Financial Results

Financial ResultsTheThe 1st Quarter of FY 201
1st Quarter of FY 20144July 31
July 31, 201
, 20144Statements 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
light 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.
FY2014 Financial Results Forecasts and Dividend Forecasts
FY2014 2nd Quarter Financial Results Forecasts Summary
Electricity Sales Volume
Financial Results and Forecasts Summary
FY2014 1st Quarter Financial Results Summary
FY2014 1st Quarter Financial Results
Generated and Received Electricity
Income Statement Summary (Non-Consolidated)
[Explanations] Ordinary Revenues
Fuel, Power purchase
Balance Sheet Summary (Non-Consolidated)P1P4P5P6P7P9
Table of Contents
Table of ContentsP2P3
Income Statement Summary, Balance Sheet Summary (Consolidated)P10P11P8*Figures for FY2014 1st Quarter Financial Results are accumulated total from April 1, 2014 to June 30, 2014.
Variable factors of Ordinary Income (Loss) (Non-Consolidated)
Financial Results and Forecasts Summary
Financial Results and Forecasts Summary
-59.9
-31.4
-58.4
-38.8
-50.3
-40.5
363.3 419.00150300450
FY2013 1Q FY2014 1Q
(Billions of Yen)-80-40040
(Billions of Yen)
-56.3
-28.1
-36.5
-64.6
-40.6
-59.1
444.6
388.90150300450
FY2013 1Q FY2014 1Q
(Billions of Yen)-80-40040
(Billions of Yen)
Operating Income (Loss) (Right) Ordinary Income (Loss) (Right)
Net Loss (Right) Sales (Left)
FY2014
FY2014 1st Quarter
1st Quarter Financial Results Summary
Financial Results Summary1【Summary】
In the electricity business, the operating loss, ordinary loss and net loss for the 1Q
of FY2014 decreased compared with the same quarter period of the previous year,
because of increase in sales due to the increase in charge unit price with the effect
of electricity rate increase during the previous year and fuel cost adjustment
system and in the grant based on a feed-in tariff power purchase and sale system
of renewable energy, while increase in the costs for purchase from renewable
energy sources.
(7.7)
(-7.0)
(7.6)
(0.5)
(Extraordinary gain)-13.5
-58.5
-45.0
Comprehensive Income (Loss)-18.5
-59.1
-40.6
Net Income (Loss)-28.1
-64.6
-36.5
Ordinary Income (Loss)-28.2
-56.3
-28.1
Operating Income (Loss)
114.355.6388.9
444.6
Sales
Change
Difference
FY2013 1Q
FY2014 1Q
(Billions of Yen,%)
【Consolidated】
(18.9)
(-6.2)
(7.6)
(1.4)
(Extraordinary gain)-9.8
-50.3
-40.5
Net Income (Loss)-19.5
-58.4
-38.8
Ordinary Income (Loss)-28.4
-59.9
-31.4
Operating Income (Loss)
115.455.7363.3
419.0
Sales
Change
Difference
FY2013 1Q
FY2014 1Q
【Non-Consolidated】
Consolidated
Non-Consolidated
(Billions of Yen,%)
Note: As of the end of FY2014 1Q, 71 affiliates were subject to consolidated accounting.
Breakdown:
Consolidated subsidiaries: 40 companies (no change from the end of FY2013)
Equity method companies : 31 companies (no change from the end of FY2013)2---35.7-Net Income (Loss)--
-75.6-Ordinary Income (Loss)--
-58.3-Operating Income (Loss)
108.371.8868.2
940.0
Sales
Change
Difference
FY2013 2Q
FY2014 2Q
6 yen/$
99 yen/$
105 yen/$
Exchange rate
2 $/b
108 $/b
110 $/b
Crude oil CIF price
-0.6 Billion kWh
42.3 Billion kWh
41.7 Billion kWh
Electricity Sales Volume
Difference
FY2013 2Q
FY2014 2Q
FY2014
FY2014 2nd Quarter
2nd Quarter Financial Results
Financial Results Forecasts
Forecasts Summary
Summary
(Billions of Yen,%) (Billions of Yen,%)
【Reference: Key Fundamentals】
【Consolidated】【Non-Consolidated】
【Financial Results Forecasts Summary】
Our income for FY2014 are undetermined because it is unable to reasonably estimate costs such as fuel cost due to the uncertain
schedule for the resumption of the operations of reactors of our nuclear power stations.
