The Fiscal Year Ended March 31, 2015 Financial Results Overview 〔Japan GAAP〕(Consolidated)
Kyushu Electric Power Co., Inc.
Stock code: 9508 URL: http://www.kyuden.co.jp/en_index Stock listed on: Tokyo SE, Fukuoka SE
Representative: Mr. Michiaki Uriu, President
Contact: Investor Relations Group, Corporate Planning Division. Tel: +81-92-726-1575
Shareholders' Meeting: June 25, 2015
Commencement of payment of year-end dividend: −
Projected date for submitting annual security report: June 26, 2014
Preparation of supplementary materials for financial results: Yes
Information meeting for financial results: Yes (for analysts and institutional investors)
1. Consolidated Financial Results for FY2014 (April 1, 2014 to March 31, 2015)
(1) Consolidated Operational Results
(Unit: million yen) (%) (Unit: million yen) (%) (Unit: million yen) (%)
FY2014 ended March 31, 2015 1,873,467 4.6 -43,314 ― -73,693 ―
FY2013 ended March 31, 2014 1,791,152 15.9 -95,821 ― -131,449 ―
(Note) Comprehensive income : FY2014 -143,186 million yen (−%) FY2013 -110,023 million yen (−%)
(Reference) Investment Profit/Loss under Equity Methods : FY2014 3,400 million yen FY2013 3,152 million yen
(2) Consolidated Financial Position
(Reference) Shareholders' equity: FY2014 431,528 million yen FY2013 475,533 million yen
(3) Consolidated Cash Flow
2. Dividends
(Note) Year-end dividend for FY2015 ending March 31, 2016 has yet to be decided.
We will promptly inform you of a dividend when it is possible for us to make our forecasts.
Dividends mentioned the above is regarding common shares. Regarding preferred shares which differ in shareholders’ rights from
common shares, see "Dividends for preferred shares".
3. Forecast for FY2015 ending March 2016 (April 1, 2015 to March 31, 2016)
(Note) Fiscal 2015 full-year performance outlook for operating income, ordinary income and net income attributable to
We will promptly inform you of our forecasts when it is possible for us to make them.
rationally under uncertain prospects of the resumption of operations of reactors of our nuclear power stations.
Kyushu Electric is currently not able to be estimated due to the difficult situations that we can not calculate fuel costs
(% show s the changes from the same financial periods of the previous year)
Sales Operating income Ordinary income
(% show s the changes from the previous FY)
(Rounded dow n to the nearest million yen)
Cash flow from
operating activities
Cash flow from
investment activities
Cash flow from
financing activities
Cash and cash
equivalents balance
as of term-end
(Unit: million yen) (Unit: million yen) (Unit: million yen) (Unit: million yen)
FY2014 ended March 31, 2015 88,736 -264,413 310,807 516,480
FY2013 ended March 31, 2014 -5,922 -184,963 196,397 384,769
(Record date) 1Q Interim 3Q Year-end Total
(Unit: yen) (Unit: yen) (Unit: yen) (Unit: yen) (Unit: yen) (Unit: million yen) (%) (%)
FY2013 ended March 31, 2014 ― 0.00 ― 0.00 0.00 ― ― ―
FY2014 ended March 31, 2015 ― 0.00 ― 0.00 0.00 ― ― ―
FY2015 ending March 31, 2016
(forecast)
― 0.00 ― ― ― ―
Annual dividends per share Total dividends
(annual)
Payout ratio
(consolidated)
Dividend rate for net
assets (consolidated)
Total assets Net assets
Shareholders'
equity ratio
Net assets
per share
(Unit: million yen) (Unit: million yen) (%) (Unit: yen)
FY2014 ended March 31, 2015 4,784,735 450,990 9.0 692.52
FY2013 ended March 31, 2014 4,549,852 494,232 10.5 1,005.42
Net earnings
per share
Fully-diluted
net earnings
per share
Net returnonshareholders'
equity
Ratio of
current
income to
total capital
Ratio of
current
income to
sales
(Unit: million y en) (%) (Unit: yen) (Unit: yen) (%) (%) (%)
FY2014 ended March 31, 2015 -114,695 ― -242.38 ― -25.3 -1.6 -2.3
FY2013 ended March 31, 2014 -96,096 ― -203.19 ― -18.9 -2.9 -5.3
Net income
Net earnings per share
(Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: yen)
2Q 930,000 0.1 ― ― ― ― ― ― ―
Year-end 1,880,000 0.3 ― ― ― ― ― ― ―
Net income
attributable to
Kyushu Electric
Sales Operating income Ordinaly income
※(注記) Note
(1)Changes in significant subsidiaries (changes in scope of consolidated subsidiaries) : No
Newly added:0 Excluded:0
*Notes on the scope of consolidation and the application of the equity method
Consolidated subsidiaries: 40
Non-consolidated subsidiaries accounted for under the equity method: 15
Affiliated companies accounted for under the equity method: 14
Changes in the scope of consolidation and the application of the equity method from March 31, 2013
Consolidated subsidiaries Newly added: 0 Excluded: 0
Under the equity method Newly added: 0 Excluded: 2
(2) Changes in accounting principles, changes in accounting estimates, restatement
1 Changes in accounting principles in line with revised accounting standards : Yes
2 Changes in accounting principles other than 1 : No
3 Changes in accounting estimates : No
4 Restatement : No
(3) Number of outstanding shares
1 Number of outstanding shares at year end (including treasury stock):
FY2014 ended March 2015 474,183,951 shares FY2013 ended March 2014 474,183,951 shares
2 Number of treasury stock at year end
FY2014 ended March 2015 509,481 shares FY2013 ended March 2014 1,214,196 shares
3 Average number of shares outstanding during the period
FY2014 ended March 2015 473,207,872 shares FY2013 ended March 2014 472,945,729 shares
(Reference) Outline of Non-consolidated Financial Results
1. Non-consolidated Financial Results for FY2014 (April 1, 2014 to March 31, 2015)
(1) Non-Consolidated Operational Results
(% show s the changes from the previous FY)
(Unit: million yen) (%) (Unit: million yen) (%) (Unit: million yen) (%)
FY2014 ended March 31, 2015 1,761,275 4.7 -59,380 ― -93,080 ―
FY2013 ended March 31, 2014 1,682,994 16.2 -112,237 ― -137,267 ―
(Unit: million yen) (%)
FY2014 ended March 31, 2015 -119,010 ―
FY2013 ended March 31, 2014 -90,939 ―
(2) Non-Consolidated Financial Position
(Reference) Shareholders' equity: FY2014 322,299 million yen FY2013 341,405 million yen
2. Non-consolidated Forecast for FY2015 ending March 2016 (April 1, 2015 to March 31, 2016)
(% show s the changes from the same financial periods of the previous year)
resumption of operations of reactors of our nuclear power stations.
We will promptly inform you of our forecasts when it is possible for us to make them.
(Note) Fiscal 2015 full-year performance outlook for operating income, ordinary income and net income is currently not able to be――
estimated due to the difficult situations that we can not calculate fuel costs rationally under uncertain prospects of the
(Unit: yen)
-251.32
-192.17
(Unit: yen)
Net income Net earnings per share
Fully-diluted net earnings
per share
Sales Operating income Ordinary income
Total assets Net assets
Shareholders'
equity ratio
Net assets
per share
(Unit: million yen) (Unit: million yen) (%) (Unit: yen)
FY2014 ended March 31, 2015 4,390,912 322,299 7.3 461.61
FY2013 ended March 31, 2014 4,218,037 341,405 8.1 721.45
Net earnings per share
(Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: million yen) (% ) (Unit: yen)
2Q 870,000 -0.8 ― ― ― ― ― ― ―
Year-end 1,750,000 -0.6 ― ― ― ― ― ― ―
Sales Operating income Ordinaly income Net income
*Notes on implementation status of quarterly review procedure
This financial results overview is not the object of quarterly review procedure based on Financial Instruments and Exchange Act,
and at the time of this disclosure, quarterly review procedure of quarterly consolidated financial reports based on Financial Instruments and Exchange Act is under implementation.
*Notes on the proper use of the forecasts
Looking-forward statements are based on information available at the date of the release of this document. Due to various factors, the actual result may differ from these statements.
We will post supplementary materials for quartely financial results on our website.
(Reference) Dividends for Preferred Shares
The breakdown of dividend per preferred shares which differ in shareholders’ rights from common shares is as follows.
(Note) Class A preferred shares mentioned the above were issued in August, 2014.
Year-end dividend for Preferred Shares for FY2015 ending March 31, 2016 has yet to be decided.
