Statements made in this overview of operations regarding Kyushu Electric Power’s strategies
and forecasts and other statements that are not historical facts are forward-looking statements
based on management’s assumptions and beliefs in lights of information currently available,
and should not be interpreted as promises or guarantees.
Owing to various uncertainties, actual results may differ materially from these statements.
Investors are hereby cautioned against making investment decisions solely on the basis of
forward-looking statements contained herein.
Financial Results for 4/2004ー3/2005andFinancial Forecasts for 4/2005ー3/2006
May 13, 2005
Contents
- Financial Highlights
- Demand and Supply Condition
- Summary of Non-consolidated Results
- Summary of Consolidated Results
- Summary of Consolidated Statements of Cash Flows
- Financial Highlights of Results Projection for FY2005
- Sensitivity Factors for FY 2005 Projection
- Appendix12
3 and 45678
Financial Highlights1Non-Consoidated (Billions of yen, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Sales 1,333.1 1,318.3 14.8 101.1
Operating income 201.5 190.6 10.9 105.7
Ordinary income 152.9 107.9 44.9 141.7
Net income 89.3 70.1 19.2 127.5
Change
Consolidated (Billions of yen, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Sales 1,408.7 1,391.6 17.0 101.2
Operating income 213.7 198.9 14.7 107.4
Ordinary income 159.9 114.4 45.4 139.7
Net income 89.2 72.7 16.4 122.7
( Notes ) ・ Consolidation: 21 companies [change over FY2003: +2 (addition: 2)]
・ Application of the equity method: 24 companies [change over FY2003: ±0 (addition: 2, exclusion: 2)]
Change
Demand and Supply Condition21. Demand (Electricity Sales Volume) (Billion kWh, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Residential 27.5 26.3 1.2 104.4
Commercial and industrial 25.5 25.1 0.4 101.6
(Non specific-size demand) 53.0 51.4 1.6 103.0
Specific-size demand 27.2 25.9 1.3 105.3
Total electricity sales volume 80.2 77.3 2.9 103.8
Ordinary demand 59.0 56.7 2.3 104.1
Large industrial demand 21.2 20.6 0.6 103.1
Total
Reposted
(Note) Results of ゙Non specific-size demand" and "Specific-size demand" in FY2003 are adjusted according to the
scope of deregulation expanded from April 2004.
Change
2. Supply (Generated and Received Electricity Volume) (Billion kWh, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Hydro 4.8 4.7 0.1 101.5
(Water release factor) (113.2) (106.9) (6.3)
Thermal 29.7 28.9 0.8 102.9
Nuclear 39.7 41.0 -1.3 96.7
(Utilization factor) (86.2) (88.9) (-2.7)
Total 74.2 74.6 -0.4 99.4
Received from other companies 14.3 12.2 2.1 117.7
Power interchange -0.1 -1.5 1.4 6.6
Pumping energy -0.4 -0.4 - 96.6
Total 88.0 84.9 3.1 103.7
Company-
generated
Change
Summary of Non-consolidated Results (1)31. Comparative Table of Revenues and Expenses (Billions of yen, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Residential 566.7 550.7 15.9 102.9 Increase in sales (+2.9 BkWh): 47.3,
Commercial and industrial 736.3 724.9 11.3 101.6 lower electricity rates: -20.0
Sales to other companies 4.5 20.8 -16.3 21.6 Sales to other electric power companies: -15.3
Other 30.8 24.8 6.0 124.3 Incidental businesses: 3.0, gain on sales of securities: 1.7
[Sales] [1,333.1] [1,318.3] [14.8] [101.1]
1,338.4 1,321.4 17.0 101.3
Personnel expenses 185.9 201.5 -15.6 92.2 Employee retirement benefit: -16.9
Fuel costs 143.2 126.5 16.7 113.2
Rise in fuel CIF price: 16.0, increase in sales: 13.0, increase in purchases
electricity from other power companies: -8.0, decrease in sales electricity to
other power companies: -6.0
Maintenance costs 158.7 153.2 5.4 103.6 Restoration costs of typhoon damages: 5.4
Depreciation 210.3 232.1 -21.7 90.6 Thermal power: -9.5, nuclear power: -5.1, transmisssion: -2.5
Purchased power 105.5 95.9 9.6 110.0 Purchases from other companies: 9.6
Interest charges 46.5 73.5 -27.0 63.2
Decrease in interest bearing debts: -4.1, lower interest rates: -4.0,
conducting debt assumption: -22.4, loan prepayment premium: 3.5
Other 335.2 330.5 4.6 101.4 Commision costs: 6.4
1,185.5 1,213.4 -27.9 97.7
[201.5] [190.6] [10.9] [105.7]
152.9 107.9 44.9 141.7
2.6 2.0 0.6 132.0
6.6 - 6.6 -
Loss due to asset impairment : 6.6
(Idle transmission lines, lands, etc.)
