Announced the financial results for the year ended March 2019[PDF : 386KB]

Code No.: 9533 (URL https://www.tohogas.co.jp/)

Representative: Yoshiro Tominari, President

Contact: Katsuhiko Kozawa, General Manager, Finance Dept.

Tel: [phone]

Date of regular general meeting of stockholders: June 25, 2019

Date of submission of financial report: June 26, 2019

Earnings supplementary explanatory documents: Yes

Earnings presentation: Yes (for institutional investors)

Toho Gas Co., Ltd.

Consolidated Financial Results

for FY2018 Ended March 31, 2019

April 26, 2019

Shares listed on:

Tokyo Stock Exchange, Nagoya Stock Exchange

Commencement of dividends payments: June 26, 2019

1. Consolidated Results for FY2018 (April 1, 2018 - March 31, 2019)					(Rounded down to the nearest million yen)
(1) Consolidated business results		(Percentage figures indicate the percentage change on the results for the previous year)
	Net sales		Operating income		Ordinary income		Net income
							attributable to owners
							of the parent
	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)
FY2018 ended March 2019	461,199	7.5	17,831	-25.7	21,485	-14.8	14,820	-17.8
FY2017 ended March 2018	428,868	9.8	23,984	3.4	25,208	2.9	18,022	1.5

Note: Comprehensive income FY2018 ended March 2019: ¥7,326 million (-73.7%) FY2017 ended March 2018: ¥27,833 million (-12.0%)

	Net income	Diluted income	Return on equity	Return on assets	Operating income
	per share	per share	(Net income)	(Ordinary income)	ratio
	(Unit: yen)	(Unit: yen)	(％)	(％)	(％)
FY2018 ended March 2019	139.37	-	4.5	3.9	3.9
FY2017 ended March 2018	169.28	-	5.7	4.7	5.6

Note: The Company consolidated its common stocks at a ratio of five shares to one share on October 1, 2017. Net income per share is calculated as if the consolidation of shares had occurred at the beginning of FY2017 ended March 31, 2018.

(2) Consolidated financial position

	Total assets		Net assets	Equity ratio	Book-value per share
	(Unit: million yen)		(Unit: million yen)	(％)	(Unit: yen)
FY2018 ended March 2019		550,599	327,339	59.5	3,078.37
FY2017 ended March 2018		541,087	326,279	60.3	3,068.29
Reference: Net assets (excluding minority	interests)	FY2018 ended	March 2019: ¥327,339 million	FY2017 ended March	2018: ¥326,279 million

(3) Consolidated cash flow

	Net cash provided by	Net cash provided by	Net cash provided by	Balance of cash and
	(used in) operating	(used in) investment	(used in) financing	cash equivalents as
	activities	activities	activities	of end of term
	(Unit: million yen)	(Unit: million yen)	(Unit: million yen)	(Unit: million yen)
FY2018 ended March 2019	32,615	-40,011	8,834	19,260
FY2017 ended March 2018	57,047	-43,345	-12,240	17,876

2. Dividends

		Dividends per share				Total	Dividend	Dividend rate
								for
						dividends	payout ratio
	End of	End of	End of	End of				net assets
					Total	(Annual)	(Consolidated)
								(Consolidated)
	1st quarter	2nd quarter	3rd quarter	4th quarter
	(Unit: yen)	(Unit: yen)	(Unit: yen)	(Unit: yen)	(Unit: yen)	(Unit: million yen)	(％)	(％)
FY2017 ended March 2018	-	5.00	-	27.50	-	5,582	31.0	1.8
FY2018 ended March 2019	-	27.50	-	27.50	55.00	5,848	39.5	1.8
FY2019 ending March 2020	-	27.50	-	27.50	55.00		34.4
(forecast)

Note: The Company consolidated its common stocks at a ratio of five shares to one share on October 1, 2017. Accordingly, the amount of the year-end dividends per share for FY2017 ended March 2018 reflects the impact of the consolidation of shares and disclosure of the annual dividends per share is omitted. Including the impact of the consolidation of shares, the annual dividends per share for FY2017 ended March 2018 would be 52.5 yen.