1Q 2Q 3Q Year-end Total
(Unit: yen) (Unit: yen) (Unit: yen) (Unit: yen) (Unit: yen)
FY2014 ended March 31, 2015 ― 0.00 ― 0.00 0.00
FY2015 ending March 31, 2016
(forecast)
― 0.00 ― ― ―
Class A
preferred shares
Annual dividends per share
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○しろまる Table of Contents of Attached Material
1. Analysis Regarding Business Performance and Financial Condition ・・・・・・・・・・・・ 2
(1) Analysis regarding business performance・・・・・・・・・・・・・・・・・・・・・・ 2
(2) Analysis regarding financial condition・・・・・・・・・・・・・・・・・・・・・・・ 7
(3) Basic policy regarding the appropriation of profits and dividends for FY2014 and FY2015・・ 9
(4) Business risks factors ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 10
2. Management Policy ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 13
(1) Management Basic Policy, Medium- to long-term strategies・・・・・・・・・・・・・・ 13
(2) Important management issues for the Company・・・・・・・・・・・・・・・・・・・ 15
3. Basic policy for selection of accounting standards・・・・・・・・・・・・・・・・・・・・・ 17
4. Consolidated Financial Statements ・・・・・・・・・・・・・・・・・・・・・・・・・ 18
(1) Consolidated Balance Sheets ・・・・・・・・・・・・・・・・・・・・・・・・・ 18
(2) Consolidated Income Statements and Consolidated Comprehensive Income Statements・・・ 20
(3) Consolidated Statements of Changes in Shareholders’ Equity ・・・・・・・・・・・・・ 22
(4) Consolidated Statements of Cash Flows ・・・・・・・・・・・・・・・・・・・・・ 24
(5) Notes on Consolidated Financial Statements ・・・・・・・・・・・・・・・・・・・ 26
(Note on the premise of going concern)・・・・・・・・・・・・・・・・・・・・・・ 26
(Changes in accounting principles, changes in accounting estimates, restatements)・・・・・ 26
(Tax effect accounting)・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 26
(Segment information, etc) ・・・・・・・・・・・・・・・・・・・・・・・・・・ 27
(Per share data) ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 30
(Significant post-balance sheet event) ・・・・・・・・・・・・・・・・・・・・・・ 30
5. Non-consolidated Financial Statements ・・・・・・・・・・・・・・・・・・・・・・・ 31
(1) Balance Sheets ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 31
(2) Income Statements・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 33
(3) Statements of Changes in Shareholders’ Equity・・・・・・・・・・・・・・・・・・・ 35
6. Other・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 41
(1) Income and Expenditure (Non-consolidated)・・・・・・・・・・・・・・・・・・・・ 41
(2) Breaking into deferred tax assets・・・・・・・・・・・・・・・・・・・・・・・・・・ 42
Please note that this purports to be an accurate and complete translation of the original Japanese version
prepared for the convenience of our English-speaking audience. However, in the case of any
discrepancy between the translation and the Japanese original, the latter shall prevail.
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1. Analysis Regarding Business Performance and Financial Condition
(1) Analysis regarding business performance
1 Business performance of FY2014
The Japanese economy in this period (April, 2014-March, 2015), a recovery basic tone continued gently as a
whole while personal consumption showed weak moving. The economy in Kyushu also showed gradual
recovering as capital investment increasing steadily and employment and income environment has also becoming
better.
The Kyushu Electric Power Group has facing an ongoing tight supply and demand and severe financial situation
in electricity business stem from the ballooning fuel cost make up for long term shutdown of all our nuclear power
stations while we made thoroughly management efficiency efforts.
Under these situations, we issued Class A preferred shares in the amount of 100円 billion to allocated to the
Development Bank of Japan in August,2014 to stabilize our total operations by strengthen our equity base, and at
the same time, we have made every effort group-wide to achieve thorough efficiency and an early restart of our
nuclear power stations.
A. Revenue and expenditure
Under these conditions, on the revenue side, consolidated sales (operating revenues) increased by 4.6% to
1,873円.4 billion compared with FY2013 and the ordinary revenues increased by 4.6% to 1,890円.0 billion affected
by the business performances in electricity business as lighting and power revenue increased mainly due to an
increase in charge unit price with the effect of electricity rate increase conducted from last fiscal year and fuel
cost adjustment system and grant based on a feed-in tariff power purchase and sale system of renewable energy
while electricity sales volume decreased.
On the expenditure side, ordinary expenses increased by 1.3% to 1,963円.7 billion compared with FY2013
affected by the business performances in electricity business as the cost for power purchases from renewable
energy increased and maintenance cost for inspections and maintenance at thermal power stations increased while
fuel cost decreased with fuel price down.
As a result, the ordinary loss for FY2014 reduced degree of loss by 57円.7 billion compared with FY2013 to
73円.6 billion.
The net loss for FY2014 increased degree of loss by 18円.5 billion compared with FY2013 to 114円.6 billion due
to the decreased extraordinary gain occurred by sales of real estate and increased income taxes-deferred related to
partial change of recorded amount in deferred tax asset along with the tax revision.
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Operating results for each of our business segments (before eliminating internal transactions) are as follows:
Operating Results (before eliminating internal transactions)
(Unit: 100 million yen, %)
FY2014 FY2013 Difference Change
(A) (B) (A-B) (A/B)
Sales 17,218 16,348 870 105.3
Electricity
Operating Income(Loss) -684 -1,216 531 −
Sales 1,866 1,710 156 109.2
Energy-related
Operating Income(Loss) 109 103 6 105.9
Sales 965 897 68 107.6
IT &
Telecommunication Operating Income(Loss) 114 113 − 100.7
Sales 257 271 -14 94.8
Other
Operating Income(Loss) 36 32 4 112.6
(Note) Electricity includes the company’s business operations except incidental businesses
(a) Electricity Business
The sales revenue from electricity business for FY2014 increased by 5.3% to 1,721円.8 billion compared with
FY2013 mainly due to an increase in charge unit price with the effect of electricity rate increase conducted from
last fiscal year and fuel cost adjustment system and increased grant based on a feed-in tariff power purchase and
sale system of renewable energy while electricity sales volume decreased. On the other side, operating cost for
FY2014 increased by 1.9% to 1,790円.3 billion due to the cost for power purchases from renewable energy
increased and maintenance cost for inspections and maintenance at thermal power stations increased while fuel
cost decreased with fuel price down. As a result, the ordinary loss for FY2014 reduced degree of loss by 53円.1
billion compared with FY2013 to 68円.4 billion.
(b) Energy-related Business
The sales revenues from energy-related business increased by 9.2% to 186円.6 billion compared with FY2013
mainly due to an increase in the number of repair works for electrical power station and contracted facility
maintenance. Operating income increased by 5.9% to 10円.9 billion.
(c) IT and Telecommunication Business
The sales revenues from IT and telecommunication business increased by 7.6% to 96円.5 billion compared
with FY2013 mainly due to an increase in the number of contracted information system development and
increased sales of telecommunication devices. Operating income was 11円.4 billion, same level as FY2013,
mainly due to the increased cost for broadband service.
(d) Other Businesses
The sales revenues from other businesses decreased by 5.2% to 25円.7 billion compared with FY2013 mainly
due to the decreased sales of real estate. Operating income increased by 12.6% to 3円.6 billion mainly due to a
decrease in depreciation of rental buildings.
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B. Sales and Supply overview
In FY2014, the demand for electric light, power for commercial operations and other general demands decreased
by 4.9% from FY2013 due to a decrease in the air-conditioning demand as the temperature from May to October
was lower than the previous year’s level. The power demand from large industrial customers decreased by 0.9%
from FY2013 due to the decrease in production of Steel and Iron in spite of the increase in production of
Non-ferrous Metals.
Consequently, the total electricity sales for FY2014 decreased by 3.8% to 81.27 billion kWh compared with
FY2013.
Electricity Sales Volume
(Unit: million kWh, %)
FY2014 FY2013 Difference Change
(A) (B) (A-B) (A/B)
Lighting 28,518 29,792 -1,274 95.7
Power 4,867 5,291 -424 92.0
Demand other
than those under
Liberalization
Total 33,385 35,083 -1,698 95.2
Demand under Liberalization 47,894 49,367 -1,473 97.0
Electricity Sales Total 81,279 84,450 -3,171 96.2
Customers other than
large-scale industrial
57,860 60,827 -2,967 95.1
Figures are
included above Large-scale industrial
customers
23,419 23,623 -204 99.1
On the supply side, under the ongoing shutdown of the operations of our nuclear power stations, we have
provided electricity to our customers by adjusting own thermal facilities while demand decreased and new energy
received from other company increased.
Generated and Received Electricity
(Note) "New Energy" includes Solar, Wind, Biomass, Waste and Geothermal.
FY2014 FY2013 Difference Change
(A) (A) (A-B) (A/B)
Hydro 4,121 3,773 348 109.2
(Water flow rate) (100.7) (86.7) (14.0)
Thermal 59,022 62,503 -3,481 94.4
Nuclear − − − −
(Utilization rate) (−) (−) (−)
New Energy 1,299 1,391 -92 93.4Ownfacilities
Subtotal 64,442 67,667 -3,225 95.2
From other companies
(New Energy [included above])
22,629
(5,037)
23,147
(3,020)-518(2,017)97.8(166.8)
Interchange 917 1,046 -129 87.7
For pumping -205 -576 371 35.6
Total 87,783 91,284 -3,501 96.2
(Unit: million kWh, %)
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2 Forecast for FY2015
We expect our sales to increase compared with FY2014 despite reduced electricity sales for lighting in the
electricity business caused by the decrease in charge unit price due to the fuel cost adjustment system. This
increase we expect will be driven by an increased grant based on the Act on Purchase of Renewable Energy
Sourced Electricity.
We are currently unable to make a projection for our performance outlook for operating income, ordinary
income and net income. Sendai Nuclear Power Plant Unit No.1 is currently undergoing pre-service inspections to
review compliance with the new regulatory requirements. Since we are not able to estimate the exact restart date
of the nuclear power plant, we cannot calculate fuel costs and other expenses in a rational manner. We will
promptly inform you of our forecasts once we are able to make them.
We, as an operator, will exert ourselves to the utmost during FY 2015 in order to avoid being in the red for five
consecutive periods.
