Electric Power Development : Release of Financial Statements for the Three Months Ended June 30, 2021

This is an English translation of the Financial Results (Kessan Tanshin) filed with the Tokyo Stock Exchange on July 30, 2021. Please note that if there is any discrepancy, the original Japanese version will take priority.

(English Translation)

Quarterly Financial Results (Unaudited)

(for the Three Months Ended June 30, 2021)

July 30, 2021

Electric Power Development Co., Ltd. (J-POWER)

Listed exchange:	Tokyo Stock Exchange (Code: 9513)
Representative:	Toshifumi Watanabe, President
Contact:	Kazuo Hosoda, IR Chief Manager
Tel.:	[phone]
URL:	https://www.jpower.co.jp/english/

Scheduled date for filing of a quarterly report:	August 2, 2021
Scheduled date of dividend payment commencement:	Not applicable
Preparation of supplementary explanations material:	Yes
Quarterly financial results presentation held:	No

(Note) All monetary values are rounded down to the nearest units as indicated in each table.

1. Consolidated Financial Results (From April 1, 2021 to June 30, 2021)

1. Consolidated Operating Results

(Percentages (%) represent changes from the same period of the previous year)

	Operating	Operating	Ordinary income	Profit attributable to
	revenue	income	owners of parent
	million yen	%	million yen	%	million yen	%	million yen	%
Three months ended June 30, 2021	191,743	2.0	21,544	(4.6)	19,882	32.0	14,020	19.2
Three months ended June 30, 2020	187,918	(13.0)	22,591	(25.1)	15,058	(48.6)	11,761	(38.9)

(Note) Comprehensive income:	Three months ended June 30, 2021	52,669 million yen	- %
	Three months ended June 30, 2020	(39,302) million yen	- %
		Earnings	Fully diluted
		per share	earnings per share
		yen		yen
Three months ended June 30, 2021	76.59		─
Three months ended June 30, 2020	64.25		─

(2) Consolidated Financial Position

		Total assets		Net assets	Equity ratio
		million yen		million yen	%
Three months ended June 30, 2021	2,900,207			896,970	29.3
Year ended March 31, 2021		2,841,960			853,685	28.5
(Reference) Shareholders' equity:	Three months ended June 30, 2021	849,399 million yen
	Year ended March 31, 2021		809,145 million yen

2. Dividends

Cash dividends per share

Record date

Annual

Jun. 30

Sep. 30

Dec. 31

Mar. 31

yen

yen

yen

yen

yen

Year ended March 31, 2021

─

35.00

─

40.00

75.00

Year ending March 31, 2022

─

Year ending March 31, 2022 (forecasts)

35.00

─

40.00

75.00

(Note) Revisions to dividends forecasts in the current quarter: None

3. Consolidated Earnings Forecasts for the Year Ending March 31, 2022 (From April 1, 2021 to March 31, 2022)

(Percentages (%) represent changes from the same period of the previous year)

	Operating	Operating income	Ordinary income	Profit attributable to	Earnings
	revenue					owners of parent	per share
	million yen	%	million yen	%	million yen	%	million yen	%	yen
Year ending March 31, 2022	842,000	(7.4)	59,000	(24.1)	50,000	(17.9)	34,000	52.4	185.74

(Note) Revisions to consolidated earnings forecasts in the current quarter: None

4. Other Information

1. Principal subsidiaries subject to changes: None
2. Application of accounting methods which are exceptional for quarterly consolidated financial statements: None
3. Changes in accounting policies, accounting estimates and restatement of corrections
4. 1. Changes in accounting policies due to revisions of accounting standards etc.: Yes
   2. Changes in accounting policies except 1): None
   3. Changes in accounting estimates: None
   4. Restatement of corrections: None
5. Number of shares issued (common stock)
6. 1. Number of shares issued at the end of the period (including treasury stock)

Three months ended June 30, 2021:	183,051,100
Year ended March 31, 2021:	183,051,100
2) Treasury stock at the end of the period
Three months ended June 30, 2021:	2,761
Year ended March 31, 2021:	2,741

3) Average number of shares outstanding during the period

Three months ended June 30, 2021:	183,048,356
Three months ended June 30, 2020:	183,048,659

• This quarterly financial results is out of the scope of quarterly review procedures by CPA or an audit firm
• Forward-lookingstatements and other special notes
• • The earnings forecasts are forward-looking statements made on the basis of available information current at the time forecasts are made and contain uncertain elements. Therefore, actual earnings may differ from forecast figures as a result of changes in business performance and other factors.
  • The supplementary explanation material is available on our website at https://www.jpower.co.jp/english/ under the investor relations section.