We will promptly inform you of our forecasts when it is possible for us to make them.--
-28.9-Net Income (Loss)--
-74.1-Ordinary Income (Loss)--
-66.7-Operating Income (Loss)
108.771.5818.5
890.0
Sales
Change
Difference
FY2013 2Q
FY2014 2Q
Our forecasts for FY2014 financial results are unchanged from those announced in April 2014.
FY2014 Financial Results Forecasts and
FY2014 Financial Results Forecasts and Dividend
Dividend Forecasts
Forecasts3---96.0-Net Income (Loss)--
-131.4-Ordinary Income (Loss)--
-95.8-Operating Income (Loss)
105.8
103.9
1,791.1
1,895.0
Sales
Change
Difference
FY2013
FY2014
5 yen/$
100 yen/$
105 yen/$
Exchange rate
- $/b
110 $/b
110 $/b
Crude oil CIF price
-0.7 Billion kWh
84.4 Billion kWh
83.7 Billion kWh
Electricity Sales Volume
Difference
FY2013
FY2014
(Billions of Yen,%) (Billions of Yen,%)
【Reference: Key Fundamentals】
【Consolidated】【Non-Consolidated】--
-90.9-Net Income (Loss)--
-137.2-Ordinary Income (Loss)--
-112.2-Operating Income (Loss)
106.1
102.1
1,682.9
1,785.0
Sales
Change
Difference
FY2013
FY2014
業績概要
FY2014 1
FY2014 1st
st Quarter
Quarter Financial Results
Financial Results
Electricity Sales Volume
Electricity Sales Volume4○しろまる Customers other than large-scale industrial
Decreased by 2.3% compared with the 1Q of the previous year mainly due to a reduce in the air-conditioning demand as the temperature in
the mid-May through June.
○しろまる Large-scale industrial customers
Increased by 1.5% compared with the 1Q of the previous year mainly due to the increase in production of steel and iron.
【Electricity Sales Volume】
101.5875,938
Large-scale industrial
customers97.7-312
13,079
Customers other than
large-scale industrial
(Figures are
included above)98.8-225
19,017
Total99.4-76
12,696
Power97.7-149
6,321
Lighting
Change
Difference
vs.FY2013 1Q
FY2014 1Q
(Million-kWh,%)
【Reference: Electricity Sales Volume (by sector)】
(Million-kWh,%)98.8-225
19,017
Total99.8-25
11,637
Subtotal
101.2917,433
Industrial97.3-116
4,204
Commercial
Demand
under
liberalization97.4-200
7,380
Subtotal93.4-13185Others95.8-38874Low voltage
Power97.7-149
6,321
Lighting
Demand
other than
under
liberalization
Change
Difference
vs.FY2013 1Q
FY2014 1Q
【Large-scale industrial customers by sector】
101.5875,938
Total98.8-18
1,540
Others
100.64590
Foodstuffs
101.62107
Pulps and Papers
106.829452
Non-ferrous Metals99.4-2249Clay and Stone
103.926697
Chemicals
110.571742
Steel and Iron
100.52380
Transportation97.0-32
1,057
Electronics
(Figures are
included above)98.4-25
1,560
Machinery Total
Change
Difference
vs.FY2013 1Q
FY2014 1Q
(Million-kWh,%)
8,938
6,782
7,746
9,487
14,339 14,190
13,095
1,3549531,170
2,898
3,777
4,904
5,349
5,696
1,062818360 349
340 3333140
5,000
10,000
15,000
20,000
25,000
FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
Nuclear Thermal Hydro From other companies,etc New Energy
(363)
(430)
(492)
(652) (1,285)
Nuclear Thermal
Hydro Included above :New Energy
From other companies,etc New Energy
Nuclear Thermal
Hydro New Energy
From other companies,etc Included above :New Energy77.859.1
0.0 0.00.0116.288.968.597.782.7050100150
FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
Nuclear power
utilization rate
Water flow rate(%)Generated and Received Electricity
Generated and Received Electricity5【Generated and Received Electricity】
(Million-kWh,%)97.5-523
20,167
Total41.352-36For pumping36.8-252147Interchange