Forecast for operational performance on FY2015
〔Consolidated〕 (Unit: 100 million yen)
2Q Year-end
Sales
9,300
[100.1%]
18,800
[100.3%]
Operating income − −
Ordinary income − −
Net income
Attributable to
Kyushu Electric
− −
(Note) the percentage figures in [ ] show the comparison from the previous year
〔Non-Consolidated〕 (Unit: 100 million yen)
2Q Year-end
Sales
8,700
[99.2%]
17,500
[99.4%]
Operating income − −
Ordinary income − −
Net income − −
(Note) the percentage figures in [ ] show the comparison from the previous year
- 6 -
Sensitivity factors
2Q Year-end
Electricity sales volume
40.4billion kWh
[100.5%]
81.9 billion kWh
[100.7%]
Crude oil (CIF) price 65 $/b
Exchange rate \ 120 /$
(Note) the percentage figures in [ ] show the comparison from the previous year
- 7 -
(2) Analysis regarding financial condition
1 Analysis regarding consolidated assets, debt, shareholders’ equity and cash flow overview
A. Consolidated assets, debt, and shareholders’ equity overview
Consolidated assets increased by 234円.8 billion to 4,784円.7 billion compared with the end of FY2013 mainly
due to the increase of construction in progress with countermeasure constructions of nuclear power stations to
improve safety and the increase of cash and cash equivalent of current assets in spite of the decrease of utility
property, plant and equipment of fixed assets with progress of depreciation.
Consolidated liabilities increased by 278円.1 billion to 4,333円.7 billion mainly due to an increase in
interest-bearing debts. The interest-bearing debts increased by 221円.2 billion to 3,337円.9 billion.
Consolidated shareholders’ equity decreased by 43円.2 billion to 450円.9 billion mainly due to the post of net loss
for this fiscal year and the decrease of accumulated amount of adjustments related to retirement benefits in spite
of the third-party share issuance, issuance of Class A preferred shares in the amount of 100円 billion to allocated to
the Development Bank of Japan. Consequently the shareholders’ equity ratio went down to 9.0%.
B. Consolidated cash flow overview
Cash inflow from operating activities increased by 94円.6 billion to 88円.7 billion from FY2013 mainly due to a
decrease in thermal fuel costs and an increase in electricity sales revenue while the expenses such as maintenance
cost in electricity business increased.
Cash outflow from investing activities increased by 83円.4 billion to 268円.4 billion from FY2013 mainly due to
the increased capital investment and the decreased revenue affected by the sales of property, plant and equipment.
Cash inflow from financing activities increased by 114円.4 billion to 310円.8 billion mainly due to the increased
revenue affected by the issuance of Class A preferred shares.
As a result, the balance of cash and cash equivalents at the end of FY2014 increased by 131円.7 billion to
516円.4 billion compared with the end of FY2013.
- 8 -
2 Consolidated cash flow indication
FY2010 FY2011 FY2012 FY2013 FY2014
Shareholders’ equity ratio (%) 25.4 19.7 11.9 10.5 9.0
Shareholders’ equity ratio at market value (%) 18.4 12.6 10.2 13.1 11.5
Interest-bearing debt / Cash flow ratio 6.9 146.9 − − 37.6
Interest coverage ratio 8.7 0.5 − − 2.2
(Note)
Shareholders’ equity ratio = Shareholders’ equity / Total assets
Shareholders’ equity ratio at market value = Total market value of shares / Total assets
Interest-bearing debt / Cash flow ratio = Interest-bearing debt / Cash flow from operating activities
Interest coverage ratio = Cash flow from operating activities / Interest payment
*Each index is calculated based on the consolidated financial data
*Total market value of shares is calculated as closing stock price at the end of fiscal year multiplied by the number of
shares outstanding (after excluding treasury stocks) at the end of fiscal year
*Cash flow from operating activities and interest payment are calculated based on consolidated cash flow statements.
*Interest-bearing debt includes corporate debt and long-term debt (both includes those due within a year), short-term
debt and commercial papers. The amount of corporate debt used here is not the book value but the face value (par).
* Interest-bearing debt / Cash flow ratio and Interest coverage ratio are not written because of cash outflow from
operating activities for FY2012 and FY2013.
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(3) Basic policy regarding the appropriation of profits and dividends for FY2014 and FY2015
We have based our policy regarding the appropriation of profits on expanding shareholders’ interest in medium
to long-term perspective while maintaining the consecutive dividends.
However net loss for FY2014 was 119円.0 billion because of the large increase in thermal fuel costs due to the
shutdown of the operations of reactors of our nuclear power stations.
Considering current extremely severe business environment, we have decided to pay out no year-end dividend
for FY2014 continued from interim.
We regret to plan no interim dividend, both common and preferred shares for FY 2015, because extremely
severe performance is continued. We are very sorry for shareholders and apologize deeply. Kyushu Electric Power
will announce year-end dividend for FY2015 as soon as forecasts for financial results become possible in the
future.
- 10 -
(4) Business risks factors
The following is a list of some significant risk factors that may have an effect on the operating results, financial
position, and other aspects of the Group (consolidated).
Forward-looking statements in this report reflect the judgment of the company as of the end of current
consolidated fiscal year. 1Changes in systems affecting the electricity business
With regard to the matter of electricity system reforms, the new Organization for Cross-regional Coordination
of Transmission Operators was established in April 2015, and the full liberalization of the electricity retail market
will begin in 2016. In addition, at the national government level, discussions are underway on measures to ensure
further neutrality of power transmission and distribution, to be taken starting in 2020. We will steadily put in place
the new internal systems required by these system changes and work to achieve greater operational efficiency.
The government has also approved the Basic Energy Plan, which established the nation’s basic orientation in
relation to energy supply and demand in cabinet and progressing with deliberations such as the best mix of energy
in the future.
Changes such as these to the systems affecting the electricity business could have an impact on the Group's
performance. 2Status of environment surrounding nuclear power
We still believe that nuclear power generation is important in terms of energy security and global warming
concerns. We will comply with the New Nuclear Regulatory Requirements enforced by the government based on
the lessons learned from the accident at the Fukushima Daiichi Nuclear Power Station and continue our voluntary
efforts in order to improve the safety and reliability. At the same time, we will work to ease the concerns of local
residents regarding nuclear power generation.
However, depending on the status of operation of our nuclear power stations as it will be affected by the future
trends in regulations (the progress of governmental studies towards restart, etc.) and other factors, it is possible
that the results of the Kyushu Electric Group will be affected by factors including increases in costs such as fuel
costs and the cost of procuring funds resulting from the continuation of these cost burdens.
3Fluctuations in electricity sales volume
Electricity sales volume in the electricity business fluctuates according to factors such as economic trends,
temperature changes, the spread of residential solar power systems, the develop of energy conservation, and the
states of competition in electricity power market. As a result, changes in these factors could have an impact on
the Group's performance.
4Fuel Price Fluctuations
Fuel expenses in electricity business fluctuate as a result of trends in CIF prices and in the foreign exchange
markets because we procure sources of fuel for thermal power generation including liquefied natural gas (LNG)
and coal from overseas.
However, fluctuations in fuel prices are reflected in electric rates through the fuel cost adjustment system,
which helps to ease the impact of fuel price volatility on the Group’s performance. 5Costs for the back end of nuclear operations
The decommissioning of nuclear facilities and the back end of nuclear operations such as the storage,
reprocessing, and disposal of spent nuclear fuel require super long-term projects that involve uncertainties.
However, risks to operator have been reduced to a certain extent due to the government’s institutional measures
and other factors. Since the costs for the back end of nuclear operations and so forth vary in accordance with
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factors such as future reviews of systems, changes to estimated future expenses, and the storage conditions of
spent nuclear fuel, however, they may affect the business performance of the Kyuden Group.
6Cost of Measures to Combat Global Warming
In response to global warming, the Group aims for more efficient power generation that uses less carbon, and
to this end the Group conducts a variety of measures, such as safe and stable nuclear power station operations,
active development and introduction of renewable energy, and maintenance and improvement of total thermal
efficiency for thermal power stations. Future changes in policies related to global warming could have an impact
on the Group's performance.
7Businesses Other than Electricity
The Group is enhancing its revenue basis by utilizing the group’s management resources and steadily
developing new business area beyond electricity business. In the business operation, we put emphasis on the
profitability and work to improve efficiency while pursuing the growth. In case securing the planned profits
cannot be achieved due to the worsening business conditions, the Group’s performance may be affected.
8Deferred Tax Assets
The recoverability of deferred tax assets reported in the consolidated balance sheet is determined based on
estimated future taxable income. Therefore, if estimated future taxable income falls due to factors such as changes
in the business environment, we will have to break into deferred tax assets, and this may affect the business
performance of the Kyuden Group.
9Interest Rate Fluctuations
The Group’s balance of interest-bearing debt as of the end of March 2015 is 3,337円.9 billion, which accounts
for 70% of total assets of the group. Future changes in interest rates have potential to affect the Group’s financial
condition.
However, 96% of outstanding interest-bearing debt comprises long-term debt, and most of these bear interest at
fixed rates. The impact of fluctuating interest rates on the Group’s performance is therefore viewed as limited.
10Leakage of Information
The Group has established strict internal frameworks to manage in-house information and personal information,
which Group companies hold, to ensure information security. Additionally, we have implemented thorough
information management by establishing internal policies and guidelines on handling information as well as
familiarizing employees with the handling procedures. However, in case of the leaking of in-house information
and personal information caused by such as the infection with a virus and the cyber attacks, the Group’s
performance may be affected.
11Natural Disasters
To ensure a stable supply of electricity to our customers, the Group implements inspection and maintenance of
the facilities systematically to prevent any trouble from occurring. However, large-scaled natural disasters such as
typhoons, torrential rains and earthquakes or tsunami as well as unexpected accidents and illicit acts have the
potential to affect the Group’s performance.
We are also developing a risk management system and are preparing for numerous risks that may have a
material impact on business operations. Proper actions not taken in response to a risk may adversely affect the
Group’s performance.