Table of Contents

1. Qualitative Information on Consolidated Financial Results...........................................................	2
(1)	Qualitative Information on Consolidated Operating Results.....................................................	2
(2)	Qualitative Information on Consolidated Financial Position.....................................................	2
(3)	Qualitative Information on Consolidated Earnings Forecasts..................................................	3
2. Consolidated Financial Statements and Major Notes .....................................................................	4
(1)	Consolidated Balance Sheet ........................................................................................................	4
(2)	Consolidated Statement of Income and Comprehensive Income .............................................	6
(3)	Notes on Premise of Going Concern ...........................................................................................	8
(4)	Notes on Significant Changes in Shareholders' Equity .............................................................	8
(5)	Changes in Accounting Policies, Changes in Accounting Estimates, and
	Restatements.................................................................................................................................	8
(6) Additional Information ..................................................................................................................	9
3. Appendixes .......................................................................................................................................	10
[Appendix 1]........................................................................................................................................	10
[Appendix 2]........................................................................................................................................	11

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1. Qualitative Information on Consolidated Financial Results

1. Qualitative Information on Consolidated Operating Results

1) Electricity Sales Volume

In the electric power business, electricity sales volume from hydroelectric power plants for the three months ended June 30, 2021 showed 18.2% increase from the same period of the previous fiscal year to 2.7TWh, due mainly to the increase in water supply rate from 81% to 98%. The sales volume of electricity procured from wholesale electricity market, etc. showed 88.4% increase from the same period of the previous fiscal year to 3.8TWh. In thermal power, the decrease in the load factor of thermal power plants of J-POWER(non-consolidated) from 65% to 44% mainly due to equipment troubles resulted in 29.7% decrease in electricity sales volume from the same period of the previous fiscal year to 7.8TWh. Total electricity sales volume of the electric power business decreased 7.0% from the same period of the previous fiscal year to 14.7TWh.

Electricity sales volume in the overseas business decreased 10.3% from the same period of the previous fiscal year to 3.4TWh.

2) Overview of Income and Expenditures

Sales (operating revenues) increased 2.0% from the same period of the previous fiscal year to 191.7 billion yen, mainly due to the increase in the sales volume of electricity procured from wholesale electricity market, etc. while the electricity sales volume from thermal power plants decreased due to the decrease in the load factor in the electric power business and the electricity sales volume in the overseas business decreased. Total ordinary revenue including non-operating revenue increased 3.3% from the same period of the previous fiscal year to

1. 1. billion yen.
      Operating expenses increased 2.9% from the same period of the previous fiscal year to
   1. billion yen, mainly due to the increase in purchased power from other suppliers and increase in depreciation and amortization cost while the fuel costs for thermal power plants in the electric power business and overseas business decreased. Non-operating expenses decreased 23.6% from the same period of the previous fiscal year to 10.4 billion yen, mainly due to the decrease in foreign exchange losses. Total ordinary expenses increased 0.9% from the same period of the previous fiscal year to 180.6 billion yen.
      As a result, ordinary income increased 32.0% from the same period of the previous fiscal year to 19.8 billion yen and profit attributable to owners of parent after corporate income tax increased 19.2% from the same period of the previous fiscal year to 14.0 billion yen.
      The effect of the application of the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. on the quarterly consolidated financial statements is immaterial.
2. Qualitative Information on Consolidated Financial Position

Total assets increased 58.2 billion yen from the end of the previous fiscal year to 2.9002 trillion yen. This is mainly due to the progress of construction works of Central Java Coal-fired Thermal Power Plant in Indonesia and Jackson Gas-fired Thermal Power Plant in the US, in

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addition to the depreciation of the yen.

Total liabilities increased 14.9 billion yen from the end of the previous fiscal year to 2.0032 trillion yen. Of this amount, interest-bearing debt accounted for 1.7160 trillion yen. Non-recourse loans in overseas business accounted for 300.0 billion yen of interest-bearing debt.

Total net assets increased 43.2 billion yen to 896.9 billion yen, mainly due to the increase in foreign currency translation adjustment and deferred gains or losses on hedges, in addition to the accounting of profit attributable to owners of parent.

As a result, shareholders' equity ratio increased from 28.5% at the end of the previous fiscal year to 29.3%.

(3) Qualitative Information on Consolidated Earnings Forecasts

There is no change in our forecasts announced on April 30, 2021. As for non-consolidated, there is no change in our forecasts announced on June 22, 2021.

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