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3. Consolidated Results Forecasts for FY2019 (April 1, 2019 - March 31, 2020)

(Percentage figures indicate the percentage change on the results for the previous year)

							Net income		Net income
	Net sales		Operating income		Ordinary income		attributable to owners
									per share
							of the parent
	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: yen)
Full term	500,000	8.4	22,000	23.4	24,000	11.7	17,000	14.7	159.87

※Notes

(1)Changes in significant consolidated subsidiaries: No

(2)Changes in accounting treatment principles, changes in accounting estimates, and retrospective restatements

-Changes accompanied by reform of accounting standards: No

-Other changes: No

-Changes in accounting estimates: No

-Retrospective restatements: No

(3)Number of outstanding shares (common stock)

Number of outstanding shares at the end of the term (Inclusive of treasury stock)

Number of treasury stock at the end of the term

Average number of outstanding shares during the term

FY2018 ended March 2019	106,351,285 shares	FY2017 ended March 2018	106,351,285 shares
FY2018 ended March 2019	16,095 shares	FY2017 ended March 2018	12,002 shares
FY2018 ended March 2019	106,337,419 shares	FY2017 ended March 2018	106,466,520 shares

Note: The Company consolidated its common stocks at a ratio of five shares to one share on October 1, 2017. The average number of outstanding shares during the term is calculated as if the consolidation of shares had occurred at the beginning of FY2017 ended March 31, 2018.

Reference: Non-consolidated Results and Forecasts

1. Results for FY2018 (April 1, 2018 - March 31, 2019)

(1) Business results		(Percentage figures indicate the percentage change on the results for the previous year)
	Net sales		Operating income			Ordinary income		Net income
	(Unit: million yen)	(％)	(Unit: million yen)	(％)		(Unit: million yen)	(％)	(Unit: million yen)	(％)
FY2018 ended March 2019	365,015	2.8	11,538	-36.9		17,278	-16.7	12,950	-17.7
FY2017 ended March 2018	355,117	9.4	18,278	3.5		20,749	0.3	15,737	2.9
	Net income per share		Diluted income per share
	(Unit: yen)		(Unit: yen)
FY2018 ended March 2019	121.79		-
FY2017 ended March 2018	147.82		-

Note: The Company consolidated its common stocks at a ratio of five shares to one share on October 1, 2017. Net income per share is calculated as if the consolidation of shares had occurred at the beginning of FY2017 ended March 31, 2018.

(2) Financial position

	Total assets	Net assets	Equity ratio	Book-value per share
FY2018 ended March 2019	(Unit: million yen)	(Unit: million yen)	(％)	(Unit: yen)
	467,810	277,308	59.3	2,607.87
FY2017 ended March 2018	465,421	276,466	59.4	2,599.86
Reference: Net assets FY2018 ended	March 2019: ¥ 277,308 million	FY2017 ended March 2018: ¥ 276,466 million

2. Results Forecasts for FY2019 (April 1, 2019 - March 31, 2020)

	Net sales		Operating income		Ordinary income		Net income		Net income
									per share
	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: million yen)	(％)	(Unit: yen)
Full term	385,000	5.5	16,000	38.7	20,000	15.8	14,500	12.0	136.36

(1)This report of consolidated financial results is not subject to audit.

(2)Notes on proper use of forecasts and other matters

The forecasts in this document are based on the information available at the time of the release of this document. Due to various factors, the actual result may vary from the forecast data.

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	1. Consolidated balance sheet			(Unit: million yen)
			FY2017	FY2018
			(As of Mar. 31, 2018)	(As of Mar. 31, 2019)
	Assets
	Non-current assets
	Property, plant and equipment
	Production facilities		81,572	76,111
	Distribution facilities		154,442	158,415
	Service and maintenance facilities		26,263	27,588
	Other facilities		35,356	45,677
	Construction in progress		26,233	9,693
	Total property, plant and equipment		323,868	317,486
	Intangible assets
	Other		4,249	6,616
	Total intangible assets		4,249	6,616
	Investments and other assets
	Investment securities		92,020	83,492
	Long-term loans receivable		5,701	6,732
	Deferred tax assets		9,030	10,138
	Other		7,143	8,852
	Allowance for doubtful accounts		-83	-64
	Total investments and other assets		113,812	109,152
	Total non-current assets		441,930	433,255
	Current assets
	Cash and deposits		17,955	19,338
	Notes and accounts receivable-trade		48,874	57,833
	Lease receivables and investment assets		9,825	11,159
	Inventories		18,608	24,258
	Other		4,122	4,958
	Allowance for doubtful accounts		-227	-204
	Total current assets		99,157	117,344
	Total assets		541,087	550,599