12Compliance
To be worthy of the trust of all its stakeholders, the Group conducts its business activities from the perspective
- 12 -
of its customers and local people in the regions it operate in by working together to fully instill an awareness of
compliance and complying with laws and regulations. However, if problems such as compliance violations were
to cause the Group’s social credibility to decline, this could have an impact on the Group's performance.
The Group will continue to work to build trust-based relationships with all its stakeholders.
- 13 -
2. Management Policy
(1) Management Basic Policy, Medium- to long-term strategies
Based on Kyushu Electric Power’s Mission, which incorporates our brand message, "Make a brighter future for
generations to come." we proceed in our business activities as a responsible power utility with the mission of
providing our customers with a stable supply of electricity and energy.
Unfortunately, the accident at the Fukushima Daiichi Nuclear Power Station has resulted in a major loss of
confidence in power companies. At Kyushu Electric Power, we faced very tight supply and demand and severe
financial status with the shutdown of all our nuclear power stations.
To overcome this difficult situation, we have taken all possible measures to achieve greater efficiency in our
business operations and improve the balance between supply and demand. In addition, we implemented electricity
rate increase and issuance of preferred shares.
As the suspension of operation of the nuclear power stations has been prolonged beyond expectations, however,
the management of the company is still faced with difficulties.
In order to ensure safety as our top priority, we aim to resume the operation of nuclear power stations as soon as
possible by responding to examinations and inspections by the government on a group-wide basis.
In addition, by taking all possible measures to improve financial results, we will make utmost efforts to resolve
and move beyond this situation. Specific efforts to achieve operational efficiency include reviewing the range and
nature of outsourcing agreements, striving to reduce fuel procurement prices, and ensuring economic management
of supply and demand through priority use of high-efficiency thermal power plants. For the time being, we will also
strive to cancel, postpone, or scale down repair and other projects, although for a short period of time, after giving
full consideration to safety, compliance, and supply stability.
With the full liberalization of the electricity retail market as a result of electricity system reforms scheduled for
2016, we will enter a period of real competition.
Under these circumstances, in order to continue to be trusted and chosen by customers, it is necessary that the
Kyuden Group make united efforts to accelerate its reforms. For this reason, we formulated the new Medium-term
Group Management Policy in April of this year, we developed a vision of what we should be in 2030, and we
drafted the three pillars of strategy to realize such as vision. We also announced the priority measures that we should
implement during the five years from FY2015 to FY2019.
Vision for 2030
Three pillars of strategy to achieve a vision of where we should be
Aiming to become a corporate group that provides Japan’s best energy services
—Everyone eventually asks the Kyuden Group for energy!—
I Grow into a corporate group that provides energy services in Kyushu where we operate from a
company that delivers electricity and develops together with the regional community and society by
meeting the diverse energy needs of customers
II Make the most of the Kyuden Group strengths to achieve sustained growth through energy service
businesses for overseas and outside Kyushu and renewable energy business
III Enhance the organizational strength required to implement strategies to establish a robust business
foundation
- 14 -
Goals for growth businesses
Current level 2030
Overseas electrical power business ( Equity ownership in overseas
electricity output)
1.5 million kW 5 million kW
Electrical power business outside Kyushu (Power sources developed
outside Kyushu)
― 2 million kW
renewable energy business (development)
1.5 million kW 4 million kW
- 15 -
(2) Important management issued for the Company
In the future, we will move ahead with the initiatives listed below.
1We will meet the diverse energy needs of customers in Kyushu.
- Ensuring stable power supply
As a tight supply-demand relationship continues, we will fulfill the mission of supplying power in a stable
manner by making all-out efforts to ensure safe and stable operation of electric equipment.
Firmly determined not to give rise to accidents such as those that occurred at the Fukushima Daiichi Nuclear
Power Station, we will push independent, continuous initiatives to further improve the safety of nuclear power
generation.
In order to secure competitive, stable power sources while keeping in mind the competitive environment that
has resulted from electricity system reforms, we will steadily move forward with the development of System No.
3 Unit 4 at the Shin Oita Power Station and Matsuura Power Station Unit No. 2. At the same time, we will strive
to increase the flexibility of, and enhance competitiveness in, fuel procurement, mainly by introducing fuel
trading and promoting investments for upstream interests.
Furthermore, in order to respond flexibly to environmental changes in the future, we will build a well-balanced
power supply system through nuclear power, coal- and LNG-burning thermal power, as well as renewable energy
such as hydraulic and geothermal power.
Meanwhile, we will strive to harness sunlight and other types of renewable energy, whose output fluctuates
significantly due to factors such as weather conditions, on the assumption that it can be supplied in a stable
manner as a source of electricity.
- Providing diverse energy services
In Kyushu, where the Kyuden Group is based, we will grow into a corporate group that provides energy
services, moving beyond being a company that merely supplies electricity, and deliver through a single channel
the optimal combinations of services that meet the energy needs of customers.
In addition to the current wholesaling of gas, we will enter gas retail business in earnest as its retail market is
scheduled to be fully liberalized.
2We will make the most of the Kyuden Group’s strengths to develop in growth markets
- Strengthening overseas electricity business
In overseas electricity business, we have set the goal of achieving 5,000 MW in equity ownership in overseas
electricity output in 2030. With this goal in mind, we will make the best use of the technology and know-how that
we have accumulated in Japan and abroad in the past to expand power generation business mainly in Asia, which
has high growth potential.
In overseas markets, we will also actively provide consulting services such as feasibility surveys related to the
construction of high-efficiency coal-burning thermal power plants in emerging economies.
- Developing electricity business outside Kyushu
In addition to power supply from within Kyushu, we will work to develop new power sources outside the r
egion mainly through alliances with other companies. Specifically, we are considering the joint development of
coal-burning thermal power plants in the Kanto area.
- Expanding renewable energy business
With respect to renewable energy business, a globally growing area, we will actively develop geothermal and
hydraulic power while giving consideration to stable supply and environmental impacts in Japan and abroad.
3We will establish a robust business foundation
- 16 -
- Strengthening personnel and organizations, two sources of competitiveness
With the future competitive environment in mind, we will work to develop personnel who lead business
reforms with enthusiasm and exert their originality and ingenuity to push forward with business improvements
and reforms.
Even as the business environment undergoes major changes, we will build an organizational structure, as well
as a business administration system, that responds swiftly and flexibly to such changes.
- Reinforcing the financial foundation and enhancing competitiveness on a group-wide basis
We will make all-out efforts to achieve greater efficiency in all business activities and enhance our
competitiveness, thus improving financial results and restoring the financial foundation.
Specific initiatives include making the most of external knowledge to reform material and equipment
procurement, raising the cost awareness of employees for continuous cost reductions, and stepping up cost
management.
In addition, in order to establish a competitive advantage, we will promote technology development on a
group-wide scale, maintaining the technological capabilities and skills that we have cultivated in the past and
handing them down to the next generation.
- Pursuing safety and security
Basically, we will give top priority to safety and security in all business activities.
In particular, we are keenly aware that there must be no limits to the efforts made for nuclear safety. Under the
top managers’ strong leadership, we will step up risk management. We will also promote face-to-face dialogues
with local residents and reflect their opinions on Kyuden’s initiatives for safety and security.
- Promoting thorough CSR (corporate social responsibility) management
We will make all-out efforts to ensure sincere and fair business administration through actions that are trusted
by society, and it goes without saying that we will always comply with laws and ordinances.
We will also promote closer communication with society and properly reflect the opinions collected on
business administration. In addition, we will make all-out efforts to disclose information swiftly in an
easy-to-understand manner, thus increasing the transparency of our business activities.
Furthermore, through collaboration with local residents such as through volunteer activities, we will contribute
to work aimed at resolving social problems and grow together with local communities.
By applying these initiatives on a group-wide scale, we aim to attain sustained growth and provide value to all
stakeholders.
- 17 -
3. Basic policy for selection of accounting standards
Since the Kyuden Group’s business consists mainly of the electricity business, our consolidated financial
statements are based on the Ordinance on Terminology, Forms and Preparation Methods of Consolidated
Financial Statements (Ordinance of the Ministry of Finance No. 28, October 30, 1976) and are prepared in
accordance with the Ordinance on Accounting at Electricity Utilities (Ordinance of the Ministry of International
Trade and Industry No. 57, June 15, 1965). We have not decided yet whether we will apply the International
Financial Reporting Standards (IFRS) to our financial statements in the future.