(197.1)
(633)
(1,285)
(New Energy [included above]※(注記))110.95475,585
From other companies94.3-870
14,471
Subtotal94.1-19314New Energy※(注記)(-)(-)
(Utilization rate)---Nuclear92.3-1,095
13,095
Thermal
(20.4)
(88.9)
(Water flow rate)
129.92441,062
HydroOwnfacilities
Change
Difference
vs.FY2013 1Q
FY2014 1Q
※(注記)Note: "New Energy'' includes Solar, Wind, Biomass, Waste and Geothermal
【Trends in Generated and Received Electricity】
(Million-kWh)
21,296 21,348 20,753 20,690 20,167
【Nuclear power utilization rate and Water flow rate】
※(注記) Liberalized category : Rise in electricity rates involved in the expiration of contract period from April 2013 .
Regulated category : Rise in electricity rates from May 1,2013.
Variable
Variable factor
factors
s of O
of Ordinary
rdinary Income(L
Income(Loss
oss)(
)(NonNon--Consolidated
Consolidated))6
Ordinary
Income
(loss)
Increase in
electricity
rate※(注記)
Ordinary
Income
(loss)
FY20141QFY20131QRenewable
Energy
Power
Promotion
Surcharge
Grant based
on the Act on
Purchase of
Renewable
Energy
Sourced
Electricity
PurchaseofRenewable
Energy
Sourced
Electricity
Levy based
on the Act on
Purchase of
Renewable
Energy
Sourced
Electricity
Exchange
losses
Other
Proceedfromdividends
Increase in
Water flow
Decrease in
purchase
from other
electric
companies
+19.5
Effect of
fuel cost
adjustment
(Billions of Yen)
‐ 58.4
+20.0
+12.7 ‐ 4.5+8.2+4.4 ‐ 24.2
+4.8 ‐4.8
+19.4
‐ 9.5
‐7.0
‐ 38.8
Income Statement Summary (Non
Income Statement Summary (Non-
-Consolidated)
Consolidated)7(Billions of Yen,%)-9.8
-50.3
-40.5
Net Income (Loss)
Income taxes-deferred -0.978.7-0.83.931
Income taxes
Gain on sale of securities -5.3 Gain on sale of fixed assets -0.818.9-6.27.614
Extraordinary gain-4.3-4.3-
Reserve for fluctuation
In water levels-19.5
-58.4-388Ordinary Income (Loss)(-)(28.4)
(-59.9)
(-314)
(Operating Income (Loss))
106.126.3434.6
460.9
Total
Levy based on the Act on Purchase of Renewable Energy Sourced Electricity 4.8
Overhead expenses*30.6110.95.651.657.2Other
103.80.14.95.1Nuclear back-end *2
104.70.919.520.4Tax and public dues *1
103.20.39.39.6Interest
Thermal -0.5 Hydro -0.4 Transmission -0.495.1-2.143.741.5
Depreciation
Thermal 3.4 Nuclear -1.2
109.72.223.025.2Maintenance
Purchase from other companies 26.2
→ [Figures are included above:Purchase of Renewable Energy Sourced Electricity 24.2]
Purchase from other electric companies -4.4
128.321.776.998.7Power purchase
Increase in Water flow -8.2
Exchange losses 4.598.0-3.5
178.0
174.5Fuel103.40.927.328.2Labor
Ordinary
Expenses
112.245.9376.2
422.1
Total
(115.4)
(55.7)
(363.3)
(419.0)
(Sales)
Grant based on the Act on Purchase of Renewable Energy Sourced Electricity 19.4
Proceed from dividends -9.5
127.713.348.361.7Other
112.524.0192.8
216.9
Power
Increase in electricity rate 20.0 Effect of fuel cost adjustment 12.7
Renewable Energy Power Promotion Surcharge 4.8
106.38.5134.9
143.4
Lighting
Ordinary
Revenues
Explanations
Change
Difference
FY2013 1Q
FY2014 1Q
Note 1 : Tax and public dues consist of the following: Charge for right of water, Property Tax, Miscellaneous Taxes, Power Development Promotion Tax、Business Tax
Note 2 : Nuclear back-end expenses consist of the following: Reprocessing costs of irradiated nuclear fuel, Reprocessing preparation costs of irradiated nuclear fuel, Decommissioning costs of nuclear power units, and Disposal
costs of high-level radioactive waste.