89.3 70.1 19.2 127.5
Provision for reserve for fluctuations in
water level
Extraordinary loss
Net Income
Ordinary
expenses
Total
[Operating Income]
Ordinary income
Change Main factors in changes
Ordinary
revenues
Total
2. Main Reference Data (\/,ドル$/b, %)
Change
(A)-(B)
Exchange rate -5.6
Crude oil CIF price 9.4
Water release factor 6.3
Nuclear power plant utilization factor -2.7
FY2003(B)107.5
FY2004(A)113.238.8113.286.229.4
106.988.9Summary of Non-consolidated Results (2)43. Comparative Table of Balance Sheets (Billions of yen)
As of
March 31,2005As of
March 31,2004Change
(A) (B) (A)-(B)
Assets 3,806.5 3,859.0 ▲さんかく52.4
Depreciation: -216.5
(Electricity: -210.3, incidental businesses: -6.2)
Amortization of nuclear fuel: -24.0
Application of asset-impairment accounting: 6.6
Capital expenditures: 200.1
Liabilities 2,877.2 2,997.1 ▲さんかく119.9
Interest-bearing debt: -184.1
(3/04: 2,183.3 to 3/05: 1,999.1)
[Interest-bearing debt ratio]
3/04: 56.6% to 3/05: 52.5%
Shareholders'
Equity
929.3 861.9 67.4
Net income: 89.3, Dividends: -23.6
[Shareholders' equity ratio]
3/04: 22.3% to 3/05: 24.4%
Main factors in changes
Summary of Consolidated Results5Revenues and Expenses Condition (Billions of yen, %)
FY2004 FY2003
(A) (B) (A)-(B) (A)/(B)
Revenues from electricity business 1,320.5 1,308.8 11.7 100.9
Revenues from other businesses 88.1 82.8 5.3 106.4
1,408.7 1,391.6 17.0 101.2 1.06
7.4 6.8 0.5 107.8
1,416.1 1,398.5 17.5 101.3
Expenses from electricity businesses 1,107.7 1,108.1 -0.3 100.0
Expenses from other businesses 87.2 84.6 2.6 103.1
1,194.9 1,192.7 2.2 100.2
61.1 91.3 -30.1 67.0
1,256.1 1,284.0 -27.9 97.8
[213.7] [198.9] [14.7] [107.4] [1.06]
159.9 114.4 45.4 139.7 1.05
2.6 2.0 0.6 132.0
10.5 - 10.5 -
89.2 72.7 16.4 122.7 1.00
Change Consolidated/
Non-onsolidated
Ordinary
revenues Operating Revenues (Sales)
Non-operating revenues
Total
Ordinary
expenses Operating expenses
Non-operating expenses
Total
Extraordinary loss
Net income
[Operating income]
Ordinary income
Provision for reserve for fluctuations in water level
Summary of Consolidated Statements of Cash Flows6Comparative Table of Statement of Cash Flows (Billions of yen)
FY2004 FY2003
(A) (B) (A)-(B)
419.2 386.8 32.4
Ordinary income and noncash items: 17.4
(Increase in ordinary income: 45.4)
(Decrease in depreciation expense: -20.5)
Other: 15.0
(Increase in accrued expenses: 14.0)
-193.5 -199.8 6.2 (Capital expenditures including nuclear
fuel)[Reposted]
[-206.3] [-211.8] [5.5]
-221.0 -198.1 -22.8
Decrease in interest-bearing debts: -22.7
(3/04: -174.3 to 3/05: -197.1)
4.6 -11.1 15.8
212.9 175.0 37.9
( Note) Free cash flows = Cash flows from operating activities - Capital expenditures including nuclear fuel
Total
Free cash flows
Main factors in changes
Cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities
Change
Financial Highlights of Results Projection
for FY20057Non-Consolidated (Billions of yen, %)
(A)-(B) (A)/(B)
Sales 1,270.0 (approx.) 1,333.1 -63.1 95.3
Operating income 142.0 (approx.) 201.5 -59.5 70.4
Ordinary income 100.0 (approx.) 152.9 -52.9 65.4
Net income 64.0 (approx.) 89.3 -25.3 71.6
FY2005 FY2004 Change
(A) (B)
Consolidated (Billions of yen, %)
(A)-(B) (A)/(B)
Sales 1,340.0 (approx.) 1408.7 -68.7 95.1
Operating income 150.0 (approx.) 213.7 -63.7 70.2
Ordinary income 106.0 (approx.) 159.9 -53.9 66.3
Net income 67.0 (approx.) 89.2 -22.2 75.0
FY2005 Change
(A) (B)
FY2004
Sensitivity Factors for FY 2005 Projection
(Non-Consolidated)8(Billions of yen)
Exchange rate
( \/$)
1.1 (approx.) 1.2 (approx.)
Crude oil CIF price
($/b)
2.0 (approx.) 2.5 (approx.)
Coal CIF price
($/t)
0.6 (approx.) 0.6 (approx.)
Water release factor(1%)0.2 (approx.) 0.2 (approx.)
Nuclear power plant
utilization factor(1%)1.5 (approx.) 1.5 (approx.)
Interest rate(1%)3.4 (approx.) 3.6 (approx.)
FY2005 FY2004
Appendix
Comparison with the Previous Projection for FY2004
- Financial Highlights 1
Comparison with the Previous Projection for FY2004
(Financial Highlights)1Non-Consolidated (Billions of yen, %)
(A)-(B) (A)/(B)
Sales 1,333.1 1,320.0 (approx.) 13.1 101.0
Operating income 201.5 176.0 (approx.) 25.5 114.5
Ordinary income 152.9 130.0 (approx.) 22.9 117.6
Net income 89.3 80.0 (approx.) 9.3 111.6
Change
Forecast as of
November 2004(B)FY2004(A)Consolidated (Billions of yen, %)
(A)-(B) (A)/(B)
Sales 1,408.7 1,395.0 (approx.) 13.7 101.0
Operating income 213.7 184.0 (approx.) 29.7 116.1
Ordinary income 159.9 133.0 (approx.) 26.9 120.2
Net income 89.2 77.0 (approx.) 12.2 115.8
Change
Forecast as of
November 2004(B)FY2004(A)For more information, please contact:
Investor Relations Group
Corporate Planning Office
KYUSHU ELECTRIC POWER CO., INC.
Telephone: +81 92 726 1575
Facsimile: +81 92 733 1435
URL: http://www.kyuden.co.jp/en_ir_index