- 18 -
4. Consolidated Financial Statements
(1) Consolidated Balance Sheets
Assets
Fixed Assets 3,847,207 3,925,720
Utility property, plant and equipment 2,309,750 2,248,572
Hydro 302,075 285,370
Thermal 169,393 156,633
Nuclear 211,244 196,062
Internal combustion 18,229 17,909
New energy 13,587 14,673
Transmission 639,755 625,131
Transformation 216,234 216,918
Distribution 614,425 613,880
General 119,022 116,210
Other 5,782 5,782
Other fixed assets 301,642 327,314
Construction in progress 329,749 431,741
Construction and retirement in progress 329,749 410,049
Special account related to nuclear power decommissioning - 21,692
Nuclear fuel 281,522 280,616
Loaded nuclear fuel 84,127 75,531
Nuclear fuel in processing 197,395 205,084
Investments and other assets 624,541 637,475
Long-term investments 110,402 106,018
Reserve for reprocessing of irradiated nuclear fuel 261,058 282,071
Assets for retirement benefits 239 14,925
Deferred tax assets 146,426 127,072
Other assets 107,336 108,727
Allowance for doubtful accounts -922 -1,339
Current Assets 702,644 859,015
Cash and cash equivalent 379,495 512,472
Trade notes and accounts receivable 163,392 179,065
Inventories at average cost 82,559 81,433
Deferred tax assets 33,137 34,068
Other current assets 44,916 52,797
Allowance for doubtful accounts -855 -822
Assets Total 4,549,852 4,784,735
(Unit: million yen)
As of March 31st, 2014 As of March 31st, 2015
- 19 -
Liabilities
Long-term Liabilities 3,429,837 3,499,896
Bonds 1,143,615 1,064,274
Long-term loans 1,653,360 1,773,867
Reserve for reprocessing of irradiated nuclear fuel 306,219 294,345
Reserve for preparation of reprocessing of irradiated nuclear fuel 26,662 28,320
Liabilities for retirement benefits 51,237 90,547
Asset retirement obligations 202,989 207,437
Deferred tax liabilities 248 527
Other fixed liabilities 45,503 40,575
Current Liabilities 625,782 832,156
Current portion of long-term debt 213,236 397,338
Short-term borrowings 118,171 119,001
Notes and accounts payable 97,402 97,115
Income tax payable 20,351 27,325
Deferred tax liabilities 74 66
Other current liabilities 176,544 191,310
Reserves under the special law - 1,692
Reserve for fluctuation in water levels - 1,692
Liabilities Total 4,055,619 4,333,744
Net Assets
Shareholders’ Equity 440,966 427,157
Common stock 237,304 237,304
Additional paid-in capital 31,130 130,344
Retained earnings 174,871 60,175
Treasury stock -2,340 -666
Accumulated other comprehensive income 34,566 4,370
Unrealized gain on other securities 2,352 4,097
Gain on deferred hedge 4,235 596
Foreign currency translation adjustments -450 -18
Accumulated amount of adjustments related to retirement benefits 28,429 -305
Minority Interests 18,699 19,462
Net Assets Total 494,232 450,990
Liabilities and Net Assets Total 4,549,852 4,784,735
(Unit: million yen)
As of March 31st, 2014 As of March 31st, 2015
- 20 -
(2) Consolidated Income Statements and Consolidated Comprehensive Income Statements
Consolidated Income Statements April 1, 2013-March 31, 2014 April 1, 2014-March 31, 2015
Operating Revenues 1,791,152 1,873,467
Electricity 1,633,023 1,719,570
Other 158,129 153,897
Operating Expenses 1,886,974 1,916,782
Electricity 1,746,890 1,779,711
Other 140,083 137,070
Operating Loss -95,821 -43,314
Other Revenues 15,550 16,584
Proceed from dividends 2,629 2,100
Proceed from interests 3,973 4,135
Foreign exchange gains 1,398 2,227
Equity in earnings of affiliates 3,152 3,400
Other 4,396 4,719
Other Expenses 51,178 46,963
Interest expenses 39,429 40,148
Other 11,749 6,815
Total Ordinary Revenues 1,806,703 1,890,052
Total Ordinary Expenses 1,938,152 1,963,746
Ordinary Loss -131,449 -73,693
-4,308 1,692
Provision of reserve fluctuation in water levels - 1,692
Reversal of reserve fluctuation in water levels(Credit) -4,308 -
Extraordinary gain 53,408 2,484
Gain on sales of fixed assets 26,173 2,484
Gain on sales of securities 5,524 -
Gain on contributions of securities to retirement
benefit trust 21,711 -
Loss before Income Taxes -73,732 -72,901
Income Taxes 5,131 7,114
Income Taxes-Deferred 15,655 33,210
Income Taxes Total 20,786 40,324
Loss before Minority Interests -94,519 -113,225
Minority Interests 1,576 1,470
Net Loss -96,096 -114,695
(Unit: million yen)
Provision or reversal of reserve fluctuation in water levels
- 21 -
Consolidated Comprehensive Income Statements April 1, 2013-March 31, 2014 April 1, 2014-March 31, 2015
Net Loss before Minority Interests -94,519 -113,225
Other comprehensive income
Unrealized gain on other securities -16,670 1,188
Gain on deferred hedge 464 -1,759
Foreign currency translation adjustments -1,429 -25
Adjustments related to retirement benefits -683 -28,192
Equity in equity method companies 2,816 -1,171
Total other comprehensive income -15,503 -29,960
Comprehensive income -110,023 -143,186
Comprehensive income related to
Comprehensive income related to parent company
shareholders -111,780 -144,891
Comprehensive income related to minority
interests 1,757 1,705
(Unit: million yen)
- 22 -
(3)Consolidated Statements of Changes in Shareholders’ Equity
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014)
(Unit : million yen)
Shareholders’ Equity
Common
stock
Additional
paid-in capital
Retained
earnings
Treasury stock
Shareholders’
Equity Total
Balance at the start of FY 237,304 31,130 252,145 -2,373 518,207
Cumulative effects of
Changes in accounting
policies
18,822 18,822
Restated balance 237,304 31,130 270,967 -2,373 537,030
Changes during FY
New issue of shares ―
Transfer to additional
paid-in capital from
common stock―Net Loss -96,096 -96,096
Acquisition of
Treasury Stock
-18 -18
Disposal of
Treasury Stock
― 51 51
Changes by Stock
Exchanges―Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― ― -96,096 33 -96,063
Balance at the end of FY 237,304 31,130 174,871 -2,340 440,966
(Unit : million yen)
Shareholders’ Equity
Unrealizedgainon other
securities
Gain on
deferred
hedge
Foreign
currency
translation
adjustment
Adjustments
related to
retirement
benefits
Total other
Comprehensive
income
Minority
Interests
Net Assets Total
Balance at the start of FY 19,212 3,747 -1,481 ― 21,477 18,114 557,799
Cumulative effects of
Changes in
accounting policies
28,773 28,773 -291 47,304
Restated balance 19,212 3,747 -1,481 28,773 50,250 17,822 605,103
Changes during FY
New issue of shares ―
Transfer to additional
paid-in capital from
common stock―Net Loss -96,096
Acquisition of
Treasury Stock-18Disposal of
Treasury Stock51Changes by Stock
Exchanges―Net changes during
FY other than
Shareholders’ Equity
-16,859 488 1,031 -344 -15,684 876 -14,807
Total changes during FY -16,859 488 1,031 -344 -15,684 876 -110,871
Balance at the end of FY 2,352 4,235 -450 28,429 34,566 18,699 494,232
- 23 -
Current consolidated fiscal year (April 1, 2014 to March 31, 2015)
(Unit : million yen)
Shareholders’ Equity
Common
stock
Additional
paid-in capital
Retained
earnings
Treasury stock
Shareholders’
Equity Total
Balance at the start of FY 237,304 31,130 174,871 -2,340 440,966
Cumulative effects of
Changes in
accounting policies―Restated balance 237,304 31,130 174,871 -2,340 440,966
Changes during FY
New issue of shares 50,000 50,000 100,000
Transfer to additional
paid-in capital from
common stock
-50,000 50,000 ―
Net Loss -114,695 -114,695
Acquisition of
Treasury Stock
-14 -14
Disposal of
Treasury Stock
-303 580 277
Changes by Stock
Exchanges
-482 1,107 624
Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― 99,213 -114,695 1,673 -13,808
Balance at the end of FY 237,304 130,344 60,175 -666 427,157
(Unit : million yen)
Shareholders’ Equity
Unrealizedgainon other
securities
Gain on
deferred
hedge
Foreign
currency
translation
adjustment
Adjustments
related to
retirement
benefits
Total other
Comprehensive
income
Minority
Interests
Net Assets Total
Balance at the start of FY 2,352 4,235 -450 28,429 34,566 18,699 494,232
Cumulative effects of
Changes in
accounting policies―Restated balance 2,352 4,235 -450 28,429 34,566 18,699 494,232
Changes during FY
New issue of shares 100,000
Transfer to additional
paid-in capital from
common stock―Net Loss -114,695
Acquisition of
Treasury Stock-14Disposal of
Treasury Stock277Changes by Stock
Exchanges624Net changes during
FY other than
Shareholders’ Equity
1,745 -3,639 432 -28,734 -30,195 762 -29,433
Total changes during FY 1,745 -3,639 432 -28,734 -30,195 762 -43,242
Balance at the end of FY 4,097 596 -18 -305 4,370 19,462 450,990
- 24 -
(4)Consolidated Statements of Cash Flows
April 1, 2013-
March 31, 2014
April 1, 2014-
March 31, 2015
Operating Activities
Loss before income taxes -73,732 -72,901
Depreciation and amortization 202,856 193,972
Decommissioning cost of nuclear power plants 1,978 4,293
Loss on disposal of property, plant and equipment 6,438 6,643
Provision for reserve for reprocessing of used fuel -15,056 -14,428
Provision for preparation for reprocessing of irradiated nuclear fuel 1,025 1,658
Increase(decrease)in net defined benefit liability -10,577 -5,823
Increase(decrease) in reserve for fluctuation in water levels -4,308 1,692
Interest revenue and dividends received -6,602 -6,236
Interest expense 39,429 40,148
Equity in net earnings under the equity method -3,152 -3,400
Gain on sales of fixed assets -26,173 -2,484
Gain on sales of securities -5,524 -
Gain on contributions of securities to retirement benefit trust -21,711 -
Increase(decrease) in fund for reprocessing of irradiated nuclear fuel -20,902 -21,012
Increase(decrease) in accounts receivable -40,493 -15,489
Increase(decrease) in inventories, principally fuel, at average cost -9,481 1,125
Increase(decrease) in accounts payable -5,534 1,697
Other 22,031 16,642
Sub Total 30,508 126,097
Receipt of interest and cash dividends 6,860 8,554
Interest paid -39,326 -40,102
Income tax paid -3,965 -5,812
Net cash provided by operating activities -5,922 88,736
Cash Flows from Investing Activities
Purchases of property, plant and equipment -236,378 -293,944
Proceeds from contribution received for construction 12,858 23,259
Proceeds from sales of property, plant and equipment 27,591 3,137
Payment for investments and other -2,966 -679
Proceeds for recoveries from investments and other 14,845 3,181