Note 3 : Overhead expenses refer to the aggregate sum of waste disposal expenses, consumables expenses, compensation expenses, leasing fees, subcontract fees, expansion and development expenses, training expenses,
research expenses and others.
【Reference 1 :Key Fundamentals】
20.4%
68.5 %
88.9 %
Water flow rate- %0 %0 %Nuclear power utilization rate
3 yen/$
99 yen/$
102 yen/$
Exchange rate
2 $/b
108 $/b
110 $/b
Crude oil CIF price
Difference
FY2013 1Q
FY2014 1Q
【Reference 2 :Structure of Feed-in Tariff power purchase and sale system of renewable energy 】
Renewable
Electricity at term and
price decided by METI
Cost-sharing
CoordinationBodyOur
company
Renewable
Electricity
Suppliers
Consumers
Renew able Energy
Pow er Promotion
Surcharge
Renew able Energy
Pow er Promotion
Surcharge
Renewable
Electricity at term and
price decided by METI
10.1 Bln of Yen
35.5 Bln of Yen
10.1 Bln of Yen
44.7 Bln of Yen
【Others】16.218.261.748.319.3520355065
FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
(Billions of Yen)
【Lighting and Power】
305.4
327.8
313.7
360.3
298.4275300325350375FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
(Billions of Yen)[[Explanations
Explanations] Ordinary Revenues
] Ordinary Revenues
(Billions of Yen,%)
109.932.5327.8
360.3
Lighting and Power
Change
Difference
FY2013 1Q
FY2014 1Q
1. Increase in electricity rate 20.0
Difference FY2013 1Q
FY2014 1Q82. Effect of fuel cost adjustment 12.7
3. Renewable Energy Power Promotion
Surcharge 4.8 ( 10.1 ← 5.2 )
2. Proceed from dividends -9.5 ( 1.2 ← 10.7 )
127.713.348.361.7Others
Change
Difference
FY2013 1Q
FY2014 1Q
1. Grant based on the Act on Purchase of
Renewable Energy Sourced Electricity 19.4 ( 35.5 ← 16.0 )
Difference FY2013 1Q
FY2014 1Q
(Billions of Yen,%)
【Power purchase】76.939.229.163.098.70255075100
FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
(Billions of Yen)
【Fuel】56.785.5
169.6 174.5
178.0050100150200FY2010 1Q FY2011 1Q FY2012 1Q FY2013 1Q FY2014 1Q
(Billions of Yen)92. Exchange losses 4.5
1. Increase in Water flow -8.2
[Explanations]
[Explanations] Fuel, Power purchase
Fuel, Power purchase
(Billions of Yen,%)98.0-3.5
178.0
174.5FuelChange
Difference
FY2013 1Q
FY2014 1Q2108110Crude oil($/b)9854863LNG($/t)-14114100Coal($/t)
Difference
FY2013 1Q
FY2014 1Q
[ Reference1 ] All Japan CIF prices-491,185
1,136
LNG (thousand. ton)-153308155Crude oil (thousand. kiloliter)114378492Heavy oil (thousand. kiloliter)-2131,180967Coal (thousand. ton)
Difference
FY2013 1Q
FY2014 1Q
[ Reference2 ] Fuel consumption
128.321.776.998.7Power purchase
Change
Difference
FY2013 1Q
FY2014 1Q
(Billions of Yen,%)
1. Purchase from other companies 26.2 ( 94.4 ← 68.2 )
Figures are included above :