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		(Unit: million yen)
	FY2017	FY2018
	(As of Mar. 31, 2018)	(As of Mar. 31, 2019)
Liabilities
Non-current liabilities
Bonds payable	50,000	50,000
Long-term loans payable	29,942	43,440
Deferred tax liabilities	608	690
Provision for gas holder repairs	1,653	1,751
Provision for safety measures	18,211	17,105
Provision for gas appliance warranties	3,932	3,296
Net defined benefit liability	8,534	6,530
Other	8,870	9,460
Total non-current liabilities	121,753	132,275
Current liabilities
Current portion of non-current liabilities	23,576	14,799
Notes and accounts payable-trade	20,284	20,009
Short-term loans payable	5,383	17,828
Income taxes payable	7,067	4,970
Other	36,742	33,377
Total current liabilities	93,054	90,984
Total liabilities	214,807	223,260
Net assets
Shareholders' equity
Capital stock	33,072	33,072
Capital surplus	8,387	8,387
Retained earnings	240,123	248,694
Treasury stock	-45	-63
Total shareholders' equity	281,537	290,091
Other comprehensive income
Valuation difference on available-for-sale securities	42,111	35,177
Deferred gains or losses on hedges	-21	599
Foreign currency translation adjustment	3,199	2,186
Remeasurements of defined benefit plans	-548	-715
Total other comprehensive income	44,742	37,248
Total net assets	326,279	327,339
Total liabilities and net assets	541,087	550,599

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2.Consolidated statements of income and comprehensive income Consolidated statements of income

		(Unit: million yen)
	FY2017	FY2018
	(Apr. 2017 -Mar. 2018)	(Apr. 2018 -Mar. 2019)
Net sales	428,868	461,199
Cost of sales	271,686	315,324
Gross profit	157,182	145,874
Selling, general and administrative expenses	133,198	128,042
Operating income	23,984	17,831
Non-operating income	215	10
Interest income
Dividends income	1,749	1,828
Rent income	701	681
Miscellaneous income	1,429	2,185
Total non-operating income	4,095	4,705
Non-operating expenses	821	672
Interest expenses
Loss on bond retirement	1,462	-
Commission expenses	174	156
Miscellaneous expenses	413	223
Total non-operating expenses	2,871	1,051
Ordinary income	25,208	21,485
Extraordinary income
Gain on sales of investment securities	900	-
Total extraordinary income	900	-
Extraordinary loss
Impairment loss	510	-
Loss on valuation of investment securities	-	421
Total extraordinary loss	510	421
Income before income taxes	25,597	21,064
Income taxes-current	6,695	4,604
Income taxes-deferred	879	1,639
Total income taxes	7,574	6,244
Net income	18,022	14,820
Net income attributable to owners of the parent	18,022	14,820

Consolidated statements of comprehensive income

		(Unit: million yen)
	FY2017	FY2018
	(Apr. 2017 -Mar. 2018)	(Apr. 2018 -Mar. 2019)
Net income	18,022	14,820
Other comprehensive income
Valuation difference on available-for-sale securities	3,900	-6,951
Deferred gains or losses on hedges	426	617
Foreign currency translation adjustment	-189	-675
Remeasurements of defined benefit plans, net of tax	5,152	-167
Share of other comprehensive income of entities accounted	520	-316
for using equity method
Total other comprehensive income	9,810	-7,493
Comprehensive income	27,833	7,326
Comprehensive income attributable to
Comprehensive income attributable to owners of the parent	27,833	7,326
Comprehensiveincome attributable tonon-controlling interests	-	-

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