Other -914 -3,367
Net cash used in investing activities -184,963 -268,413
(Unit: million yen)
- 25 -
April 1, 2013-
March 31, 2014
April 1, 2014-
March 31, 2015
Cash Flows from Financing Activities
Proceeds from issuance of bonds 194,488 139,570
Redemption of bonds -163,842 -99,800
Proceeds from long-term loans 280,344 275,475
Repayment of long-term loans -76,447 -102,184
Net increase (decrease) in short-term borrowings -1,011 1,379
Net changes in commercial paper -33,000 -
Proceeds from issuance of preferred stock - 99,597
Other -4,134 -3,231
Net cash used in financing activities 196,397 310,807
Effect of exchange rate changes on cash and cash equivalents 51 579
Changes in cash and cash equivalents 5,561 131,710
Cash and cash equivalents at beginning of the year 379,207 384,769
Cash and cash equivalents at end the of the year 384,769 516,480
(Unit: million yen)
- 26 -
(5) Notes on Consolidated Financial Statements
(Note on the premise of going concern)N/A(Changes in accounting principles, changes in accounting estimates, restatements)
[Changes in accounting principles]
Change of the accounting method if reactors are decommissioned due to factors such as changes in energy policy
Previously, if they decommissioned a reactor due to factors such as a change of energy policy, electricity utilities
used an accounting method of reporting all of the nuclear power generation equipment related to the reactor
(excluding fixed assets required for the decommissioning of the reactor, those that needed maintaining even after the
operations of the reactor had been terminated, and assets equivalent to asset retirement obligations),
construction-in-progress accounts related to the nuclear power generation equipment and the book value of nuclear
fuel related to the reactor (excluding expected disposal amounts; hereinafter referred to as the "Book Value of
Nuclear Power Generation Equipment, Etc."), and amounts equivalent to spent fuel reprocessing and other expenses
that arose from the decommissioning of the reactor as well as expenses required for the dismantling of the nuclear
fuel (hereinafter referred to as the "Amounts Equivalent to Expenses Related to the Decommission of the Reactor")
as expenses when a decision had been made to decommission the reactor. However, on March 13, 2015, the
Ordinance for Partial Revision of the Ordinance on Accounting at Electricity Utilities and Other Provisions
(Ordinance of the Ministry of Economy, Trade and Industry No. 10, 2015) came into force, revising the Ordinance
on Accounting at Electricity Utilities. Therefore, since the day of enforcement, we have shifted to a method of
transferring the Book Value of Nuclear Power Generation Equipment, Etc. and the Amounts Equivalent to Expenses
Related to the Decommission of the Reactor to a special account related to nuclear power decommissioning or
reporting the same in such an account and then depreciating amounts that corresponded to the fares collected in each
consolidated fiscal year after obtaining the approval of the Minister of Economy, Trade and Industry.
With this change, in the current consolidated fiscal year, we transferred or reported a total of 21,692円 million,
which consisted of 15,317円 million for the Book Value of Nuclear Power Generation Equipment, Etc. related to the
Genkai Nuclear Power Station Unit No.1, whose decommissioning was decided on March 18, 2015, and 6,375
million yen for the Amounts Equivalent to Expenses Related to the Decommission of the Reactor, to or in the special
account related to nuclear power decommissioning. On March 18, 2015, meanwhile, we submitted an application for
approval of a new suspense account related to the decommissioning of the Genkai Nuclear Power Station Unit 1 to
the Minister of Economy, Trade and Industry. On April 21, 2015, we obtained the Minister’s approval regarding this
matter.
As a result, loss before income taxes for the current consolidated fiscal year was reduced by 21,692円 million yen
compared to the previous method.
Effects on per share date are described in the relevant section.
(Tax effect accounting)
Correction of the amounts of deferred tax assets and liabilities in response to the change in the income tax rate
The Act for Partial Amendment of the Income Tax Act, Etc. (Law No. 9 of 2015) and the Act for Partial
Amendment of the Local Tax Act, Etc. (Law No. 2 of 2015) were promulgated on March 31, 2015. With this
promulgation, the effective statutory tax rate used to calculate deferred tax assets and liabilities for the current
consolidated fiscal year was changed from 30.7% for the previous consolidated fiscal year to 28.7% if their recovery
or payment is expected to occur on April 1, 2015 or thereafter.
As a result, our deferred tax assets decreased by 10,431円 million while our deferred income taxes and other
comprehensive income increased by 10,687円 million and 263円 million, respectively.
On the other hand, our deferred tax liabilities decreased only slightly.
(Segment information, etc)
- 27 -
1. Segment information
(1) Overview of reporting segments
The Company's reporting segments are based on the units that compose our Company for which separate
financial information is available. The segments are subject to regular review by the Board of Directors to evaluate
performance.
The Company is composed of four reporting segments, classified in consideration of the types of products and
business activities: the Electricity Business, the Energy-related Business, the IT/Telecommunication Business, and
Other Businesses.
The main products and business activities belonging to each reporting segment are described below.
Reporting segment Main products and business activities
Electricity Supply of electricity
Energy-related
Receipt, storage, vaporization, delivery and sales of LNG, manufacturing and sales of electric
machinery, construction, maintenance and repair of electric power facilities, maintenance and repair
of power generation facilities, manufacturing and sales of concrete poles, environmental preservation
activities around power generation facilities, consultation and planning of civil engineering and
construction
IT/Telecommunication
Fiber-optic cable and broadband service, manufacturing, sales, installation and maintenance of
telecommunication devices, development, operation and maintenance of information system
Other
Acquiring and owning of securities, loan to group companies, leasing and management of real estate,
contracted siting work
(2) Calculation method of amount of sales, income or loss, asset and other items by reporting segment
Accounting method of Reporting segment is the same to the Preparation of consolidated financial statements.
Reporting segment income is on operating income basis. Inter-segment sales is based on a market price.
(Change of the accounting method if reactors are decommissioned due to factors such as changes in energy policy)
As described in "Changes in accounting principles," we changed the accounting method if reactors are
decommissioned due to factors such as changes in energy policy from the 4th
quarter of the current consolidated
fiscal year. With this change, we also changed the accouting method for the electricity business segment in the
same way.
This change has no effect of segment loss for Electricity.
(3) Information regarding amount of sales, income or loss, asset and other items by reporting segment
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014)
(Unit: million yen)
*1 Adjusted amount of segment income (loss) of 818 million yen and adjusted amount of segment asset of -126,427
million yen are inter-segment elimination.
*2 Segment income (loss) is adjusted with operating loss within consolidated income statements.
Current consolidated fiscal year (April 1, 2014 to March 31, 2015)
Electricity
Energy-
related
IT/Telecomm
unication
Other Total
Sales
Sales to outside customers 1,633,023 78,150 65,841 14,137 1,791,152 ‐ 1,791,152
Inter-segment sales 1,805 92,856 23,907 13,004 131,573 -131,573 ‐
Total 1,634,829 171,007 89,748 27,142 1,922,726 -131,573 1,791,152
Segment income (loss) -121,615 10,367 11,342 3,266 -96,639 818 -95,821
Segment asset 4,057,306 345,698 136,493 136,780 4,676,279 -126,427 4,549,852
Other items
Depreciation (including
amortization of nuclear fuel)
172,341 9,210 18,432 5,550 205,534 -2,678 202,856
Increase in tangible fixed assets
and intangible fixed assets
216,181 23,927 19,808 1,438 261,355 -4,351 257,004
Reportable segment
Adjusted
amount*1
Consolidated
financial
statements*2
- 28 -
(Unit: million yen)
*1 Adjusted amount of segment income (loss) of 914 million yen and adjusted amount of segment asset of -143,943
million yen are inter-segment elimination.
*2 Segment income (loss) is adjusted with operating loss within consolidated income statements.
2. Related information
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014) and Current consolidated fiscal year (April 1,
2014 to March 31, 2015)
(1) Information by product and service
Because similar information is disclosed in segment information, this information is omitted.
(2) Information by region
1 Sales
Because domestic sales to external customers account for over 90% of the sales stated in the Consolidated
Income Statements, this information is omitted.
2 Property, plant and equipment
Because property, plant and equipment located in Japan accounts for over 90% of the property, plant and
equipment stated in the Consolidated Balance Sheets, this information is not stated.
(3) Information by main customers
Because there are no customers that account for over 10% of sales stated in the Consolidated Income Statements
for sales to external customers, this information is omitted.
3. Information relating to impairment loss of fixed assets by reporting segment
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014) and Current consolidated fiscal year (April 1,
2014 to March 31, 2015)
Because this information lacks materiality, it is omitted.
4. Information relating to goodwill amortization and unamortized balance by reporting segment
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014)
Because this information lacks materiality, it is omitted.
