compensation Facilitation Corporation 35  After a "bill concerning Nuclear Damage Compensation Facilitation Corporation" passed the Diet, the Corporation was officially established last September.  To get a financial assistance of the Corporation, the nuclear

  41. Slide 41: Law concerning Formation of a Nuclear Damage Compensation Facilitation Corporation

    Law concerning Formation of a Nuclear Damage Compensation Facilitation Corporation 36  The bill was approved by the Diet in August 2011. Key Points of the Law [Clarification of Government's Responsibility; Article 2]  Government is required to take every possible step to help the new organization

  42. Slide 42: 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 Tokyo Electric Power Company, Inc. All Rights Reserved ©2012

  43. Slide 43: Earthquake-Resistance and Safety

    Efforts after the Niigataken Chuetsu-oki Earthquake in 2007 Overview of Status of Initiatives 37 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 (Jul. 18, 2008) (Sep. 18

  44. Slide 44: Basic Equipment Inspections

    Efforts after the Niigataken Chuetsu-oki Earthquake in 2007 38 Status of Progress at Each Unit in Facility Soundness Evaluation ◆ Status of Progress in Basic Inspections (Equipment-Level Inspection and Evaluation) - Confirm the impact of an earthquake through testing, inspection and other means acco

  45. Slide 45: Earthquake-Resistance and Safety Improvement Initiatives: Reinforcement Work

    Efforts after the Niigataken Chuetsu-oki Earthquake in 2007 【Earthquake-Resistance and Safety Improvement Initiatives】Reinforcement Work 39 ◆ TEPCO is conducting works as needed to reinforce earthquake-resistant capabilities of key facilities. ◆ All works that we planned after the earthquake of 2007

  46. Slide 46: Main Measures to Secure Safety-1 Outline

    Efforts after the Great East Japan Earthquake Main Measures to Secure Safety-1 【Outline】 40  We promote the following measures to secure further safety after the Great East Japan Earthquake. I. Installation of seawalls (banks) III. Enhanced heat removal and cooling function III. Enhanced heat remov

  47. Slide 47: Main Measures to Secure Safety-2 Implementation Status

    Efforts after the Great East Japan Earthquake Main Measures to Secure Safety-2 【Implementation Status】 41 As of October 24, 2012 Item Schedule Unit1 Unit2 Unit3 Unit4 Unit5 Unit6 Unit7 Completed I. Installation of seawalls (banks) To be completed in 1Q of FY2013 Under construction （In constructing s

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