Purchase of Renewable Energy Sourced
Electricity 24.2 ( 44.7 ← 20.5 )
Difference FY2013 1Q
FY2014 1Q
2. Purchase from other electric companies - 4.4 ( 4.2 ← 8.7 )
Difference
Balance Sheet Summary (Non
Balance Sheet Summary (Non-
-Consolidated)
Consolidated)10Assets
-48.4
4,218.0
4,169.5
Total
Cash and cash equivalents -61.2
(Jun.30, 2014 273.1 ← Mar.31, 2014 334.4)
Accounts receivable 17.5 Inventories 9.2
-29.7
1,220.1
1,190.3
Others
Reserve fund for reprocessing of irradiated nuclear fuel -6.8-6.9655.9
648.9
Investments and Other Assets
Depreciation -41.6 Construction completed 35.7
-11.6
2,341.9
2,330.2
Utility Property, Plant and
Equipment
Explanations
Difference
Mar. 31, 2014
Jun 30, 2014
(Billions of Yen)
Liabilities and Equity
-48.4
4,218.0
4,169.5
Total
FY2014 1Q net loss -40.5
[Equity Ratio] Jun. 30, 2014 7.2% ← Mar. 31, 2014 8.1%
-42.8
341.4
298.5
Equity
Other accounts payable -28.0 Accrued expenses -19.0
Accounts amount payable -11.1
Short-term liabilities of affiliated companies -9.1 Income tax payable -8.3
Interest-bearing debt 70.9-5.63,876.6
3,871.0
Liabilities
Explanations
Difference
Mar. 31, 2014
Jun. 30, 201470.92,983.8
3,054.7
Total69.0-69.0CP
-18.0
1,740.0
1,721.9
Loans20.01,243.7
1,263.7
Bonds
Difference
Mar. 31, 2014
Jun. 30, 2014
(Billions of Yen)
(Billions of Yen)
【Reference: Interest-bearing Debt】
Income Statement Summary
Income Statement Summary ,
, Balance Sheet Summary (Consolidated)
Balance Sheet Summary (Consolidated)11-18.5-59.1
-40.6
Net Income (Loss)7.7-7.07.60.5
Extraordinary gain-4.3-4.3-
Reserve for Fluctuation In Water Levels-28.1
-64.6
-36.5
Ordinary Income (Loss)
( - )
( 28.2 )
( -56.3 )
( -28.1 )
(Operating Income (Loss))
105.826.3457.3
483.7
Total91.6-1.011.910.9
Other Expenses
106.52.032.134.2Other
106.125.3413.2
438.5
Electric
106.227.3445.3
472.7
Operating Expenses
Ordinary
Expenses
113.954.5392.7
447.2
Total69.9-1.13.72.5
Other Revenues
105.11.836.638.5Other
115.353.7352.3
406.1
Electric
114.355.6388.9
444.6
Operating Revenues (Sales)
Ordinary
Revenues
Change
Difference
FY2013 1Q
FY2014 1Q
Income Statement Summary-13.5
-58.5
-45.0
Comprehensive Income (Loss)
FY2014 1Q
Consolidated Ratio
(1.06)
Balance Sheet Summary
-45.1
494.2
449.0
Equity72.73,116.7
3,189.4
Interest-bearing Debt-1.84,055.6
4,053.7
Liabilities
-47.0
4,549.8
4,502.7
Total Assets
Difference
Mar. 31, 2014
Jun. 30, 2014-0.910.59.6【Reference 】Equity Ratio
(Billions of Yen,%)
(Billions of Yen,%)
( - )
( - )
( - )
For more information, please contact:
Investor Relations Group
Corporate Planning Division
KYUSHU ELECTRIC POWER CO.,INC.
TEL : +81 92 726 1575
FAX : +81 92 733 1435
URL : http://www.kyuden.co.jp/en_ir_index