Current consolidated fiscal year (April 1, 2014 to March 31, 2015)N/A5. Information relating to gains incurred from negative goodwill by reporting segment
Electricity
Energy-
related
IT/Telecomm
unication
Other Total
Sales
Sales to outside customers 1,719,570 71,793 69,217 12,886 1,873,467 - 1,873,467
Inter-segment sales 2,298 114,878 27,333 12,846 157,356 -157,356 -
Total 1,721,869 186,672 96,550 25,732 2,030,824 -157,356 1,873,467
Segment income -68,481 10,983 11,419 3,677 -42,400 -914 -43,314
Segment asset 4,235,616 375,418 176,152 141,491 4,928,679 -143,943 4,784,735
Other items
Depreciation (including
amortization of nuclear fuel)
164,724 9,052 18,028 4,947 196,753 -2,780 193,972
Increase in tangible fixed assets
and intangible fixed assets
228,362 22,756 25,550 948 277,617 -4,737 272,880
Reportable segment
Adjusted
amount*1
Consolidated
financial
statements*2
- 29 -
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014) and Current consolidated fiscal year (April 1,
2014 to March 31, 2015)
Because this information lacks materiality, it is omitted.
- 30 -
(Per share data)
FY2013
(April 1, 2013-
March 31, 2014)
FY2014
(April 1, 2014-
March 31, 2015)
Shareholders’ equity per share (BPS) 1,005円.42 692円.52
Net loss per share (EPS) \-203.19 \-242.38
(Note) 1. Diluted EPS is abbreviated as there are no dilutive securities and it is net loss per share.
2. As described in "Changes in accounting principles," we changed the accounting method if reactors are decommissioned
due to factors such as changes in energy policy.
As a result, Shareholder’s equity per share for the current consolidated fiscal year increased by 32円.65 while Net loss per
share decreased by 32円.68.
3. Basic data for computation of the per share data is as below.
(1) Shareholders’ equity per share
FY2013
(As of March 31, 2014)
FY2014
(As of March 31, 2015)
Shareholders’ equity total 494,232円 million 450,990円 million
Deductible from shareholders’ equity 18,699円 million 122,962円 million
(Paid in amount of the preferred shares) − (100,000円 million)
(cumulative dividends payable for
Preferred shares)
− (3,500円 million)
(Minority interest) (18,699円 million) (19,462円 million)
Shareholders’ equity allocated to
common stock outstanding
475,533円 million 328,028円 million
Number of common stock outstanding at
the end of each fiscal year
472,970 thousand shares 473,674 thousand shares
(2) Net loss per share
FY2013
(April 1, 2013-
March 31, 2014)
FY2014
(April 1, 2014-
March 31, 2015)
Net loss \-96,096 million \-114,695 million
Amount not allocated to shareholders − −
Net loss allocated to common stock
outstanding
\-96,096 million \-114,695 million
Weighted average number of common
stock outstanding during each fiscal year
472,946 thousand shares 473,208 thousand shares
(Significant post-balance sheet event)N/A - 31 -
5. Non-consolidated Financial Statements
(1) Balance Sheets
(Unit: million yen)
As of March 31st, 2014 As of March 31st, 2015
Assets
3,625,432 3,651,325
2,341,919 2,281,270
Hydro power production facilities 305,026 288,429
Thermal power production facilities 171,135 158,031
Nuclear power production facilities 213,428 199,313
Internal combustion power production facilities 18,779 18,465
New energy power production facilities 13,854 14,980
Transmission facilities 646,720 632,131
Transformation facilities 220,264 220,839
Distribution facilities 625,675 625,075
General facilities 121,252 118,221
Facilities on loan 5,782 5,782
31,412 9,617
3,900 3,620
310,704 391,725
Construction in progress 308,768 367,377
Retirement in progress 1,935 2,655
Special account related to nuclear power decommissioning - 21,692
281,522 280,616
Loaded nuclear fuel 84,127 75,531
Nuclear fuel in processing 197,395 205,084
655,973 684,474
Long-tern investments 98,546 94,780
Investments in subsidiaries and affiliated companies 149,634 184,605
Fund for reprocessing of irradiated nuclear fuel 261,058 282,071
Long-term prepaid expenses 5,953 6,562
Prepaid pension cost - 9,779
Deferred tax assets 141,299 107,187
Allowance for doubtful accounts -519 -512
592,605 739,586
Cash and cash equivalents 334,476 466,141
Accounts receivable 132,598 149,455
Receivables 15,768 15,829
Inventories 67,306 60,005
Prepaid expenses 593 3,392
Receivables from subsidiaries and affiliated companies 5,087 2,368
Deferred tax assets 29,225 30,371
Other current assets 8,066 12,474
Allowance for doubtful accounts -519 -452
Assets Total 4,218,037 4,390,912
Property, Plant and Equipment
Utility property, plant and equipment
Current Assets
Investments and other assets
Nuclear Fuel
Incidental businesses property and equipment
Nonoperating property and equipment
Plant and equipment suspense account
- 32 -
(Unit: million yen)
As of March 31st, 2014 As of March 31st, 2015
Liabilities
Long-term Liabilities 3,314,453 3,327,820
Bonds 1,143,715 1,064,374
Long-term loans 1,545,480 1,645,634
Long-term accrued liabilities 7,605 7,250
Long-term lease liabilities 2,121 1,474
Long-term liabilities to affiliates 1,600 1,290
Liability for employees' retirement benefits 74,526 69,686
Reserve for reprocessing of irradiated nuclear fuel 306,219 294,345
Reserve for preparation of reprocessing of irradiated nuclear fuel 26,662 28,320
Asset retirement obligations 201,142 206,113
Other long-term liabilities 5,377 9,328
Current Liabilities 562,179 739,099
Current portion of long-term debt 186,242 349,464
Short-term borrowings 115,000 115,000
Accounts payable-trade 86,590 82,961
Accounts payable 46,490 32,336
Accrued expenses 67,336 80,502
Accrued income tax 15,615 18,709
Deposit 1,476 1,223
Short-term liabilities to subsidiaries and affiliated companies 32,411 43,270
Other advances 9,274 14,001
Other current liabilities 1,741 1,630
Reserves under the special law - 1,692
Reserve for fluctuation in water levels - 1,692
Liabilities Total 3,876,632 4,068,612
Shareholders' Equity
Common stock 336,663 318,673
Paid-in capital 237,304 237,304
Additional paid-in capital 31,107 130,396
Capital reserve 31,087 31,087
Other additional paid-in caoutal 19 99,309
Retained earnings 70,405 -48,605
Legal reserve 59,326 59,326
Retained earnings - carryforward 11,078 -107,931
Reserves for losses on overseas investment,etc. 16 17
Deferred retained earnings 11,061 -107,949
Treasury stock -2,153 -423
Valuation and translation adjustments 4,741 3,626
Unrealized gain on other securities 418 1,062
Gain on deferred hedge 4,323 2,564
Total Shareholders' Equity 341,405 322,299
Liabilities and Shareholders' Equity Total 4,218,037 4,390,912
- 33 -
(2) Income Statements
April 1, 2013-March 31, 2014 April 1, 2014-March 31, 2015
Operating Revenues 1,682,994 1,761,275
Electricity 1,634,829 1,721,869
Lighting 656,698 648,539
Power 871,492 897,611
Sales to other electric companies 319 362
Sales to other companies 9,734 16,673
Revenues from wheeling service charges 3,904 7,364
Gains from adjustment among electric companies 4,201 3,385
Grant based on the Act on Purchase of Renewable Energy Sourced
Electricity 74,247 134,196
Miscellaneous revenues from electricity 13,866 13,386
Revenues from loaned equipment 364 349
Incidental-Business Operating Revenues 48,165 39,405
Fiber-optic cable leasing service 14,126 10,838
Gas supply 29,827 24,804
Other 4,210 3,762
Operating Expenses 1,795,232 1,820,655
Electricity 1,756,444 1,790,350
Hydro power 38,571 38,483
Thermal power 797,672 731,814
Nuclear power 131,976 136,339
Internal combustion power 29,633 27,565
New energy power 8,434 10,507
Purchase from other electric companies 24,397 20,137
Purchase from other companies 290,563 352,300
Transmission 78,496 83,451
Transformation 35,694 39,335
Distribution 114,432 126,919
Sales 43,984 47,407
Suspended facilities 374 -
Facilities on loan 34 33
General 87,226 76,850
Levy based on the Act on Purchase of Renewable Energy Sourced
Electricity 25,846 50,978
Promotion of power resources development tax 32,088 31,211
Enterprise tax 17,095 17,113
Electricity account transfer (Credit) -77 -97
Incidental Businesses Operating Expenses 38,787 30,304
Fiber-optic cable leasing service 9,033 4,980
Gas supply 27,090 22,502
Other 2,663 2,822
Operating Loss -112,237 -59,380
(Unit: million yen)
- 34 -
April 1, 2013-March 31, 2014 April 1, 2014-March 31, 2015
Other Revenues 21,426 10,687
Financial revenues 18,059 5,822
Proceed from dividends 14,157 1,777
Proceed from interests 3,902 4,044
Non-operating revenues 3,366 4,864
Foreign exchange gains 1,257 1,779
Other 2,109 3,085
Other Expenses 46,456 44,387
Financial expenses 38,521 39,524
Interest expenses 38,009 38,693
Stock issuance costs ‐ 402
Bond issuance costs 511 429
Non-operating expenses 7,935 4,862
Loss on sales of tangible fixed assets 207 239
Other losses 7,727 4,623
Total Ordinary Revenues 1,704,420 1,771,962
Total Ordinary Expenses 1,841,688 1,865,042
Ordinary Loss -137,267 -93,080
Provision or reversal of reserve fluctuation in water levels -4,308 1,692
Provision of reserve fluctuation in water levels - 1,692
-4,308 -
Extraordinary gain 57,340 9,867
Gain on sales of fixed assets 27,141 9,867
Gain on sales of securities 6,006 -
Gain on sales of stocks of affiliates 2,481 -
21,711 -
Loss before Income Taxes -75,619 -84,905
Corpration Tax,Residence Tax and Enterprise Tax 370 486
Income Taxes-Deferred 14,949 33,618
Income Taxes Total 15,320 34,105
Net Loss -90,939 -119,010
(Unit: million yen)
Reversal of reserve fluctuation in water levels(Credit)
Gain on contributions of securities to retirement benefit trust
- 35 -
(3) Statements of Changes in Shareholders’ Equity
Previous consolidated fiscal year (April 1, 2013 to March 31, 2014)
(Unit : million yen)
Shareholders’ Equity
Additional Paid-in Capital
Paid-in
Capital Capital reserve
Other additional
Paid-in Capital
Additional
Paid-in Capital
Total
Balance at the start of FY 237,304 31,087 19 31,107
Cumulative effects of
Changes in
accounting policies
Restated balance 237,304 31,087 19 31,107
Changes during FY
New issue of shares
Transfer to additional
paid-in capital from
common stock
Transfer to additional
paid-in capital from
capital reserve
Accumulation of
Reserve for losses
on overseas
investment, etc
Reversal of contingent
reserves
Net Loss
Acquisition of
Treasury Stock
Disposal of
Treasury Stock
― ―
Changes by Stock
Exchanges
Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― ― ― ―
Balance at the end of FY 237,304 31,087 19 31,107
- 36 -
(Unit : million yen)
Shareholders’ Equity
Retained earnings
Other additional Paid-in Capital
Legal reserve
Reserves for
losses on
overseas
investment, etc
Contingent
reserves
Deferred retained
earnings
Additional
Paid-in Capital
Total
Balance at the start of FY 59,326 11 357,000 -275,013 141,323
Cumulative effects of
Changes in
accounting policies
20,021 20,021
Restated balance 59,326 11 35,700 -254,992 161,345
Changes during FY
New issue of shares
Transfer to additional
paid-in capital from
common stock
Transfer to additional
paid-in capital from
capital reserve
Accumulation of
Reserve for losses
on overseas
investment, etc
5 -5 ―
Reversal of contingent
reserves
-357,000 357,000 ―
Net Loss -90,939 -90,939
Acquisition of
Treasury Stock
Disposal of
Treasury Stock
Changes by Stock
Exchanges
Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― 5 -357,000 266,054 -90,939
Balance at the end of FY 59,326 16 ― 11,061 70,405
- 37 -
(Unit : million yen)
Shareholders’ Equity Valuation and Translation Adjustments
Treasury
stock
Shareholders’
Equity Total
Unrealized gain
on other
securities
Gain/Loss on
deferred hedge
Valuation and
Translation
Adjustments
Total
Equity Total
Balance at the start of FY -2,134 407,601 17,826 3,859 21,685 429,287
Cumulative effects of
Changes in accounting
policies
20,021 20,021
Restated balance -2,134 427,622 17,826 3,859 21,685 449,308
Changes during FY
New issue of shares ― ―
Transfer to additional
paid-in capital from
common stock
― ―
Transfer to additional
paid-in capital from
capital reserve
― ―
Accumulation of
Reserve for losses
on overseas
investment, etc
― ―
Reversal of contingent
reserves
― ―
Net Loss -90,939 -90,939
Acquisition of
Treasury Stock
-18 -18 -18
Disposal of
Treasury Stock
― ― ―
Changes by Share
Exchanges
― ―
Net changes during
FY other than
Shareholders’ Equity
-17,408 464 -16,943 -16,943
Total changes during FY -18 -90,958 -17,408 464 -16,943 -107,902
Balance at the end of FY -2,153 336,663 418 4,323 4,741 341,405
- 38 -
Current consolidated fiscal year (April 1, 2014 to March 31, 2015)
(Unit : million yen)
Shareholders’ Equity
Additional Paid-in Capital
Paid-in
Capital Capital reserve
Other additional
Paid-in Capital
Additional
Paid-in Capital
Total
Balance at the start of FY 237,304 31,087 19 31,107
Cumulative effects of
Changes in
accounting policies
Restated balance 237,304 31,087 19 31,107
Changes during FY
New issue of shares 50,000 50,000 50,000
Transfer to additional
paid-in capital from
common stock
-50,000 50,000 50,000
Transfer to additional
paid-in capital from
capital reserve
-50,000 50,000 ―
Accumulation of
Reserve for losses
on overseas
investment, etc
Reversal of contingent
reserves
Net Loss
Acquisition of
Treasury Stock
Disposal of
Treasury Stock
― ―
Changes by Stock
Exchanges
-709 -709
Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― ― 99,289 99,289
Balance at the end of FY 237,304 31,087 99,309 130,396
- 39 -
(Unit : million yen)
Shareholders’ Equity
Retained earnings
Other additional Paid-in Capital
Legal reserve
Reserves for
losses on
overseas
investment, etc
Contingent
reserves
Deferred retained
earnings
Additional
Paid-in Capital
Total
Balance at the start of FY 59,326 16 ― 11,061 70,405
Cumulative effects of
Changes in
accounting policies Restated balance 59,326 16 ― 11,061 70,405
Changes during FY
New issue of shares
Transfer to additional
paid-in capital from
common stock
Transfer to additional
paid-in capital from capital
reserve
Accumulation of
Reserve for losses
on overseas
investment, etc
― ― ―
Reversal of contingent
reserves Net Loss -119,010 -119,010
Acquisition of
Treasury Stock
Disposal of
Treasury Stock
Changes by Stock
Exchanges
Net changes during
FY other than
Shareholders’ Equity
Total changes during FY ― ― ― -119,011 -119,010
Balance at the end of FY 59,326 17 ― -107,949 -48,605
- 40 -
(Unit : million yen)
Shareholders’ Equity Valuation and Translation Adjustments
Treasury
stock
Shareholders’
Equity Total
Unrealized gain
on other
securities
Gain/Loss on
deferred hedge
Valuation and
Translation
Adjustments
Total
Equity Total
Balance at the start of FY -2,153 336,663 418 4,323 4,741 341,405
Cumulative effects of
Changes in accounting
policies
― ―
Restated balance
-2,153 336,663 418 4,323 4,741 341,405
Changes during FY
New issue of shares 10,000 10,000
Transfer to additional
paid-in capital from
common stock
― ―
Transfer to additional
paid-in capital from capital
reserve
― ―
Accumulation of
Reserve for losses
on overseas
investment, etc
― ―
Reversal of contingent
reserves
― ―
Net Loss -119,010 -119,010
Acquisition of
Treasury Stock
-14 -14 -14
Disposal of
Treasury Stock
― ― ―
Changes by Stock
Exchanges
1,744 1,034 1,034
Net changes during
FY other than
Shareholders’ Equity
643 -1,759 -1,115 -1,115
Total changes during FY 1,730 -17,990 643 -1,759 -1,115 -19,105
Balance at the end of FY -423 318,673 1,062 2,564 3,626 322,299
- 41 -
6. Other
(1) Income and Expenditure (Non-consolidated)
(Unit: 100 million yen, %)
FY2014 FY2013 Difference Change Composition Ratio
(A) (B) (A-B) (A/B) FY2014 FY2013
Lighting 6,485 6,566 -81 98.8 36.6 38.5
Power 8,976 8,714 261 103.0 50.7 51.2
(Subtotal) (15,461) (15,281) (179) (101.2) (87.3) (89.7)
Other 2,258 1,762 495 128.1 12.7 10.3
[Sales] [17,612] [16,829] [782] [104.7] [99.4] [98.7]
Ordinary
Revenues
Total 17,719 17,044 675 104.0 100.0 100.0
Labor 1,131 1,137 -6 99.4 6.1 6.2
Fuel 6,784 7,544 -759 89.9 36.4 41.0
Power purchase 3,724 3,149 574 118.2 20.0 17.1
Maintenance 1,266 1,031 234 122.8 6.8 5.6
Depreciation 1,647 1,723 -76 95.6 8.8 9.3
Interest 386 380 6 101.8 2.1 2.1
Tax &public dues 860 860 − 100.1 4.6 4.7
Nuclear back-end 214 223 -9 95.8 1.1 1.2
Other 2,634 2,366 268 111.3 14.1 12.8
Ordinary
Expenses
Total 18,650 18,416 233 101.3 100.0 100.0
[Operating Income(loss)] [-593] [-1,122] [528] [−]
Ordinary Income(loss) -930 -1,372 441 −
Reserve fluctuation in water
levels
16 -43 60 −
Extraordinary gain 98 573 -474 17.2
Income(loss) before
income taxes
-849 -756 -92 −
Income taxes 341 153 187 222.6
Net Income(loss) -1,190 -909 -280 −
(Note) Nuclear back-end expenses include the costs below:
-Costs for reprocessing of irradiated nuclear fuel
-Costs for preparation of reprocessing of irradiated nuclear fuel
-Costs for disposal of transuranic waste
-Costs for decommissioning nuclear power plants
(Reference)
FY2014 (A) FY2013 (B) Change (A-B)
Crude Oil (CIF) Price 90ドル/b 110ドル/b -20$/b
Exchange Rate 110円/$ 100円/$ 10円/$
- 42 -
(2) Breaking into deferred tax assets
As a result of the tax system revisions in fiscal 2015, the corporate tax rates were lowered, and the creditable
amount of losses carried over was reduced. Taking the effects of these changes into consideration, we examined the
recoverability of deferred tax assets. Consequently, we broke into part of the deferred tax assets and reported 32円.6
billion. (31円.6 billion for Kyuden alone) as part of the income taxes-deferred.